Nifty 2026 Outlook: Downside Limited, Earnings Revival To Fuel Upside

With strong macro tailwinds, consistent retail flows into mutual funds, and improving earnings momentum, Nifty could see meaningful upside by mid-2026, says Ikigai’s Pankaj Tibrewal. While giving precise index targets is difficult, he highlights that earnings revival is already visible in Q2 and likely to strengthen through Q3 and Q4. Despite headlines of new highs, India has severely underperformed global markets this year-up only 5-6% YTD, compared to 25–60% gains in South Korea, Greece, Germany, and China. India also underperformed the emerging-market index by 24–25%. Tibrewal believes downside is limited barring global shocks and expects a double-digit earnings cycle to drive broader market participation and renewed confidence into 2026.