New Delhi, Oct. 1 -- Macquarie stock recommendations India: Amid poor returns by the key benchmark indices of the Indian stock market, global brokerage Macquarie has predicted a turnaround in investors' fortunes through the banking and financial stocks. The brokerage has predicted a strong FY28 for the banking stocks, expecting a rerating in banking and financial stocks. The Macquarie Equity Research expects banks to deliver strong ~18% FY28E EPS growth driven by a ~15bps rise in margins. Attractive valuations offer further support.

Expecting a strong recovery in the earnings of Indian banks and financial companies, the Macquarie Equity Research said, "We forecast FY28E EPS growth of ~18% and see significant re-rating potential, given un...