 "New phase of capex cycle to start soon, say analysts. Top stocks to bet on")
India Inc could be embarking on a new phase of capital expenditure (capex) cycle, believe analysts, and suggest that its revival will lead to re-rating of industrial stocks going ahead.
Helped by a property upcycle, analysts at Jefferies believe various government initiatives are likely to drive capex going ahead. Indicators, they said, include private new project announcement at Rs 25 trillion for FY23 (up 150 per cent from pre-pandemic levels) and credit growth at around 16 per cent, which is close to pre-pandemic highs.
"Order flows in the industrial companies have also picked up, with over 15 per cent YoY growth from the pre-pandemic lows of 5 per cent. Capacity utilisation at 73 per cent is above the historical average,
