Q2 Results Preview: Nifty 50 Earnings May Jump 27%; Financials, Metals, Telecom To Lead, Says Motilal Oswal

Motilal Oswal expects Nifty 50 earnings to increase 27% in Q2 FY27, with financials, metals and telecom likely to lead as the results season begins. The assessment is positive but conditional on global interest rates, capital flows, energy prices, input costs and pressure on margins. Motilal Oswal shares were unchanged today at Rs 1,081.45, after gaining 1.7% over one month and 12.8% over three months, and were 1% below their 52 week high. The Capital Markets sector fell 3.8% over one month and 0.1% over three months.

A 27% earnings increase could support index valuations if profit growth is broad and accompanied by resilient margins. Financials may benefit from supportive funding conditions and capital flows, while metals remain sensitive to energy and other input costs. Telecom exposure depends on whether operating performance can sustain profit growth. Motilal Oswal may also be affected through broking and capital markets activity, although the forecast does not establish its own earnings outcome. The view would be confirmed by reported growth across the three leading sectors, stable margins and firmer flows. Higher global rates, capital outflows or sharper cost inflation would weaken it.