Last Updated:
Stocks To Buy- If you are also looking for earning stocks, then the latest report of brokerage firm Motilal Oswal can be useful for you. In its report, the brokerage has advised investors to invest money in three stocks. Brokerage estimates that these shares can yield 12% to 17% returns in the short term.
Motilal Oswal’s top picks include Reliance Industries, L&T and Happy Forgings. According to the brokerage, the pace of new business of these companies, strong order book and better financial performance can strengthen their shares in the coming times.
Motilal Oswal has advised investors to invest money in Happy Forgings share and has fixed the target price of this share at ₹ 1,200. The target price is 1044 17% more than the current price. The brokerage says the company’s strong order wins and ability to consistently grow revenues make it an attractive stock in the mid-cap auto components space.
Motilal Oswal says that Happy Forging’s revenue is expected to grow at 17% CAGR during FY25-28. With this, margin may also increase by 230 basis points to 31.2%, which will be the result of better product mix and operational efficiency. Motilal Oswal says that the company can register 22% CAGR in earnings during FY25-28. Strong financial record compared to its competitors is its biggest strength.
Add StuffUnknownas
Preferred Source on Google
Motilal Oswal is also bullish on Larsen & Toubro (L&T) shares. The brokerage has given it a ‘buy’ rating and set its target price at ₹ 4,500. This is about 12% more than its current price of Rs 4035. The management is planning to invest ₹1 lakh crore over the next five years, which will give the company a strong presence in new-age sectors.
Motilal Oswal says that L&T has also expanded its business base in the Middle East, in which Saudi Arabia, Kuwait and Qatar are the major markets. Motilal Oswal says that L&T has learned from the mistakes of previous years and has now diversified its international business. Due to this, order inflow is expected to remain strong.
Motilal Oswal has maintained ‘buy’ rating on Reliance Industries and set its target price at ₹ 1,765. This is about 16% more than its current price of Rs 1549.50. The brokerage says that the company’s new energy business is expected to expand extensively from FY27, which is a big positive sign for long-term investors.
Motilal Oswal says that the demand for Battery Energy Storage System (BESS) can also become a big opportunity for the company for Reliance Industries, because the cost of batteries is decreasing in India and new uses like green hydrogen are increasing. Demand for BESS could be much higher than CEA’s estimate of 236 GWh. With this, Reliance’s green energy business can expand rapidly.
(Disclaimer: The stocks mentioned here are based on the advice of brokerage houses. If you want to invest money in any of these, then first consult a certified investment advisor. StuffUnknownwill not be responsible for any profit or loss of yours.)
