Brokerages prefer consumption-linked stocks after India's election outcome

Colgate-Palmolive (India)

05/06/2024 08:01

** Brokerages prefer consumer staples, consumer durables,
autos, information technology after surprise election results
    ** Analysts caution against capital expenditure-linked
stocks, infrastructure and utilities on worries over policy and
reforms continuity
    ** Goldman Sachs upgrades consumer staples from underweight
to neutral; stays overweight on autos, industrials, telcos and
insurance; lowers utilities to neutral from overweight on rich
valuations
    ** CLSA replaces Larsen And Toubro  LART.NS  with HCLTech
 HCLT.NS  in its India focus portfolio; prefers private banks,
IT, insurance and commodities 
    ** JP Morgan analysts remain neutral on consumer staples
sector and prefer Hindustan Unilever  HLL.NS , Dabur  DABU.NS ,
Colgate  COLG.NS  and Nestle  NEST.NS  on rural demand recovery
    ** Bernstein analysts keep financials as their key
overweight sector
    ** Equirus' preferred picks include consumer durables,
automobiles, industrial consumables and exporters, who are
beneficiaries of China + 1 policy 



 (Reporting by Sethuraman NR in Bengaluru)
 ((Sethuraman.NR@thomsonreuters.com; (+91 9945291420); Reuters
Messaging: nallur.sethuraman.thomsonreuters.com@reuters.net))