Hold on to equities, look for a rebound
There are others who agree with this view and say that earnings should witness a pick-up in a quarter or two. "I think the downtrend is bottoming out and in a quarter or two it should come up," said Pankaj Pandey, head of research at ICICIdirect. "Statistically, infrastructure companies are at low base, metal prices have come down, banks have high provisioning and statistically it will not go up and on top of it a rate cut will help the companies significantly." Crisil research too is of the view that the downward trend in gross earnings Ebitda is bottoming out. "Ebitda has bottomed out and is primarily driven by softening of commodity prices and weak rupee continuing to support the export oriented sectors," said Mukesh Agarwal, president, Crisil Research.
Earning upgrade still some time away
Most experts are of the view that over the last 18 months, analysts have downgraded
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