Dipan Mehta discusses the factors leading to better performance in the pharma sector, including the confluence of factors and the cooling off of raw material prices. He suggests that investors should consider overweighting the pharma and healthcare sectors for safety. Regarding the QSR space, Jubilant FoodWorks numbers have been unenthusiastic, but Mehta believes the slow growth is transient and recommends remaining invested. As for the interim budget, Mehta highlights the focus on infrastructure and suggests considering engineering construction companies for trading opportunities and beyond 2024.
In an interview to HITESH VYAS, GEORGE MATHEW and SANDEEP SINGH, Manian says the current acceleration in inflation is due to transient items such as tomato and onion prices, and is unlikely to go out of hand.
According to Dagli, the strong growth trajectory expected of the sector also supports its valuation metrics. He also expects the various segments within the pharma and healthcare space to perform well in the near term.
Ten out of 11 mutual fund houses covered by Nuvama Alternative & Quantitative Research have gone overweight on pharma and healthcare, as against their weightage in Nifty 200.