Produced by: Pawan Kumar Nahar
Domestic brokerage firm YES Securities has picked four stocks from various sectors. The brokerage firm believes that these four stocks may deliver up 20-27 per cent returns in the next 12 months.
Rating: Buy Target Price: Rs 725 Upside: 27%
Novelis is a key contributor to Hindalco’s earnings. Commanding more than 50 per cent of EBITDA earnings share, Novelis profitability is largely insulated from the LME Aluminium pricing risk. HIL is focused on expanding its downstream businesses, which are high margin markets in India as well as for Novelis
Rating: Buy Target Price: Rs 1,854 Upside: 20%
HCL Tech’s operating performance has relatively been steady for the Consolidated business, while the Service business (IT + ER&D) has delivered remarkable performance over the last two years, up 15% YoY in CC terms each in FY22 and FY23. HCL Tech derives ~60% of its revenues from verticals that are relatively insulated from current macro uncertainties
Rating: Buy Target Price: Rs 508 Upside: 25%
Pricol’s substantial market share in instrument clusters and long-standing customer relations should propel faster growth than the industry. Pricol has a strong new product pipeline which gives visibility on the growth of the company. Integrated solutions such as advanced telematics and e-cockpit are likely to enhance the content per vehicle.
Rating: Buy Target Price: Rs 190 Upside: 22.5%
Federal Bank has a large presence in the southern states of the country with a huge asset and a liability franchise, however the bank is diversifying away from Kerala. With a reducing concentration in the home state and increased geographical diversification, the bank is strengthening its position in the market