BofA Securities has turned positive on Indian equities after nearly two years, setting a Nifty target of 26,200 on expectations of improving earnings and attractive valuations. Arbind Maheswari said foreign outflows are driven by the global AI investment theme rather than weakness in India’s economy. He expects another 100 basis points of RBI rate hikes, sees earnings growth strengthening and believes sectors such as data centres and manufacturing will support long-term growth.
