“Devarsh Vakil of HDFC Securities is overweight on the BFSI sector, favoring large banks like ICICI Bank, Kotak Mahindra Bank, SBI, and Axis Bank, along with select NBFCs such as M&M Finance and PNB Housing Finance. He believes NBFCs are well-positioned as the RBI repo rate cycle bottoms out, with diversified loan books supporting stable net interest margins of 3.5-4% and financials offering resilience against geopolitical uncertainty. The firm may reduce its overweight stance as stock prices approach yearly target levels post-earnings season.”