According to The Economic Times, Nitin Raheja from Julius Baer Wealth Advisors highlighted the auto sector's strong performance despite market volatility. "The auto sector numbers have been pretty strong... the fears with regard to high oil prices and inflation impact have so far not been visible," he stated. Raheja expressed preference for companies in the SUV segment and those with electric vehicle capabilities, noting that "the commercial vehicle sector seems to be doing quite well." He added that "auto demand has remained resilient despite market volatility, with premium and EV segments leading the charge."
As reported by The Economic Times, Raheja expressed optimism about the consumer durables sector, particularly benefiting from strong summer sales. "The summer being what it has, they will have a very, very strong quarter, especially the air-conditioning companies," he noted. The upcoming festive season is expected to provide additional support during the second half of the year, with Raheja believing "this year as a whole should be better for the consumer durable manufacturers." However, he cautioned that "the intensity of competition had gone up," recommending focus on companies with differentiated or premium offerings or seasonal plays. "Either you have a seasonal play... or you play it through someone who has a differentiated offering or a premium offering," he advised.
According to The Economic Times, Raheja remains cautious on the IT sector due to uncertainties around artificial intelligence's long-term impact. "We are not clear in terms of the impact of AI... what is the extent of the impact... is yet not very, very clear," he explained. Despite attractive cash flows and dividend yields, Raheja stated "the question is on growth... I would probably be underweight on the sector." He added that "the uncertainty around the long-term impact of artificial intelligence makes the sector difficult to value."
As reported by The Economic Times, Raheja believes the broad-based rally in real estate has largely concluded. "Price increases are not going to happen," he stated, recommending focus on individual companies with strong project pipelines and execution capabilities. "It is really going to be individual companies... you need to play it through that," he advised. He emphasized that "it's really going to be individual companies... you need to play it through that."
According to The Economic Times, Raheja sees continued opportunities in the defence sector, citing higher government spending, the Make in India initiative, and increasing export opportunities. "There is clearly a tailwind as far as defence as a sector is concerned," he noted, preferring larger defence companies building broader manufacturing ecosystems. "I would play it through some of the larger players," he advised. On shipbuilding, Raheja identified "a multiple-year cycle" opportunity, stating "The shipbuilding sector is in for a multiple-year cycle."
