HDFC Securities' top stock picks -
ACC: ACC has a big scope for improvement in productivity and efficiency parameters as it currently lags a lot of its peers. The new owners could take steps to grab this low hanging fruits soon, the note stated.
“We believe investors can buy the stock in ₹2391-2440 band and add on dips to ₹2163-2207 band for a base case fair value of ₹2634 and bull case fair value of ₹2813 in 2-3 quarters."
Federal-Mogul Goetze: FMGIL is the 2nd largest player in the organized market of pistons and piston rings in India with more than 30% market share.
“It has comfortable financial profile and has a slew of new launches lined up. We expect FMGIL to record growth in revenues and PAT 19/35% CAGR over FY22-FY24. We think investors can buy the stock in the band of ₹316-322 and add on dips to ₹271-277 band for a base case fair value of ₹354 and bull case fair value of ₹380 over the next 2-3 quarters," HDFC Securities recommended.
Dr Reddy's: DRL is one of the few Indian players with a meaningful presence in China and a growing portfolio of filings that can transform into a structural growth driver for the company, it said.
“We expect the company to register revenue, EBITDA, and Adj. PAT CAGR of 9%, 22% and 15% respectively over FY22-24E. We feel investors can buy the stock in the band of ₹4318-4365 and add more on declines to ₹3893 for base case target of ₹4756 and bull case target of ₹5080 over the next two quarters," as per the brokerage.
The views and recommendations made above are those of individual analysts or broking companies, and not of Mint.
