Ravi Dharamshi, head of ValueQuest Investment Advisors, warns that India's Nifty50 index may be masking significant structural issues within its two largest sectors: IT services and consumption. He notes that these sectors are experiencing early stages of disruption due to artificial intelligence, which could reshape their business models fundamentally. Consumption is also affected as slowing IT employment impacts discretionary spending. Dharamshi estimates that ongoing geopolitical tensions could lead to a 3-4% downgrade in earnings growth expectations for FY27, reducing projections from 16-17% to 12-13%. Rising crude oil prices, now approaching $90 per barrel, further complicate the situation, impacting sectors reliant on crude derivatives. In response, ValueQuest is reallocating investments towards areas such as energy transition, defense, and AI infrastructure, viewing these as essential for future growth. Dharamshi also highlights the potential in India's data center market, predicting a significant increase in capacity and investment opportunities. Despite these challenges, he remains optimistic about India's medium-term outlook, emphasizing the need for structural improvements to attract foreign capital.