Large-Cap Stocks: There is a spectacular rally in the stock market. Sentiments seem strong for the domestic market. Since the Corona epidemic, the country’s economy has started coming back on track. The growth growth of companies is going to increase investor enthusiasm. At the same time, there is news of the corona vaccine coming soon. In such a situation, experts are saying that this market rally will continue even further. The Sensex has recently crossed the 45000 level, which means that it has gained nearly 20000 points since March low. Next year, the SENSEX target is 50 thousand. In such a situation, you can also take advantage of this fast by investing in some strong fundamental stocks. Here we have given information about some such shares for further investment.
Market sentiments strong
Currently, the market sentiments are looking strong at the domestic level. Macro environment has been improved. COVID 19 vaccine is expected to hit the market soon, which has increased the enthusiasm of investors. Global rating agencies are now giving better estimates of growth in the economy. The trust of foreign investors remains on the Indian market, so there is no lack of liquidity. At the same time, the expectation of early use of Corona vaccine has increased in India. The interest rate is at lower levels. Demand is now coming in the market. Rural sentiments are also good. The best thing is that growth has started in the earnings of companies.
Maruti Suzuki
Return Estimate: 10 percent
Brokerage house Sharekhan has advised to invest in Maruti Suzuki with a target of Rs 8500. In terms of current price of Rs 7750, investors can get 10% return in Maruti. The brokerage house says that the situation in the auto sector is getting normal, leading players like Maruti will benefit the most. Maruti has the highest market share in India. Apart from urban areas, the company’s vehicles are also in demand in rural areas. The company’s product portfolio is superior. From time to time, the company keeps bringing new products, which gets its benefit. Data on auto sales are improving. It is estimated that the company’s earnings growth for FY2022E and FY2023E can be 44.5% and 19.5%.
Bajaj Finance
Return Estimate: 23 percent
Brokerage house ICICI Direct has suggested an investment in the stock of Bajaj Finance with a target of Rs 5900. In terms of current price of Rs 4790, it can get 23 percent return. The business environment of NBFC companies is improving after the Corona epidemic. Demand has become better than before. Management commentary has been positive. Growth Guidance is improving. Both loan growth and recovery growth are expected to increase further. In the second quarter, Bajaj Finance’s net interest income grew 4 per cent year-on-year to Rs 4,165 crore. Asset quality is better than before. Gross NPA has come down to 1.03 percent.
ICICI Bank
Return Estimate: 20 percent
ICICI Bank has become the choice of brokerage house MK Global Financial. The brokerage has suggested an investment in the stock with a target of Rs 600. In terms of current price of 500 rupees, the stock can get 20 percent return. ICICI Bank shares have been steadily rising for the last few days. ICICI Bank has increased spending on its digital platform. It will be further benefited. ICICI Bank made a profit of Rs 4,251.3 crore in the second quarter. This is 6 times more than the year-ago quarter. Net NPAs have come down to 1 percent. The bank’s deposits grew by 20 per cent on an annual basis to Rs 8,32,936 crore. Domestic loan growth has increased by 10 per cent on an annual basis. There has been a 13 percent growth in retail loans.
(Note: We have given information here based on the report of the brokerage house. There are risks in the market, so take the opinion of experts before investing.)
Source: www.financialexpress.com