Diwali Top Picks: 5 Stock Ideas To Light Up Your Portfolio In Samvat 2081 – News18

Last Updated:October 31, 2024, 12:30 IST

After analysing various brokerage recommendations, five names stand out as common favourites; Here’s the list

This Diwali, brokerages including HDFC Securities, JM Financial, Sharekhan, AngelOne, ICICIdirect and more have unveiled their top stock recommendations, highlighting opportunities for festive-season gains. Among the stocks favoured are sector giants like Reliance Industries (RIL) and State Bank of India (SBI), along with other high-growth names, reflecting sectoral resilience and strategic growth potential. After analysing various brokerage recommendations, five names stand out as common favourites, each backed by strong fundamentals and sectoral advantages. Below, we delve into why these stocks are considered solid bets for investors in the year ahead and what’s fuelling analyst optimism across multiple sectors.

Backed by HDFC Securities, JM Financial, Sharekhan, and 5paisa, Reliance Industries is positioned as a top Diwali pick, driven by its expanding telecom, retail, and new energy divisions. Brokerages have set target prices ranging from Rs 3,243 (HDFC Securities) to Rs 3,500 (JM Financial), banking on potential 15% profit CAGR through FY27. Risks include high capex and pressures from natural gas pricing.

With support from Religare, Kedia Advisory, HDFC Securities, and 5paisa, State Bank of India (SBI) stock is recommended for its robust technical indicators and stable growth in India’s banking sector. Brokerages suggest a target range of Rs 915-Rs 1,240, noting potential 20-55% upsides as the stock stabilises near its 200-day EMA and earnings growth remains on track.

Mphasis is marked by Phillip Capital, 5paisa, and Anand Rathi as a promising Diwali pick in the IT sector. Citing bullish technical patterns and sectoral momentum, these brokerages see Mphasis reaching target prices from Rs 3,560 (5paisa) to Rs 4,400 (Phillip Capital). The company’s solid position in digital transformation is expected to fuel long-term growth.

Endorsed by Angel One, HDFC Securities, and Religare, Jyothy Labs is gaining traction for its national, multi-product transformation and projected revenue CAGR of over 12% through FY26. Brokerages have set targets from ₹600 (HDFC Securities) to Rs 680 (Angel One), highlighting improved margins and a balanced product mix as key drivers.

NCC Ltd Recommended by ICICIdirect, Angel One, and HDFC Securities, NCC Ltd is a top pick in the construction space. With target prices ranging from Rs 363 (HDFC Securities) to Rs 400 (Angel One), NCC’s broad order book and expected 16% revenue CAGR through FY27 make it a standout choice for Diwali, particularly given its diversified infrastructure portfolio.

Disclaimer:Disclaimer: The views and investment tips by experts in this News18.com report are their own and not those of the website or its management. Users are advised to check with certified experts before taking any investment decisions.