Stocks to Buy: Analyst sees bumper returns in Voltas, Sharda Cropchem, Tata Power among others amid strong outlook

In a conversation with Zee Business, Siddharth Sedani, Head - Senior VP - Equity Support & Product Sales at Anand Rathi mentioned that the market is showing utter volatility and trading in range-bound wherein 15700 is an important support level and resistance at 16400 levels at the upper end.

Sedani suggested investors keep adding good stocks in SIP manner, as this volatility eases going forward, and Indian markets may bore bumper returns in 6-12 months perspective.

The Indian markets on Friday closed higher with Sensex growing over 1500 points and Nifty settling above 16250 levels. The market analyst suggested Voltas, Sharda Corpchem, Tata Power among other stocks on the back of strong fundamentals and a positive sectoral outlook.

Voltas – Buy, Target: Rs 1146, Stop Loss: Rs 860

Leading player in the AC segment, the market analyst recommended Voltas to Buy on the back of strong fundamentals and seeing the demand in the summer season. He said the Tata Group company stock has good potential to rise and suggested keeping this stock with a positional view.

Sharada Cropchem – Buy, Target: Rs 835, View: 12 months

The company is in a niche business, and the entry barrier is good, Sedani said. He added, that Sharda has reported 52 and 49 per cent growth in revenue and profit in FY22, besides it has planned a Rs 400 crore capital expenditure till FY24, and it will grow between 15-20 per cent.

Q4 Results: NTPC, Sobha, Thermax

In NTPC, Sedani said the power segment itself is attractive and any stock in this segment may give bumper returns. He suggested that NTPC investors should hold this stock, however, he believes Tata Power has a strong conviction and sets Rs 316 as a target price.  

Similarly, the realty pack is also doing good and hence, Sedani suggested Sobha investors to hold the stock as it is building some traction.

For Thermax, the market analyst advised to sell this stock as it not being attractive, moreover the company has also reported muted earnings in the March quarter of FY22.