Analysts are concerned about the impact of rising oil and commodity prices that could hurt the Q3 earnings of consumer companies. “While earnings growth is improving, Q4FY18 asking rate (to meet full-year forecasts) is still high, implying potential downgrade risk. “We expect 14% and 18% revenue and earnings growth in Q3FY18 for Sensex companies and 15%/22% revenue and earnings growth in FY19,” Duggad added. Analysts are concerned about the impact of rising oil and commodity prices that could hurt the margins of consumer companies. “Earnings growth is likely to be over 20% in FY19 for broader indices.

Source: Mint January 07, 2018 14:15 UTC