Delayed monsoon may weigh on auto demand, but long-term outlook stays strong: Aditya Shah

Market expert Aditya Shah flagged that a delayed and deficient monsoon may pressure auto demand in the near term, particularly for tractors and two-wheelers, but the broader auto sector outlook remains intact. He prefers Mahindra & Mahindra and Eicher Motors among OEMs and Sona BLW along with Motherson in auto ancillaries, while seeing EV as a long-term structural theme. He also sees Kotak Mahindra Bank as attractive after its recent correction, remains positive on private banks and SBI with expected 10-15 percent loan growth in FY27, and continues to favour chemicals and pharma names such as Deepak Nitrite, Vinati Organics, Laurus Labs, Divi's Labs, Neuland and Syngene.