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Buy, sell, hold: 9 cherry picked stocks for your portfolio

Kotak's preferred picks are ITC, Britannia Industries, Colgate Palmolive, GSK Consumer and Bajaj Corp.

December 21, 2016 / 15:09 IST
     
     
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    Moneycontrol BureauHere are nine stocks that brokerage firms are watching out:PFC, REC

    UBS says Power Finance Corporation and Rural Electrification Corporation look inexpensive, with healthy return on equities & over 5 percent dividend yields.

    The brokerage house has increased target price on PFC to Rs 150 from Rs 145 and raised target on REC to Rs 165 from Rs 145.

    Consumer space

    Kotak says consumer universe underperformed the broader markets by 1 percent and 13 stocks of 23 under coverage underperformed over the past month.

    It further say raw material trends were broadly inflationary with high inflation in agri inputs while pricing, promotional activity and launches witnessed a dull month.

    Despite correction, sector valuations remain rich at 31x FY18 earnings, the brokerage house feels.

    Kotak's preferred picks are ITC, Britannia Industries, Colgate Palmolive, GSK Consumer and Bajaj Corp.

    Microfinance

    Antique Stock Broking has a buy rating on Equitas Holdings with a target price of Rs 217 and Bharat Financial Inclusion with a target of Rs 911.

    Maharashtra government has ordered special investigation team to probe violations by non-banking finance companies-micro financial institutions (MFIs).

    Local political interference has always been a risk factor for the sector, the brokerage house says, adding violations referred could come from moneylenders or fringe MFIs.

    first published: Dec 21, 2016 09:39 am

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