All bad news is priced in, but don't call it a bull market yet: SAMCO MF CEO Viraj Gandhi

The market is not yet in a bull phase but bad news appears priced in, with Nifty50 trading at 18.6x forward PE—9% below the 10-year average—and FPI ownership at a two-decade low of 34%. Largecaps offer better margin of safety than mid and smallcaps, while private banks, cement, capital goods, metals, and telecom show earnings visibility; IT services and consumer discretionary face downgrade risk. Returns over the next 12 months will be driven primarily by earnings growth (Nifty earnings grew 5% in FY26), supported by selective valuation expansion and sector rotation toward domestic investment cycles.