scorecardresearchSince 2010, Sensex has touched a new high at least once every year; a look

Since 2010, Sensex has touched a new high at least once every year; a look at some other interesting facts

Updated: 28 Jun 2023, 02:23 PM IST
TL;DR.

Assuming the 2010 peak was the last peak, those who missed investing missed a 3x opportunity. An investment of 10 lakh made at the peak of 2010 has grown to over 30 lakh at the current peak in 2023.

While Sensex has hit multiple new highs since last week, Nifty finally hit its record high in morning deals today, June 28, 2023.

While Sensex has hit multiple new highs since last week, Nifty finally hit its record high in morning deals today, June 28, 2023.

Indian markets hit record highs today on the back of improving macros, continued foreign investor inflows, moderating inflation and a positive global trend.

While Sensex has hit multiple new highs since last week, Nifty finally hit its record high in morning deals today, June 28, 2023.

In a recent report, brokerage house Fisdom Research has listed some key interesting facts about record highs in Indian markets.

"All-time highs are a normal and essential part of long-term investing. These highs enable markets to grow and generate profitable returns," said the brokerage.

Let's take a look at these facts:

- Since 2010, the Sensex has reached its highest level ever at least once every calendar year, and there have been specific calendar years where it achieved multiple all-time highs.

- Assuming the 2010 peak was the last peak, those who missed investing missed a 3x opportunity. An investment of 10 lakh made at the peak of 2010 has grown to over 30 lakh at the current peak in 2023.

- The market's magic rally, driven by top contributors, has lifted the Sensex by 24 percent from June 2022 lows.

- Despite the market appearing expensive, it is primarily driven by a select few top 10 stocks contributing around 60 percent to the overall market rally.

- Indian markets have remarkable opportunities for potential future gains. Stocks including Wipro, Tech Mahindra, IndusInd Bank, Infosys, Tata Steel, NTPC, and Bajaj Finserv still need between 25 and 93 percent to achieve their respective all-time highs.

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Source: Fisdom Research

The brokerage further noted that currently, corporate India finds itself at the early stages of both the economic and earning cycles, as India has just begun the process of economic recovery. This positions it favorably to capitalise on the solid growth in demand, it forecasted.

Fisdom also pointed out that the current market conditions do not reflect a significant increase in IPO activity or the influx of substantial funds into new investment themes.

Additionally, there has been a noticeable decrease in leverage as companies have sought to reduce their debt burden and strengthen their balance sheets, it said.

As per the brokerage, factors like comfortable external debt situation, inflation below RBI's upper limit, FPI inflows of over 60,000 crore in the last 3 months, highest-ever domestic flows of 2.5 lakh crore in FY23, high forex reserves, strong GST collections and a robust rupee will drive Indian markets to reach multiple new record highs.

 

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Source: Fisdom
First Published: 28 Jun 2023, 02:23 PM IST