Capital Goods: A High-Potential Sector To Bet On

Capital goods stocks, which had been trading at elevated valuations after rallies, experienced a sharp correction amidst foreign institutional investors’ ₹45,000 crore selloff in early October. However, the stocks swiftly rebounded as domestic investors capitalised on the lower prices, signalling sustained confidence in the sector. Mandar Wagh analyses the key factors driving optimism in the sector, reviews the financial performance of industry leaders, and examines the potential headwinds and tailwinds shaping the sector’s future trajectory