Wealth management firm **PL Wealth** has projected the Nifty to reach **29,094** in 12 months due to long-term valuation averages and consistent earnings growth, according to a report released on December 19, 2025.
India is ending 2025 with strong macro strengths: record-low inflation, accommodative RBI policy, strong demand, and a clear corporate earnings outlook. CEO Inderbir Singh Jolly described the current situation as “the best in more than a decade.”
In the short term, the firm prefers large-caps for stability and strong balance sheet, and is gradually adding select high-quality mid-caps. In 6-24 months, earnings in consumption, financial, capex-linked and industrial sectors will rise on the back of low inflation, rate cuts and domestic liquidity.
RBI’s recent steps—repo rate cut by 25 bps to 5.25%—lowered CPI forecasts and raised GDP estimates, thereby strengthening demand sustainability. FY26 GDP is estimated at 7.3%, driven by infrastructure, consumption, GST rationalization and tax relief (zero liability up to ₹12.75 lakh in the new regime).
Q2FY26 earnings saw strength in Hospitals, Capital Goods, Cement, EMS, Ports, NBFCs and Telecom, which reported double-digit EBITDA/profit growth. Nifty EPS indicates ~14% CAGR for FY26–FY28. Domestic investors invested a record amount of over ₹6.8 trillion YTD.
There may be near-term volatility due to global uncertainties, but structural reforms, financialization of savings and corporate health support long-term growth. From current levels (~25,800-26,000), the target implies an upside of ~12-13%.
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