Kotak: Forgive us, we know not what we do

Source: Kotak Institutional Research Report

The Indian market (Nifty-50 Index basis) is trading at 21X FY2018E ‘EPS’ (free-float basis) and 17X FY2019E ‘EPS’.

Note that we project a very strong recovery in earnings in FY2019 after flat net profits in FY2018.

However, we have limited confidence in our FY2019E estimates given (1) little evidence of a strong turnaround in the economy, which can drive volume growth and (2) high margin and profitability assumptions in several sectors, which may be at risk.

2 replies on “Kotak: Forgive us, we know not what we do”

This is the state of equity research in the country. people are investing their money based on such reports

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