When a new year begins nothing quite changes fundamentally in equity markets but many investors use the opportunity to rethink their portfolios, pick winning themes and discard losers from their pockets. Themes like capex, PSUs, manufacturing and consumption look hot in the new year 2024.
At the index level, the most bullish target for Nifty in 2024 goes up to 25,000 while bears are expecting a downside of up to 25%.
Here are top 10 stock ideas for your 2024 portfolio:
1) Greenply Industries
The bulk of the residential real estate in the last 2-3 years will start hitting completion in CY24 onwards driving the building materials segment like Woodpanel (Ply, Laminates and MDF) . Greenply will be one of the key beneficiaries of the same. We have valued the company at P/E of 26x FY25E with a TP of Rs 295.
(ICICI Direct)
2) Cyient
The aerospace industry is poised for a decadal supercycle, driven by sustainability pressures and a pending platform upgrade, leading to increased ER&D spending. On the other hand, the growth in the rail segment would be moderate and it will primarily be a software-driven growth. We maintain our buy recommendation with a target price of Rs 3,000/share (30x FY26 EPS).
(Axis Securities)
3) Kotak Mahindra Bank
The bank is seeing healthy credit demand in the retail segment as well as significant portion of its loan book is secured which places the bank well amongst its peers. Also, the recent appointment of Mr Ashok Vaswani as MD & CEO will play out well for the bank.
(Religare Broking)
4) Paushak
Paushak is working on technological up-gradation, capacity augmentation while being more or less debt free and a dividend paying entity. The vision of the Management is very much in line with the concept of making India self-reliant in terms of specialty chemicals manufacturing. We continue to be positive on the stock and maintain the target of Rs 9555.
(Progressive Shares)
5) Wonderla Holidays
Attractive valuations of 14x/10x its FY25E/FY26E EV/EBIDTA, a sturdy balance sheet despite a huge capex and double-digit earnings visibility makes WHL a comfortable play in discretionary space. Price target: Rs 1,137.
6) Pitti Engineering
At the current CMP, the stock looks attractive at 14x 1-year forward consensus PE. In view of the above-mentioned growth drivers, we value the company at 19x on FY26 earnings to arrive at a target price of Rs 915 per share.
(Axis Securities)
7) NMDC
NMDC’s production volume remained flat over the seven-year period over FY14-21 at ~30-35 MT but is on the path to achieve the production of ~46 MT in FY24 and likely to cross ~50 MT production volume by FY25. We have baked in volume CAGR of ~13% to 55 MT by FY26E. This is amidst its ambitious target to expand its capacity to 67 MT by FY26 and further to 100 MT by FY30. Target price: Rs 250
(ICICI Direct)
8) Eicher Motors
With the industry witnessing gradual shift towards 125+cc category of motorcycles, Eicher will be a direct beneficiary of such a trend. Also, in line with the growing EV demand, Eicher will leverage its Stark Future investment with is aimed to accommodate the EV demand in the commercial vehicle segment. Target price: Rs 4550-4800.
(Religare Broking)
9) The Indian Hume Pipe & Co. Ltd.
The company is focusing on project completions, and pacing up with newer emerging opportunities with immense scope in infra related activities. The company has also updated on the various projects
across the land parcels that it owns and realizations from the same would help the company be a debt free entity over the next 5-6 years. Target price: Rs 310
(Progressive Shares)
10) Nelcast
There are a number of opportunities steaming up in the EV space and Nelcast is pretty active in that segment while gearing up with new products/client additions, technological advancements etc. to be able to capitalize on these prospects. The company is working towards increasing production, better capacity utilizations, better Ebitda/kg with minimum capex requirements which can aid better debt servicing as well as report better return ratios going forward. We continue to be positive on the stock and maintain the target of Rs210.
(Progressive Shares)
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
