India is likely to have its first $1 trillion company by 2032 if the pace of the country’s GDP growth accelerates to around 9 per cent from the current around 7 per cent, domestic broking firm ICICI Securities

ICICI Securities calculations suggest that India's first US Dollar 1 trillion market cap (m-cap) stock could emerge by 2032. Reliance Industries , HDFC Bank , Bajaj Finance are amongst the top contenders that could reach $1 trillion market value by 2032 as per ICICI Securities.

Vinod Karki, Head of Strategy, ICICI Securities, says he does not expect any PE reratings to define these $1 trillion companies. What he expects is a peak of the profit to GDP cycle which will be reached over the next few years till about 2032, will be the primary driver. The primary company which comes into our mind is HDFC Bank which requires around 25% hurdle rate. Second is Reliance if it manages to increase its profit growth from this 13-14% that it has bee ..

Vinod Karki: Yes. There is the way we look at it. There are two, three reasons why this $1 trillion will happen. First of all, there is this, if you look at it from a macro perspective, we are at 7% GDP growth. Gradually, we expect this to reach the previous cycle peak of around 9%. And in doing so, we also expect that cyclically, the profit to GDP which is currently at around 5% might reach the previous peak of 7%. So here, what is happening, unlike the last time, is that valua ..