9 Navratri Stock Market Gems: UltraTech to HDFC Bank, here are 9 best stocks to make your portfolio strong
9 Navratri Stock Market Gems: On this auspicious occasion, Zee Business TV has released a report wherein 9 outstanding stocks have been highlighted that will be of great value to investors.
9 Navratri Stock Market Gems: Navratri days are here and if you are looking to strengthen your portfolio, then you must consider these 9 gems (stocks) favourably. On this auspicious occasion, Zee Business TV has released a report wherein 9 outstanding stocks have been highlighted that will be of great value to investors. These 9 shares have been selected by the Zee Business Research team and can bring great prosperity to you.
Here are 9 best stocks to make your portfolio strong
Stock 1: UltraTech cement
Target price by Prabhudas Liladhar: Rs 5,125
Top reasons to invest:
- It has a strongest operating profit in the industry
- It will get support from rising prices in South India
- Margin of the company will improve as coal, pet coke prices fall by 10-12%
- It is working on new projects will start when the monsoon ends
- Debt of the company has reduced by Rs 1,022 crore in the previous quarter
- It will work on new technology with Hindalco and new technology will help in freight cost reduction
Stock 2: HDFC AMC.
Target price by Morgan Stanley: Rs 3,365
Top reasons to invest:
- Second largest mutual fund company in the country
- Market Cap of over Rs 32,000 crore
- Highest profitable mutual fund company of the country
- AUM of Rs 3.56 lakh crore by the end of June
- Focus on Tier-2 and Tier-3 cities for expansion
- More than 65,000 strong distribution network
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Stock 3: HDFC Bank
Target price by Morgan Stanley: Rs 1,700
Top reasons to invest:
- Strong distribution network of 5000 branches
- Retail loan growth over 16% despite weak credit growth
- Strong asset quality with better governance and management
- Having retail focus bank does not affect the problems of the sector
Watch this Zee Business special Navratri series here
Stock 4: JK Paper
Target price by IDBI Capital: Rs 184
Top reasons to invest:
- Second largest paper company in the country
- Ban on single use plastic will help
- Increasing domestic demand and imposition of anti-dumping duty on uncoated paper will benefit
- Great results in first quarter, 9.5% improvement in margin
- Working on Rs 2,100 crore capacity expansion plan in Gujarat
Stock 5: Spencer Retail
Top reasons to invest:
- Company formed after demerger from CESC
- 156 retail stores in about 40 cities
- Returned to profit from losses last year
- Acquired Nature's Basket from Godrej Group in May 2019
- No debt, cash in hand was Rs 220 crore by the end of FY19
- Focus on opening new stores in Eastern UP, West Bengal
- Company has expansion plans in Andhra Pradesh
- The company is focusing on e-commerce too
Stock 6: SpiceJet
Target price by Goldman Sachs: Rs 158
Target price by ICICI Securities: Rs 175
Top reasons to invest:
- To benefited from reduced competition, 32 aircraft added in first quarter
- Popular for India's first bio-jet fuel used in 2018
- Estimated to increase fleet capacity by 80% in the current financial year
- Passenger load factor increased to 93% in August, 2019
- Market share above 15%, demand expected to rise in festive season
Stock 7: Jubilant Food
Top reasons to invest:
- Margin improved after deal with PepsiCo
- 22 new stores opened in the quarter
- Expected to open 100 new stores in FY20-21
- Continuous focus on cost reduction
- Dunkin 'Donuts tuned profitable before Q4 guidance
Stock 8: TCS
Top reasons to invest:
- Market capital of around Rs 8.5 lakh crores
- Country's largest IT service company
- Tata Sons' highest profitable company
- Around 80% of Tata Sons' total income comes from TCS
- A company with more than $100 billion valuations in April 2019
- $17.4% annual growth in income over 13 years
- Bonus given to shareholders in 2009 and 2018
- Over 25% operating margin and has a lowest 11% attrition rate
Stock 9: L&T
Target price by ICICI Securities: Rs 1,663
Top reasons to invest:
1. Technology, engineering, construction-related company
2. Business in 30 countries other than India
3. FIIs have raised their share by 20% in FY19
4. Best performance in infrastructure sector in June 2019
5. 44% growth in infrastructure segment
6. Current order book of 3 lakh crore, order inflow of 46,000 crore expected in Q2FY20
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