In the Samvat 2079, the Indian benchmark indices performed well despite global uncertainties. In this Samvat, the BSE Largecap and Smallcap indices gained 8 percent and 33 percent. Broking firm Choice Broking has picked these eight smallcap and largecap stocks for Samvat 2080 for an upside up to 40 percent.
2/9
Yatharth Hospital & Trauma Care Services | CMP: Rs 372 | Target Price: Rs 523 | Potential Upside: 40 percent. Analysts like Yatharth Hospital & Trauma Care Services because of these factors: (1) It is a leading super-speciality hospital in the Delhi-NCR, (2) Diversification into new specialities where the margin is higher than the current margin, (3) Expansion into other regions through inorganic growth, and (4) Focus on increasing the share of international patients and improving ARPOB. Expect Revenue / EBITDA / PAT to grow at a CAGR of 20.0%/ 23.2%/ 26.6% during FY23-26 and ascribe an 'outperform' rating on the stock.
3/9
Bharat Dynamics | CMP: Rs 1,038 | Target Price: Rs 1,346 | Potential Upside: 29.5 percent. Bharat Dynamics developed skill sets and infrastructure, and is poised to enter manufacturing of a wide variety of weapons/systems in defensive and offensive platforms. The broking firm has a positive outlook on the stock because it is serving the strategic needs of the MoD and Indian defence forces.
4/9
Lumax Auto Technologies | CMP: Rs 366 | Target Price: Rs 457 | Potential Upside: 24.8 percent. The broking house has a positive view on the stock, given its diversified product portfolio, improving PV share after IAC India acquisition, improving demand for automatic gear shifter and healthy growth in the aftermarket segment (looking to launch a new product in the 2W segment) to bode well for the stock to register healthy growth over FY23-FY25 and to outperform the industry growth. We value stock based on 17x of FY25 EPS with a TP of Rs.457 and recommend outperform.
Mahindra Lifespace Developers | CMP: Rs 495 | Target Price: Rs 594 | Potential Upside: 20.6 percent. The broking house maintains a positive view on the stock, given the upcoming launches in the mid-income and Premium housing segment, plotted development, new projects in the premium Mumbai market with society redevelopment, healthy debt profile, expanding geography, strong brand visibility, and strong parentage background (categorizes MLDL in the growth gem category at the group level). Recommend outperform rating with a SoTP-based target price of Rs 594.
6/9
Dalmia Bharat | CMP: Rs 2,109 | Target Price: Rs 2,515 | Potential Upside: 19.5 percent. The management anticipates a robust cement upcycle in India, with demand expected to grow at 8%-9%. The company is focusing on cost optimization and significant capex to drive growth. Based on the FY26 estimates, the broking house projects a CAGR of 6.0% in revenue, 22.0% in EBITDA, and 15.0% in PAT from FY23 to FY26. The target EV/EBITDA multiple remains at 12x, leading to a target price of Rs 2,515. Consequently, upgraded rating to ADD.
7/9
L&T Technology Service | CMP: Rs 4,270 | Target Price: Rs 5,090 | Potential Upside: 19.2 percent. Their partnerships with hyper-scale companies and chip manufacturers are enabling them to create AI solutions and services that cater to the needs of industries such as automotive, manufacturing, and medical. While the deal pipeline remains positive, recent weeks have introduced increased uncertainty, leading the management to adopt a more cautious approach. As a result, the company revised their revenue guidance for FY24 to a range of 17.5-18.5% growth in constant currency.
8/9
TCS | CMP: Rs 3,389 | Target Price: Rs 4,040 | Potential Upside: 19 percent. Strong demand for services, commitment to long-term projects, and a willingness to experiment with new technologies boost confidence in long-term growth. Analyst expect FY26 revenue, EBIT, and PAT to grow at a CAGR of 8.3%, 9.5%, and 9%. Recommend to 'add' TCS with a target price of Rs 4,040, implying a PE of 25x on FY26 earnings of Rs 162.
Bharat Electronics | CMP: Rs 138| Target Price: Rs 151 | Potential Upside: 12.9 percent. The broking firm likes the growth story of BEL due to its position as the sole supplier of various equipment’s and systems, ongoing innovation in diverse products. It has a positive outlook on BEL, supported by BEL is the direct beneficiaries of GOI’s self reliance on defence sector, rising defence spending across all segment (Naval, Army, Air Force), diversify it business to civilian segment, focusing on system level integration, the company’s healthy order book stood Rs 687 billion. (3.9x of FY23 revenue), would support the the growth story of the company. It has an 'add' rating on the stock with a Target Price of Rs 151, valuating it on 28x of FY26E EPS.
