Global brokerage firm Macquarie has reshuffled its India Super 6s portfolio for July, replacing HDFC Bank, Torrent Pharmaceuticals and Axis Bank with ICICI Bank, Shree Cement and Power Grid Corporation of India across its core and tactical recommendation baskets. According to reports from The Financial Express, the changes span two of the brokerage's three flagship portfolios, with ICICI Bank joining the long-term "6 Stars" basket in place of HDFC Bank, while Shree Cement and Power Grid have been added to the "6 Hitters" tactical portfolio, replacing Torrent Pharmaceuticals and Axis Bank respectively. The brokerage stated that the changes follow a reassessment of its preferred investment ideas, with improving sector fundamentals, stronger earnings visibility and better return expectations driving the fresh inclusions.
Macquarie removed HDFC Bank from its core "6 Stars" portfolio after the stock underperformed the MSCI India Index by 22% since its inclusion. As reported by The Financial Express, the brokerage cited HDFC Bank's funding profile has weakened structurally and its margin outlook has become more volatile, affecting its earlier return-on-assets thesis. "We believe ICICI's ability to sustain growth with margins should result in it delivering sector-leading return ratios (2.3-2.4% ROA, 17% ROE)," Macquarie stated in its latest India Super 6s report dated July 21. "In contrast, HDFC Bank's funding profile has become structurally weaker and its margin outlook more volatile which, in turn, has dented our ROA improvement thesis."
Shree Cement was introduced to the "6 Hitters" tactical basket, citing improving industry fundamentals and expectations of stronger profitability across the cement sector. According to The Financial Express, cement manufacturers are increasingly prioritising profitable growth instead of chasing market share, while easing input costs are expected to support margin recovery during the first half of FY27. "Sector fundamentals continue to improve as producers prioritise profitable growth over market share, supporting our view that margins will trough in 1HFY27E amid easing input costs. Shree should benefit from robust volume growth (mid-teens in 1QFY27e) and relatively resilient North and East India pricing," Macquarie said. Power Grid replaced Axis Bank in the tactical recommendations, with Macquarie believing the company's proposed increase in borrowing capacity points to a faster capital expenditure cycle and stronger asset capitalisation as execution bottlenecks begin to ease.
The July review leaves Macquarie's India Super 6s portfolio with three new additions across its core and tactical baskets, while the six-stock Rising Stars portfolio remains unchanged. As reported by The Financial Express, the brokerage retained its "6 Rising Stars" portfolio unchanged, maintaining positions in companies like Delhivery, Tata Communications, and Lenskart Solutions. The "6 Stars" core portfolio now includes Titan, Divi's Laboratories, JSW Steel, TVS Motor, Bharti Airtel, and ICICI Bank, while the "6 Hitters" tactical basket features Dixon Technologies, Marico, Hyundai Motor India, Bharat Electronics, Shree Cement, and Power Grid. Torrent Pharmaceuticals exited the tactical portfolio after meeting the brokerage's investment objective, with Macquarie swapping out "TRP (OP, +20%, at target)" indicating the stock had reached its target price following a nearly 20% gain.
