In its 2025 outlook note, Bajaj Broking expects Nifty to maintain its upward momentum and target the 28,700 level in the coming year. This is the confluence of the value of the rising trendline on the yearly chart, connecting major highs since 2014, as well as measuring implications of previous significant rallies, the brokerage said.
It however noted that the upward movement would be gradual and non-linear, with healthy corrections expected along the way which will make the overall trend healthy. The brokerage suggested five stocks for 2025, which it believes can deliver 24-32 per cent upside in the year ahead. They included:
Prestige Estates Projects Ltd | Target price: Rs 2,290 Bajaj Broking said the share price of Prestige Estates is at the cusp of breakout above the bullish flag formation, signaling continuation of the up move and offers fresh entry opportunity. It expects the stock to head towards Rs 2,290 level in the coming year, which is its 138.2 per cent external retracement of the last decline of Rs 2,074 to Rs 1,506 level.
It noted that the company management has projected pre-sales of approximately Rs 24,000 crore for the financial year. In the first half of FY25, the company achieved presales of around Rs 8,000 crore. The management is confident in meeting their target and plans to launch major projects in the remaining quarters.
"The upcoming launches are expected to have a Gross Development Value (GDV) of Rs 52,000 crore, potentially resulting in pre-sales of around Rs 20,000 to Rs 22,000 crore. This aligns with the management’s pre-sale guidance and may even surpass it during FY25," it said.
HUDCO | Target price: Rs 314 Bajaj Broking said the HUDCO stock has generated a breakout above the falling channel, signaling the resumption of the upmove and offers fresh entry opportunity. The stock has recently rebounded, taking support at its 12-month EMA. It expects the stock to head higher towards Rs 314 level in the coming quarters, which is being the 80 per cent retracement of the last decline from Rs 353 to Rs 192.
Fundamentally, the brokerage believes the tailwinds are emerging from the recent PMAY-2 Housing Scheme, which would translate into disbursements of Rs 75,000 crore to Rs 1 lakh crore in the next three years alongside robust urban infra financing opportunities from NHAI projects announced by States recently alongside existing sanctions pipeline.
"Besides, the structural drivers to growth are emanating from 1) vigorous leadership with further strengthening of human capital (count: 602) with 60 new recruits, 2) incremental loan mix tilting towards high growth, high yielding urban infra assets (58 per cent), & 3) strong association with State agencies, leading to information asymmetry," Bajaj Broking said.
Laurus Labs Ltd | Target price: Rs 710
On Laurus Labs, Bajaj Broking said the stock is at the cusp of breaking above the "rounding formation", signaling resumption of an upmove. It expects the stock to accelerate this rise post breaking above the neckline of the rounding formation and head higher towards the all-time high Rs 710 level in the coming quarters.
Bajaj Broking noted that Laurus' Oncology sales were impacted by heightened competition in key products. However, the company anticipates a return to growth in this segment when compared to the previous year.
"The second half of the year is expected to be driven by a strong order book and the delivery of anticipated projects," it said.
Himadri Speciality Chemical | Target price: Rs 687 Bajaj Broking said the stock has generated a breakout above the supply line joining highs of 2007 and 2018, highlighting strength and extension of the upmove. It expects the stock to extend its up move and head higher towards the all time high Rs 687 level in the coming year. It suggested investors to buy the stock in the Rs 525-545 range.
"The development of first commercial plant with a 40,000 MTPA capacity for LFP Cathode Active Material is progressing as planned and is scheduled to be operational by Q3 FY27. Additionally, the expansion of a new speciality carbon black line with a 70,000 MTPA capacity is set to be completed by Q3 FY26," Bajaj Broking noted.
ITD Cementation India Ltd | Target price: Rs 670 Shares of ITD Cementation India Ltd has generated a breakout above the bullish Cup & Handle pattern in the long-term chart, highlighting acceleration of the upmove. Bajaj Broking expects the stock to rally higher and head towards the Rs 687 level in the coming quarters, being the measuring implication of the bullish breakout area.
The company has a pipeline of around Rs 30,000 crore in projects at various stages, with Rs 12,000-13,000 crore in bids already submitted. It expects to secure new orders worth approximately Rs 10,000 crore by the end of FY25. The management remains confident in achieving a revenue growth rate of 20-25 per cent in the coming years, Bajaj Broking said.