Goldman Sachs: investors have provided ~$500B in financing to AI-linked groups in 2026 so far, as hyperscaler debt issuance spreads to the euro, CAD, and others (Financial Times)

Mumbai: Goldman Sachs has identified 42 Indian stocks that are benefiting from the AI build-out, despite the absence of a meaningful AI trade in the Indian market. This absence has often been cited as a reason for the limited foreign investor interest in the market, especially as AI-linked stocks have driven returns in other major markets such as the US, Taiwan, and South Korea.

However, beneath the benchmark indices, a significant number of Indian companies are emerging as winners of the AI infrastructure build-out. Goldman Sachs has identified these 42 AI Enablers, which span industries such as power, data centers, and semiconductors.

While the Nifty has declined by 12% in 2026 till mid-September, this group of AI Enablers has surged by approximately 60%. Many of these companies are small- and mid-cap firms in the capital goods, utilities, and technology hardware sectors, making their presence less visible in the large-cap-heavy benchmark indices.

However, it is important to note that valuations for these AI Enablers are not cheap. Goldman Sachs believes these stocks trade at around 36 times forward earnings, which is an 85% premium to the MSCI India index and close to the upper end of their five-year valuation range of 28-39 times. This premium is largely attributed to the stronger earnings growth of these AI Enablers.

Out of the 42 AI Enablers identified by Goldman Sachs, ET has shortlisted 14 companies based on a minimum capex intensity of 20%.