Samvat 2080 | Bet on Zee, PVR-Inox, Biocon and TTK Prestige, says Geojit
HDFC Bank, PI Industries, Biocon, TTK Prestige, Amara Raja Energy, Asian Paints, Cromption Greaves Consumer, Zee Entertainment Enterprises, PVR Inox and Reliance Industries are among the top 10 Diwali picks by broking house Geojit.
HDFC Bank | Brokerage house expect the NII to have bottomed up and anticipate a gradual recovery in the near term. The merger with HDFC Ltd (NBFC), is likely to be beneficial in the medium to long term. While valuation has become attractive.
PI Industries | With a sustainable margin profile of over 25 percent, Geojit expect the earning to grow by 20 percent over FY23-25E. The company's strong focus on diversification, R&D, strategic acquisitions, CSM order book, and export growth are set to support its future performance.
Biocon | Increase in market share across the US and European market, higher traction for biosimilars with new product launches and increased investment in R&D augur well for futures performance.
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TTK Prestige | Demand and margins to improve aided by upcoming festive season and lower input price. The long-term outlook remains positive given rising middle-income households, improvement in the real estate sector, and easing input prices, along with TTK’s strong brand recall.
Amara Raja Energy | A strong value buying opportunity in the battery segment to support long term visibility. Investment for technological up-gradation in the lithium ion project for 2W/3W batteries is progressing as per schedule and have started supplying lithium battery packs for 3W applications.
Asian Paints | Broking firm expect demand to pick up from H2FY24 led by longer festival and marriage season while expansion in the distribution network to support the decorative volumes. Despite a spike in oil prices, superior product mix and pricing power will aid earnings in the coming quarters.
Crompton Greaves Consumer | Geojit expect demand to pick up from H2FY24 led by longer festival and marriage season while expansion in the distribution network to support the decorative volumes. Despite a spike in oil prices, superior product mix and pricing power will aid earnings in the coming quarters.
Zee Entertainment Enterprises | The subscriptions segment displayed a strong performance, and expect the ad revenue to improve as advertising spending by the companies has started picking up. Moreover, merger between ZEEL and SPNI will enhance margin expansion by reducing content cost.
PVR Inox | The company anticipates achieving robust revenue growth and profitability in the upcoming festival season, driven by new screen additions and a strong content pipeline, resulting in improvement in the Average ticket price and a robust Spend Per Head (SPH) on food.
Reliance Industries | The company exhibited resilience amid energy market fluctuations. Going ahead, its retail business, Jio and entertainment will be pivotal catalysts for future growth. Additionally, the company's robust cash flows and proactive pursuit of new opportunities, particularly in clean energy, contribute to a promising long-term outlook.
