The September quarter’s (2QFY21) corporate earnings season was a blockbuster with big beats and upgrades across sectors.
According to a report by Motilal Oswal Institutional Equities, wiith an upgrade (more than 5 per cent) to downgrade ratio (less than 5 per cent) of 4:1, this has by far been the best earnings season in many years.
“As many as 63 per cent of the companies in our coverage universe beat 2QFY21 estimates, while 18 per cent reported below estimate results. This has resulted in the first material earnings upgrade for Nifty EPS estimates in many years,” the report said.
More importantly, corporate commentaries across the sector suggest continued demand recovery in 3QFY21, underpinned by a healthy start to the festive season.
