Amid the rising selling pressure in the Indian equity markets, domestic brokerage firm SMC Global Securities has suggested four stocks- NBCC (India) Ltd, UPL Ltd, SRF Ltd and KPR Mill Ltd- to bet amid the scarce opportunities to make money. The brokerage has picked the former two based on their strong technical charts, while the latter two appear to be strong based on their sound fundamentals. Here's what the brokerage has to say about these counters:
NBCC (India) | Buy | Target Price: Rs 118-120 | Stop Loss: Rs 84
NBCC (India) has been trading lower as prices are seen drifting below its 200 days exponential moving average on daily charts, since the past few months. The correction has been seen on the back of long unwinding. Technically, the stock took support around Rs 85 levels multiple times and bounced back sharply to regain a fresh bullish momentum above its 200 days exponential moving average on daily charts once again. Breakout has been witnessed above the long-term bearish channel as well after a V-shape recovery observed from lower levels. The move is getting supported by positive divergences on secondary oscillators as well. Therefore, one can accumulate a stock in range of Rs 97-99 for the expected upside of Rs 118-120 levels with stop loss below Rs 84 levels.
KPR Mill | Buy | Target Price: Rs 1,146 | Upside Potential: 23%
KPR Mills is a vertically integrated apparel manufacturer in India built on fabulous values with 12 hi-tech manufacturing facilities. It has six state of the art spinning Mills with a capacity to produce 1,00,000 MT of yarn and 4,000 MT of vortex viscose yarn, four garment facilities capacity to produce 177 Million knitted Garments and two state of the art fabric processing facilities capacity to process 25,000 MT of fabrics. It has 20,000 TCD sugar capacity and 470 KLPD Ethanol Capacity in Karnataka. KPR’s expansion in vortex spinning, strengthening of renewable power resources through roof-top solar power plant and modernization of spinning division to improve quality and productivity further are expected to drive its growth level to the next stage. Thus, it is expected that the stock may see a price target of Rs 1,146 in 8 to 10 months.
UPL | Buy | Target Price: Rs 695-700 | Stop Loss: Rs 540
The stock of UPL has been consolidating in a broader range of Rs 490 to 590 since last few months with prices seen hovering around its 200 days exponential moving average on daily charts. Last week, a fresh breakout was observed on the charts as stock witnessed a fresh bullish momentum above its 200 days exponential moving average on weekly charts. The breakout has been seen after a series of prolonged consolidation of more than three months. Therefore, one can accumulate the stock in a range of Rs 600-605 for the upside target of Rs 695-700 levels with stop loss below Rs 540 levels.
SRF | Buy | Target Price: Rs 3,252 | Upside Potential: 16%
SRF in a chemical player engaged in manufacturing of industrial and specialty intermediates. Its diversified business portfolio covers fluorochemicals, specialty chemicals, packaging films, technical textiles, coated and laminated fabrics. It has applied for a total of 469 patents and has been granted 151 patents globally as of December 31, 2024. It anticipates robust agrochemical demand, marking a significant improvement over Q3, while its product pipeline remains strong. The fluorochemicals segment is set to perform better, driven by higher hydrofluorocarbon volumes. However, rising input costs and global economic uncertainties posed some challenges. Despite these headwinds, SRF maintained a strong balance sheet, and the outlook remains positive due to sustained demand and expansion plans in emerging markets. Thus, it is expected that the stock may see a price target of Rs 3,252 in 8 to 10 months.