Brokerage Houses Latest Picks
Brokerage Houses Top Picks: The sentiments in the stock market are bad right now and there is nervousness among the investors. While old investors are worried about the losses in the market, new investors are avoiding investing in this volatile environment. However, if experts are to be believed, there are investment opportunities in the market all the time, the condition is that you identify the right investment. Considering the strong fundamentals, outlook and growth prospects of some companies, brokerage houses have advised investing in their shares with high target prices. You can take a look at this report.
Target: Rs 2,400
Return Estimate: 24%
Brokerage house Motilal Oswal says that SBI Life Insurance has been continuously giving good growth. Its APE growth between FY20 to FY25 stood at around 15%, while the overall industry growth was just 6%. The company’s growth in FY26 is also 15%, which is more than the industry’s 13%. The main reason for this is the large branch network of SBI and the large network of agents in private life insurance.
The brokerage says that the company is gradually changing the focus of its products and is moving towards more profitable traditional products. The protection business is growing faster than the rest of the business, and the company wants to increase its share from 9% to 9.5%.
Read full article
The brokerage says that if there is a limit on commission in future, the insurance business done through the bank may be affected. This may pose a short-term risk to new business and distribution. But its impact on the company is expected to be less, because its commission ratio is much better than the industry.
Target: Rs 975
Return Estimate: 70%
Brokerage house Nuvama says that the future of the company still looks strong and new projects are increasing. The brokerage believes that Jubilant Ingravia is well positioned to catapult itself into the category of large CDMO companies by adding new products to the CDMO business and a continuously improving pipeline. The company is also preparing for the future, such as working on new-age chemicals, so that it can take advantage of opportunities in the semiconductor industry.
We estimate a compounded annual growth (CAGR) of 13%, 21% and 24% in the company’s sales, EBITDA and profits over the next 3 years. The company’s shares are currently available at cheap valuations, while there is good growth potential. The stock is currently trading at 12x EV/EBITDA, which is quite cheap compared to other chemical companies. Therefore we maintain ‘BUY’ rating.
Target: Rs 550
Return Estimate: 35%
Brokerage house Matilal Oswal says that VBL is no longer just a company that manufactures and bottles beverage products, but is gradually becoming a big consumer distribution company. It is moving towards selling different types of products using its network.
Its partnership with Carlsberg Group indicates that the company may also enter the beer business in some African countries. Also, by starting to manufacture cold storage refrigerators, it is further strengthening its cold chain. The company is also expanding its product range and increasing production capacity by setting up four new plants in India.
International markets are now becoming a major reason for the company’s growth. While their share in total volumes was 21% in CY20, it has increased to about 31% in CY25. Although growth slowed slightly in CY25, the company still kept its margins stable and earned good cash. Due to the new plant, new products and strong distribution network, the company is poised for good growth in the long run.
Disclaimer: The advice to invest in the stocks given here is given by the brokerage house. These are not the personal views of ET NOW Swadesh. ET NOW Swadesh suggests its readers and viewers to consult their financial advisors before taking any money related decisions.
related news
Author
end of article
