Vinod Karki expects a peak in the profit to GDP cycle to drive the emergence of $1 trillion companies in India by 2032. He believes that companies like HDFC Bank, Reliance, and Bajaj Finance have the potential to reach this milestone based on their past growth rates and hurdle rates. However, TCS is not included in the list due to its lower earnings growth and higher hurdle rate. Valuations are currently at an all-time high, and Karki does not anticipate any further PE reratings to define these $1 trillion companies.