Diwali 2020: Buy These 10 Shares On Samvat 2077 To Get Up To 15% Return In One Year

Diwali is considered an auspicious day to invest in the stock market. The broader Nifty 50 index has delivered more than 60 percent returns in just an eight-month span, from a March low of 7,511. On March 24, BSE Sensex hit a 52-week low of 25,639 after the government announced a national shutdown to contain the rapidly spreading COVID-19. Since March, it rallied to hit a new all-time high of 43,708.47, earlier this week. Research firm Samco Securities has prepared a portfolio of 10 stocks, which it believes will overcome the uncertainties of the pandemic and offer a 15% return in one year. “The markets have seen a growing investor base and are resilient despite global challenges and we believe it continues to offer abundant investment opportunities,” he said.

HDFC life insurance: The brokerage firm noted that the favorable product mix and price change for protection products have also helped HDFC Life Insurance’s margin expansion. In the midst of a pandemic, a 25-26 percent margin guidance for fiscal year 21 by management seems achievable, therefore Samco Securities expects HDFC Life to be a strong composite story.

Pidilite Industries: Samco Securities in its report said that the manufacturer’s recent acquisition of Araldite is expected to further strengthen its leadership in the adhesive space. He added that the enormous scope of growth of the construction chemicals industry creates confidence in Pidilite’s future prospects.

Bharat Rasayan: According to the brokerage firm, as agriculture-related activities continued, demand for pesticides continued to be strong, allowing the company to maintain strong operating margins in the 18-23 percent range. It has also generated an exemplary 23 percent revenue CAGR over the past 5 years with strong cash flow generation.

Larsen and Toubro: “What guides the future of L&T is its magnificent order book which includes a 24,985 million rupee deal to develop a 237 km line for the Mumbai-Ahmedabad bullet train with long-term revenue prospects,” said Samco Securities. The stock has been quite hit, which makes it attractive from a valuation perspective and very limited. possibility of further downsides.

Bharti Airtel: The brokerage firm highlighted that with a strong partnership focus rather than ownership focus business model, Bharti Airtel can leverage its growing partner ecosystem to build digital assets and compete against the mighty Reliance Jio.

Kotak Mahindra Bank: Samco Securities said the RBI’s decision on loan restructuring and deferral of bad loan reporting after August is sure to delay true asset impairment, but even then Kotak appears to have an advantage in managing its assets with prudent risk management.

Finance Corporation for Housing Development: Samco Securities is bullish on HDFC shares. According to the brokerage firm, the environment going forward looks conducive to the home finance sector given low interest rates, lower property prices, lower stamp duty in certain states, and inherent strong demand. of home loans. HDFC appears to be in a comfortable liquidity position to benefit from these macros.

Dixon Technologies: Dixon is currently in the growth phase and is undergoing aggressive expansion in all product segments. This, along with a backward integration model, fungible capabilities, and a focused approach, will drive your growth going forward.

Marico: Samco Securities noted that in the medium term, Marico aims to offer a combination of healthy growth at the top and boom line with operating margins of 19-20%. He said that considering all the tailwinds, Marico seems like a good fit from an investment perspective.

Ambuja Cements: With the infrastructure push from the government, Ambuja Cements appears to be well positioned to increase some orders and increase sales. Samco Securities said that Ambuja Cements is a low-value stock trading at a 7x one-year forward EV / EBITDA with strong potential to benefit from the next infrastructure boom in India.

(The stock recommendations in this story are from the respective brokerage and research firm. Financial Express Online assumes no responsibility for their investment advice. Consult your investment advisor before investing).