Here is a list of top stocks to buy this Muhurat Trading day for a potential upside of up to 48% in Samvat 2074:
National Peroxide: BUY| Target Rs2965| Return 48%
National Peroxide, controlled by the Wadia Group, is the largest domestic producer of hydrogen peroxide, with a current capacity of 95,000 MTPA and has a domestic market share of 45 percent.
National Peroxide is benefitted from Anti-Dumping duty as it has been levied on Hydrogen Peroxide for a period of 5 years on imports from six countries i.e. Bangladesh, Taiwan, South Korea, Indonesia, Pakistan, and Thailand. In India imports of hydrogen peroxide contribute nearly 20 percent of demand.
Its market leadership position, new capacity expansion, the strong domestic demand of Hydrogen Peroxide makes us buoyant about NPL growth story. The stock trades at 23.3x its FY19E earnings.
Sintex Plastics Technology: BUY| Target Rs135| Return 48%
Sintex Plastics Technology Limited (SPTL), is a globally respected conglomerate with interests across building materials and custom moulding. The company enjoys global presence with 36 manufacturing facilities spread across India, Europe, North Africa & USA.
SPTL is currently trading at 12.4x FY17 EPS of Rs. 7.6 which is attractive considering other plastic companies like Nilkamal and Supreme Industries which are trading at a PE of 20 and 33 respectively.
The brokerage firm recommends a BUY call on SPTL at a PE 12x of 2019 EPS with a target price of Rs.135, upside of 48%.
Pondy Oxides: BUY| Target Rs850| Return 38%
Pondy Oxides & Chemicals Limited (POCL) produces the highest quality lead and lead alloys and PVC additives which are supplied to battery manufacturers, chemical manufacturers and PVC extruded and moulded products
During FY 13-17, company revenue has grown at a CAGR of 21 percent and PAT has grown at a CAGR of 71 percent. We are expecting company’s revenue to grow at 18% CAGR for next 3 years as Lead demand in India will be strong.
POCL is trading at 11.7x FY17 EPS of Rs50.1 and 7.3x FY19E EPS of Rs80.6. The brokerage firm recommends a BUY call on POCL at a PE 10.5x of 2019 EPS with a target price of Rs. 850, upside of 42 percent.
Jagran Prakashan: BUY| Target Rs205| Return 20%
Jagaran Prakashan Ltd is a media company with businesses across printing and publication of newspapers and magazines, FM Radio, Digital, outdoor advertising, promotional marketing and event management.
Higher ad-spends are witnessed at a time of central and state elections which have aided revenue growth due to increase in campaign-related activities. The upcoming state elections in 2018, state and general elections in 2019 present significant opportunities.
The brokerage firm fee that Jagran is well placed to benefit from this opportunity given its presence across media segments.
Minda Corporation: BUY| Target Rs183| Return 26%
Minda Corporation is a diversified auto-ancillary with product portfolio encompassing from safety Security and Restraint Systems. It caters to all key segments of PV, CV, 2/3W, tractors etc.
Minda Corp derived 39 percent of its revenues from Safety and Security Systems, 47% from Driver Information and Telematics Systems, 14% from interior systems in FY17. In terms of end market, 31% of the revenues were contributed by 2/3 wheeler, 36% from PV’s, 23% from CVs and 10% from the aftermarket.Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.