OMKARA CAPITAL – DAILY NEWSLETTER (17th June, 2026)

I was recently listening to a highly respected fund manager, and he put it perfectly.

Don’t wait for FIIs to come back. With valuations reset after a two-year consolidation, investors should use the next 12 months to accumulate world-class businesses at rare discounts, positioning their portfolios to rise well before foreign capital flows back in.

Headlines
•⁠ ⁠U.S. crude drops below $80 for the first time since March (Goldman cut price target on crude and now expect WTI to average $75 in 2026Q4 and $70 in 2027)
•⁠ ⁠Today: First meeting of the new Fed Chair

Stocks To Watch
•⁠ ⁠+ve for NBFCs: RBI eases capital norms for ECLGS 5.0 loans, cuts risk weight. As per the revised framework, 75% of the guaranteed portion will attract a zero risk weight, while the remaining exposure will carry a 20% risk weight under existing norms. Positive for (SME/MSME) Focused NBFCs like Shriram Finance/ AB Cap/ Northern ARC/ SBFC/ IIFL Fin as the move directly improves their Capital Adequacy Ratio (CAR), reduces borrowing costs, and expands their lending capacity without an immediate fresh equity raise.
•⁠ ⁠Sudharshan Chemicals: CMD Rajesh Rathi exercises 9.80 lakh warrants at ₹1,019.75/share (16% premium to CMP), a total capital commitment of nearly ₹100 cr.

LET THE BACK-BENCHERS HAVE SOME PARTY

The last two years belonged to high-quality stocks like Sansera, Happy Forging, Acutaas, Craftsman, Belrise and others. Now that the war has ended, everyone is searching for deep value and turnarounds. Promoters, bankers and HNIs are more active than even investors, sharing narratives and pitches. Some have real substance; many will prove to be traps. So, stay calm – don't change your investment style, and stay focused on winners and high-quality names even if some consolidation happens.

For traders and opportunistic investors, we have created a Forum where we flag names the street is active in, and why. As I have been saying, it is time to play delta, and many names come to mind.

Omkara-recommended stocks – cheap, no issues, strong earnings and strong promoters: Borosil Renewables, IIFL Fin, Gokex, Fed Fina, Northern ARC, VST Tillers.

Within the financials basket: Edelweiss/ JM Fin/ JIO/ Indostar Cap/ RBL/ Samman Cap/ Bandhan Bank.

Some SMEs (notes saved in the Forum): Q-line, Effwa – studying a few more

Some infra names also being talked about in the market: Man Infra, JKIL, Capacite

So, let the markets have their fun. What matters is that they stay stable and move higher. We need to manage our own risk and stay true to our investment style. I am not changing my long-term portfolio at all, and am only looking to add a few very solid names – pharma and manufacturing are the spaces we are hunting. That said, as a trader, some dabbling in back-benchers – with tight risk management – is a useful additional strategy.

A word on SpaceX – I am not even qualified as an analyst on this name, but here is some data.

Everyone knows valuations are crazy and honestly, traditional investors like me feel disillusioned with the world of investing. Musk is a genius but a bigger financial engineering genius. Musk has claimed SpaceX revenue will cross US$1 trn by 2030 (50x current revenues in five years). Bankers lobbied to get into major indices in ~15 trading days. Amazon took years. Here is the fun part: Only ~4% of SpaceX stock is floating right now. 20% of issue will get unlocked on Aug 11. Ever wondered why Warren Buffett, sitting on US$400 billion, has no interest in the SpaceX IPO?

Stock markets are a wonderful space – here – everyone is right and everyone is wrong – bas timing ka baat hain. It is just when markets ignore valuations completely and go one-sided on anything – it is time to take notice.

Warm regards,
Omkara Capital Private Limited, India
www.omkaracapital.in

Disclaimer: This newsletter is for informational purposes only and does not constitute investment advice. Please consult your financial advisor before making any investment decisions.