The occasion is also considered auspicious to start a new business activity and the bags and trading houses are adorned with diyas and colorful rangoli patterns.
NSE said operations will begin at 6:15 p.m. M. And they will last until 7:15 p.m. M. November 14. There will be a pre-open Muhurat session from 6pm. M. At 6:08 p. M. And a post-closing session between 7:25 p.m. M. and 7:35 pm.
Traditionally, the market has shown a positive bias during the Muhurat trading session. The BSE Sensex benchmark index has closed positive in nine of Muhurat’s last 12 trading sessions since 2008. On Friday, Sensex finished Samvat 2076 at 43,443 and Nifty50 at 12,720.
The BSE Sensex benchmark index gained 192 points, or 0.49 percent, to 32,250 in last year’s Muhurat trading session. On October 28, 2008, the day of Diwali, Sensex jumped 5.86 percent in a single session to settle at 9.008.
In other years, Nifty has stayed in a narrow 0.5 percent range. Only in the years 2012 (0.28 percent less), 2016 (0.04 percent less) and 2017 (0.60 percent less), the 30-share index closed lower in the operations of Muhurat.
Samvat 2077 screenings
Analysts at a dozen brokerages that participated in ETMarkets’ pre-Diwali survey said that Sensex could rise to the 47,000 level and Nifty50 to 14,000 by the next Diwali.
AK Prabhakar of IDBI Capital Markets set a target of 45,000 for Sensex and 13,000 for Nifty by the end of Samvat 2077.
Narendra Solanki, Head of Equity Research at Anand Rathi Shares & Stock Brokers, said that given the consensus forecast for Nifty50 earnings and underlying recovery expectations, one can look at a Nifty target of 14,400 for next Diwali. Based on the price-to-book forecast, the Nifty50 target for the upcoming Diwali is 13,700, he said.
“A level of around 14,000 in Nifty seems achievable by the next Diwali. For Sensex, the target should be around 47,000, ”he said.
Shares to buy at Muhurat Trading Session
Here are the best options for Diwali from various brokerages:
ICICI Bank | Target price: Rs 530
ICICI Bank is well positioned in the current scenario to gain market share in loans, deposits and income thanks to its financing position and product offerings. IIFL Securities expects CAGR 12 credit growth during fiscal 20-23 E, helped by higher growth in retail loans. The gradual reduction of excess liquidity and an increase in the retail loan mix would help NIMs in the future. (recommended by IIFL Securities)
HCL Technologies | Target Price: Rs 1,000
The brokerage believes that HCL’s portfolio is relatively insulated from its peers as it has the lowest concentration in verticals such as travel, energy, hospitality and the highest exposure to low-impact verticals such as healthcare and BFSI technology. , has a 37 exposure to IMS (Resilient Service Line) where it has strong partnerships and capabilities that can enable it to capitalize on opportunities in areas of cloud migration and network security. (recommended by IIFL Securities)
Ashok Leyland | Target price (2 years): Rs 101
The market share in the medium and heavy commercial vehicle (M & HCV) segment continues to be more or less stable over the years. Therefore, you do not have a higher risk that a new launch by the competitor will take a large part of the shares, unlike passenger cars. Additionally, pricing discipline is generally maintained unlike aggressive two-wheeler player pricing. Therefore, the competitive pressure for the M & AVC industry is the least, in our opinion. Ashok Leyland has developed a strategy for its light commercial vehicle business to gain market share with new products and segments. (recommended by Reliance Securities)
Forge of Bharat | Target price (2 years): 551 rupees
The strong rebound in the auto business after a big drop and strong double-digit growth in the high-margin engineering business will be the biggest triggers for Bharat Forge’s earnings and valuation close to engineering conglomerates, in the future. Its consolidated and independent margin is expected to improve by 420 basis points and 510 basis points during fiscal 20-23E, respectively. (recommended by Reliance Securities)
HDFC AMC | Target price (2 years): Rs 3,250
HDFC AMC has generated enviable earnings growth (22% CAGR) over the last 7 years and has earned investor confidence thanks to its strong banking affiliation. Looking ahead, with strong corporate governance, brand equity, distribution across India and a steady stream of SIP flows, HDFCAMC is likely to see continued traction. (recommended by Reliance Securities)
KPR mill | Target price: Rs 1105
KPR Mill may be a potential beneficiary of the emerging global trend of CHINA + 1 policy due to its strong presence throughout the textile value chain. Global brands often look for companies that have a vertical presence, as they have better quality controls and compliance with timely delivery. In addition, global players emphasize strong business ethics, adherence to global and industry standards, fair labor practices, and other social issues. YES Securities believes that KPR Mill, with effective management skills and efficient operational capabilities, meets the required business and social parameters. The company also enjoys competitive advantages, such as favorable transportation cost. (recommended by Yes Securities)
Manappuram Finance | Target price: 225 rupees
The latest price correction was driven by concerns arising from the decrease in tonnage in the first quarter of fiscal year 21 and higher LTVs allowed to banks. However, the concurrent positive trends in collateral and customer acquisition should allay these investor concerns. The increased share of gold loans and their increasing profitability strengthens MGFL’s already strong capital and financing / liquidity position. (recommended by Yes Securities)
Kansai Nerolac Paintings | Target price: Rs 700
YES Securities is bullish on Kansai Nerolac supported by expected improvements in structural drivers, such as shift to organized sector, drive for semi-urban and rural housing, shorter paint cycles, governments focus on increasing revenue rural areas and increased consumer awareness in rural areas. Lower commodity prices to aid in higher gross margins and most of the negative impact due to lower absorption of fixed costs would be offset by higher GM for the remainder of fiscal 21. The brokerage expects that ROE moves to reach 17 percent for fiscal year 23E. (recommended by Yes Securities)
Mahindra and Mahindra | Target price: Rs 800
YES Securities is positive on M&M supported by its efficient operations obtained through a strong focus on cost optimization, value engineering, improved supply chain management, productivity improvements and exploitation of synergies between various group businesses. (recommended by Yes Securities)
Crisil | Target price: 2600 rupees
YES Securities is positive at Crisil due to its strong presence in the ratings industry, growth rate above average compared to GDP, presence in risk-free non-credit business, high barriers to entry, business with few assets and a debt-free balance sheet, better pricing power compared to its peers due to a stronger brand and high profitability ratios. (recommended by Yes Securities)
Bharti Airtel | Target price: Rs 650
Bharti’s execution has been excellent in recent quarters, as evidenced by strong cumulative growth in India’s mobile EBITDA of 16% over the last two quarters. Solid subscriber additions of 10 million lead to a cumulative ARPU improvement of 5 percent. (by Motilal Oswal Financial Services)
State Bank of India | Target price: Rs 300
The earnings normalization cycle for SBI has started and continues to be the best play among PSU banks, in the gradual recovery of the Indian economy, with a healthy 71% PCR, strong capitalization, strong liability franchise and a improved core operating profitability. (by Motilal Oswal Financial Services)
Hero MotoCorp | Target price: Rs 3700
The two-wheeler specialty is poised for a faster turnaround than other two-wheelers due to its portfolio focused on rural areas and market leadership in the entry and executive segments. Given its better post-BS6 competitive positioning, the major automaker should continue to be in good demand with its economy-focused portfolio. (by Motilal Oswal Financial Services)
Dabur India | Target price: Rs 600
Dabur’s investment case is strong, supported by: (a) a dedicated focus on the herb segment, (b) an energy brand strategy, (c) a series of new launches, (d) a direct distribution reach increasing and (e) cost savings that would be reinvested in the business. (by Motilal Oswal Financial Services)
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