Finance minister Nirmala Sitharaman's fiscal announcements: Here are nine key points highlighting the wider impact on the Indian economy
Updated : September 20, 2019 03:20 PM IST
With the substantial corporate tax rate cuts, the dynamics of profitability and business models will undergo a significant positive change.
Nifty EPS growth will see a dramatic change from single digit growth in the last 3-5 years to a sustained ~ 20 percent plus growth over the next one to three years. This could lead to a significant re-rating for the Indian equity markets.
Profit margin impact of this move is exponential for companies changing the business dynamics and break-even points of profits by at least two to three years.