Deepak Shenoy, founder and CEO of Capitalmind, says every market dip is a chance to buy good stocks, but warns to stay clear of overpriced FMCG names.
Why Market Falls Can Be Good
Shenoy points out that the Indian market has stayed strong for ten years thanks to solid liquidity. Even when headlines are negative, the overall trend hasn’t been seriously affected. He believes a drop in prices creates a “future‑return” opportunity for investors who can pick the right companies.
Valuation Reality: Some Stocks Are Too Expensive
Not all stocks are bargains. Large fast‑moving consumer goods (FMCG) firms are “ridiculously expensive” in India compared with their valuations abroad. Shenoy says a company needs to grow about 20% a year on average to justify a high price‑to‑earnings multiple. Expensive stocks that aren’t growing are likely to fall.
Big Themes to Watch Through 2026
Shenoy is bullish on three main areas:
- Artificial intelligence (AI) – still a major growth driver, even if India joins the wave a few years later.
- Semiconductors and electric vehicles (EV) – massive private investment and strong manufacturing capacity.
- Defence & related tech – government backing and long‑term demand.
He also mentions nuclear energy, space technology, and commodities as secondary opportunities.
Commodity Outlook
Gold, silver and other metals have surged because major producers like Russia are temporarily out of the market. Shenoy expects a correction once supply returns, possibly by 2026, and suggests investors might consider taking profits now.
Changing Investor Landscape
Foreign Institutional Investors (FIIs) have been selling, while Domestic Institutional Investors (DIIs) are buying, showing a shift toward home‑grown capital. Mutual fund flows are growing, and younger investors (Gen Z) are moving money from fixed deposits into equities, staying in the market even during shocks.
Takeaway for Retail Investors
Look for companies that can grow at least 20% annually, avoid overvalued FMCG names, and consider adding exposure to AI, semiconductors, and defence. Keep a long‑term view and use market dips to build positions.
Disclaimer
Remember, this is just an opinion, not a prediction. Do your own research and consider talking to a qualified advisor before making any investment decisions.