Quant Mutual Fund founder Sandeep Tandon said optical fibre companies enjoy a 3‑5‑year earnings visibility horizon, a factor that gives the sector a long‑term growth cushion.
According to Tandon, more than 90% of these firms' revenue comes from exports, underscoring their global reach and contract stability.
Tandon also warned that the Indian market is currently in a 'pullback rally' phase, driven by excessive bearish sentiment, which could create buying opportunities in select stocks.
On the supply side, he noted a worldwide shortfall in fibre, with new capacity taking a year to three years to materialize, meaning the scarcity could persist for up to five years.
Despite bullishness on infrastructure, Tandon keeps a tight eye on capital‑market names, citing over‑ownership and inflated valuations as key risks that could dampen performance.
Looking ahead, Quant will monitor the next three to six months for leadership changes at banks and other institutions before reassessing its stance on heavily owned stocks.