A significant excise duty hike on cigarettes is expected to negatively impact the sector's short-term performance, according to market expert Nischal Maheshwari. The unexpected increase may force companies to raise prices, potentially hurting sales volumes as consumers opt for cheaper alternatives. While the industry has historically absorbed such hikes, near-term underperformance for cigarette stocks is anticipated. Maheshwari also noted potential consolidation benefits for Devyani International and Sapphire Foods and expressed optimism for the auto sector due to structural GST cuts.