Is the worst behind us? Deven Choksey shares market view; says this on upcoming RBI policy
On valuations, Choksey noted, "If positive news starts coming in, possibly you will see recovery in the prices of Nifty50 stocks. Whenever the market has capitulated in a panic situation, we are very close to that kind of scenario. If this capitulation has already occurred, it means the market is either in the process of forming a bottom or has already formed a bottom."
- Apr 7, 2026,
- Updated Apr 7, 2026 8:30 AM IST
Shares of benchmark Nifty50 could be on the verge of a further recovery, according to Deven Choksey, Managing Director at DRChoksey FinServ Pvt.
Speaking on the current market scenario, Choksey said, "I feel that whatever the price at which the market is trading today, the price-earnings (P/E) ratio of the Nifty50 has come closer to 16–17 times one-year forward. Even if I discount the earnings by a certain percentage because of the war situation, I still feel that whenever in the past Nifty has gone to this level, buying has emerged, and recovery has taken place."
He added, "The fair price assumption for Nifty P/E ratio should be seen around 20, and I think around 20 is a good bet. I think one gets value here."
On valuations, Choksey noted, "If positive news starts coming in, possibly you will see recovery in the prices of Nifty50 stocks. Whenever the market has capitulated in a panic situation, we are very close to that kind of scenario. If this capitulation has already occurred, it means the market is either in the process of forming a bottom or has already formed a bottom. In my viewpoint, if this bottom is being made, the following recovery in the market over the next three to six months would be quite handsome, as the underlying tone remains quite positive."
Choksey also shared his perspective on the RBI policy outcome due on April 8 (Wednesday), saying, "The government took an early proactive step by reducing excise duty, helping prevent fuel-related inflation from spilling over into other products and commodities. RBI, I believe, is going to remain watchful on this aspect. Certainly, inflation is on everyone's mind, but one month or one quarter is not the basis for taking a policy call. Most likely, they will allow interest rates to remain stable in this review and continue monitoring inflation. As of now, inflation is elevated compared to previous levels but not alarming, so they may refrain from changing interest rates at this point."
On the way forward, Choksey advised investors to focus on large-cap stocks and prioritise quality companies with visible earnings growth.
Shares of benchmark Nifty50 could be on the verge of a further recovery, according to Deven Choksey, Managing Director at DRChoksey FinServ Pvt.
Speaking on the current market scenario, Choksey said, "I feel that whatever the price at which the market is trading today, the price-earnings (P/E) ratio of the Nifty50 has come closer to 16–17 times one-year forward. Even if I discount the earnings by a certain percentage because of the war situation, I still feel that whenever in the past Nifty has gone to this level, buying has emerged, and recovery has taken place."
He added, "The fair price assumption for Nifty P/E ratio should be seen around 20, and I think around 20 is a good bet. I think one gets value here."
On valuations, Choksey noted, "If positive news starts coming in, possibly you will see recovery in the prices of Nifty50 stocks. Whenever the market has capitulated in a panic situation, we are very close to that kind of scenario. If this capitulation has already occurred, it means the market is either in the process of forming a bottom or has already formed a bottom. In my viewpoint, if this bottom is being made, the following recovery in the market over the next three to six months would be quite handsome, as the underlying tone remains quite positive."
Choksey also shared his perspective on the RBI policy outcome due on April 8 (Wednesday), saying, "The government took an early proactive step by reducing excise duty, helping prevent fuel-related inflation from spilling over into other products and commodities. RBI, I believe, is going to remain watchful on this aspect. Certainly, inflation is on everyone's mind, but one month or one quarter is not the basis for taking a policy call. Most likely, they will allow interest rates to remain stable in this review and continue monitoring inflation. As of now, inflation is elevated compared to previous levels but not alarming, so they may refrain from changing interest rates at this point."
On the way forward, Choksey advised investors to focus on large-cap stocks and prioritise quality companies with visible earnings growth.