Best Stock Tips: The stock market is reaching new highs every day. With the low of March 2020, more than 75 percent of this has come in the market. Seeing the height of the stock market, now many investors have started to fear Correction. In this boom of the market, many stocks have also become expensive and many are at their 1-year high or are approaching it. In such a situation, investors are afraid to put money in frontline stocks that have become expensive. But there are still some cheap stocks in this boom, whose fundamentals are looking strong. In these stocks, brokerage house Bhangi is seeing good returns ahead. You too can keep an eye on these stocks.
Brokerage houses recommend investing in stocks only after their research. The advantage of research is that if there is any risk, then information about it comes out. Second, the advantage of investing in cheap stocks is that they do not have the same effect of market fluctuations as inexpensive stocks. Due to these being cheap, you can diversify your portfolio by putting your money in different stocks. Among the stocks we have chosen here are Ashok Buildcon, ITD Cementation India, Sadbhav Engineering and NMDC.
Ashok is among the leading companies in the country engaged in the construction of Buildcon Highway. Apart from building highways and bridges, the company is also in the power transmission and distribution sector on EPC basis. The company has important projects from different state governments as well as central government. The company keeps a good record in terms of completion of its project on time, which makes the book strong. The company performed better in the second quarter and profit has increased on a quarterly and yearly basis. Labor availability has been better than before. Work has started at many sites with 100 percent capacity. There is also an improvement in toll collection. In the second quarter, the company got an order of 1400 crores, which increased the orderbook to 9300 crores. Brokerage house HDFC Securities has given a target of Rs 141 for the stock. In terms of current price of 74 rupees, it can get 90 percent return.
ITD Cementation India
ITD Cementation India is the country’s largest construction and civil engineering company. The company has nearly 8 decades of experience. Apart from high, bridge, flyover, tunnel, the company also produces industrial structures. The company also works in Dam, Water and Waste Management. The company suffered an operational loss in the second quarter, although the situation is getting better now. Work on the construction site has started as before. The company’s order book is strong and many large orders are in the pipeline. It is expected that the fourth quarter will prove to be better for the company. Brokerage house Prabhudas Liladhar has given a target of Rs 67 for the stock. In terms of current price of 54 rupees, it can get 24 percent return.
Harmony Engineering Limited is a civil engineering construction company. The company is in the works of mining and irrigation besides building roads, highways, bridges. Brokerage house Prabhudas Liladhar has set a target of Rs 87 for Sesar. In terms of current price of 50 rupees, it can get 74 percent return. Harmony Engineering performed better than expected in the second quarter. The margin is 12.1 percent which is healthy. Work on the project site has already intensified. Expectations have increased due to management commentary. The management expects the revenue for FY21E and FY22E to be 2200 crore and 3500-3600 crore.
NMDC Limited is a public sector mineral producer company in India. It comes under the Ministry of Steel. Brokerage house MK Global Financial has set a target of Rs 136 for the stock. In terms of the current price of 94 rupees, the stock can get 45 percent return.
(Note: We have given information here based on the report of the brokerage house. There are risks in the stock market, so take the opinion of experts before investing.)