INCO - INCO: The Consumer Remains The Jewel In India's Crown
2024-03-08 13:30:09 ET
Summary
- Indian consumer names have been among the best-performing groups of stocks globally.
- Backed by a very favorable macro and micro backdrop, this outperformance looks poised to continue.
- Sector valuations may seem rich but not when benchmarked against a very attractive fundamental profile.
Few equity markets have performed anywhere near as well in India in recent years - and for good reason. The country saw some very impressive economic growth numbers yet again (even by its standards), with real GDP surging to +8.4% YoY through Q4 2023 and prior quarters' growth revised higher in tandem (to +8% YoY). Plus, the forward-looking services and manufacturing purchasing managers' indices (PMI) remain in strongly expansionary territory . Along with a national 'Household Consumption Expenditure Survey' that confirmed the breakneck speeds at which consumption expenditure has grown across both rural and urban households (nearly tripling over the last five years), the stars remain in alignment for Indian consumer names....
INCO: The Consumer Remains The Jewel In India's Crown