MidCap 100 Index is now trading at 25.9 times one-year forward earnings, compared with 20.2 times for the Nifty. Wood said the valuations should be seen in the context of the acceleration in growth.
Selling in the FMCG sector intensified as quarterly earnings of major companies suggested weak rural consumption and as cost pressures increased. FIIs net sold shares worth Rs 3,011 crore in the first two weeks of February, compared to the selling of over Rs 2,000 crore in the previous fortnight.
PSU re-rating, however fast and furious, should not be taken lightly, believes brokerage house Emkay. With elections coming soon and investors remaining open to all ideas, as long as a risk/return playoff makes sense - Unless you are averse to buying PSUs, this seems like a no-brainer, it said.
Under the new regulations, public companies are permitted to list on IFSC stock exchanges, unlocking the potential to attract funds from qualified foreign investors. However, this opportunity remains exclusive to public companies, with private companies still excluded from direct listings.