Stocks to watch out for in December 2021; know target, market cap, upside and more
As the year comes to a close, the investors who are interested in investing in stocks are looking for stocks to pick for the last month of 2021. Here is a list of four stocks that investors can think about for the month of December.
ICICI Bank: BUY | CMP-Rs 716 | Target- Rs 881 I Upside- 23%
The market cap of the company is Rs 503,210 crore. As per Yes Securities, in ICICI, there is an ability to increase, prospectively, the share of higher-yielding loans in a risk calibrated manner. ICICI currently trades at an implied valuation of 2.2x standalone FY23 P/BV. Source: icicibank.com
PNC Infra: BUY | CMP-Rs 300 I Target- Rs 405 I Upside- 35%
The market cap of the company is Rs 7702 crore. As per Yes Securities, there is robust tendering from NHAI to boost the awarding activities in the near term driven by HAM and EPC projects. The recent order inflows, continued focus on asset monetization and comfortable balance sheet provide comfort. It trades at an attractive P/E of 15x FY23. Source: pncinfratech.com
Apollo Pipes: BUY | CMP-Rs 603 I Target- Rs 784 I Upside- 30%
The market cap of the company is 2415 crore. As per Yes Securities, Apollo Pipes has been predominantly present in north India where it commands a robust market share. With new capacities in place, the company is set to expand its regional presence in West, South, East, and central India. This will lead to strong volume growth of 31 per cent over FY21-FY24E. Apollo Pipes is currently trading at P/E(x) of 25x on FY24E EPS as compared to the industry average of 34x. EPS as compared to the industry average of 34x. As Apollo Pipes is on the cusp of becoming a leading pan-India player, it should fetch similar valuations compared to other pan-India players. Apollo Pipes is trading at 22x on FY24E EPS of Rs76.5. Source: apollopipes.com
Oberoi Realty: BUY | CMP-Rs 885 I Target- Rs 1130 I Upside- 32%
The market cap of Rs 31,640 crore. As per Yes Securities, Oberoi is in process of commissioning annuity assets (Sky City mall, Commerz III, Sky City extension) and hospitality assets (Ritz calton-worli & Sky city Borivali) which will take the annuity revenue to 4.2x from the current Rs3.3bn and hospitality revenue to double to Rs2.8bn by FY25E. Furthermore, Oberoi is expected to launch the thane project in Jan-22 which will further boost the company’s cash flow as the projects have a developable area of ~14msf and with a selling price of Rs15000/sft. The company can generate topline of Rs 210bn and with a minimum 30 per cent profit margin (conservative) company will have net cash flow of Rs 63 bn and will contribute Rs173/share to NAV. Source: oberoirealty.com
(Disclaimer: The views/suggestions/advices expressed here in this article is solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)