Why Is Prabhudas Lilladher Expecting a Nifty Upswing Ahead?
Prabhudas Lilladher Capital has upgraded its 12-month Nifty target to 28,781, valuing the index at 19.2 times its projected September 2027 earnings per share (EPS) of ₹1,499. This revision reflects confidence in steady domestic recovery, resilient earnings growth, and supportive macroeconomic conditions.
The brokerage expects Nifty EPS to grow at a compound rate of 12.1% between FY2025 and FY2027, supported by expanding corporate margins and strong capital expenditure trends. The estimated Nifty EPS levels stand at ₹1,229 for FY2026, ₹1,415 for FY2027, and ₹1,582 for FY2028.
For actionable guidance on index movements and positional setups, explore Nifty Tip and BankNifty Tip for expert market strategies.
According to the brokerage, domestic-oriented sectors such as banking, infrastructure, and consumer goods will remain key growth drivers. The firm highlights the continued resilience of India’s GDP expansion despite global headwinds, which underpins strong investor sentiment across equities.
The report also notes that steady inflation control and proactive monetary measures from the Reserve Bank of India are likely to maintain a favorable liquidity environment, supporting equity valuations and sectoral performance momentum.
Analysts believe the upcoming results season could provide earnings validation for the market’s upward trajectory, especially if banking and manufacturing sectors meet consensus estimates. Broader participation from midcap and smallcap stocks is also anticipated to extend the rally.
For deeper insights into index derivatives and future positioning, check Nifty OptionTip for exclusive F&O strategies and guidance.
With domestic consumption recovering and investment demand broadening, Prabhudas Lilladher anticipates that sectors such as capital goods, auto components, and cement will sustain earnings upgrades through FY2027–28. The brokerage emphasizes a diversified approach while maintaining a positive stance on the Nifty index trajectory.
Investor Takeaway: Indian-Share-Tips.com Nifty Expert Gulshan Khera, CFP®, who is also a SEBI Regd Investment Adviser, observes that sustained earnings expansion across domestic sectors, along with stable policy support, could drive Nifty toward new highs. He highlights that disciplined exposure to index futures and select banking counters may help investors capitalize on this upswing.
Related Queries
What Is Driving the Upward Revision in Nifty’s Target?
How Can Investors Benefit from Prabhudas Lilladher’s Market Outlook?
Which Sectors Are Expected to Lead the Nifty Rally Ahead?
SEBI Disclaimer: The information provided in this post is for informational purposes only and should not be construed as investment advice. Readers must perform their own due diligence and consult a registered investment adviser before making any investment decisions. The views expressed are general in nature and may not suit individual investment objectives or financial situations.
