Earnings downgrades across Indian equities have narrowed materially and the worst of the slowdown appears to be behind the market, Mahesh Nandurkar, MD of Jefferies India, said in an interview with CNBC-TV18.

“After a difficult patch of one-offs in the first half of FY26 — from weather disruptions to GST timing effects and rate-cut impacts on banks — we are seeing underlying earnings resilience,” Nandurkar said. “On our numbers, FY26 should deliver roughly 10% earnings growth. More importantly, FY27 looks substantially stronger at about 15–16%.”

Jefferies’ revision reflects a mix of downgrades that have been smaller than historical norms and bright spots across several key sectors. Banks remain the principal upside driver after a year in which rate cuts compressed margins; with credit gr

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