Hottest stock index also has the best earnings


The Next 50 measure is expected to deliver earnings growth of 39% over the coming year. — Bloomberg

MUMBAI: The NSE Nifty Next 50 Index is emerging as the hottest stock gauge in India, as investors look for pockets of out-performance in a market that’s been hovering near record highs.

Earnings growth is proving to be a key metric. Made up of potential candidates for the benchmark Nifty 50, the gauge has seen its forward profit estimates climb 20% so far this year, far outpacing the 3.5% increase for the larger gauge. The Nifty Next’s biggest components feature industrial and materials firms directly benefiting from an economy expected to grow more than 7% in 2024.

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