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StoxBox’s Diwali picks: 5 stocks to brighten up your portfolio
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StoxBox’s Diwali picks: 5 stocks to brighten up your portfolio

Ahead of Diwali, brokerage firm StoxBox has released its stock picks, identifying five companies that it believes hold strong growth potential over the next year.

These picks span sectors from biotechnology to real estate and are anchored by companies with strong fundamentals, promising industry trends and growth catalysts.

Here’s a closer look at StoxBox’s recommendations and why these stocks could brighten up investors’ portfolios this holiday season.

Advanced Enzyme Technologies Ltd (AETL)

Target price: 533 rupees | Purchase range: Rs 444-450 | Upside potential: 19%

StoxBox is bullish on Advanced Enzyme Technologies Ltd, a key player in the global enzyme and probiotic markets, valued at $11.3 billion and $70 billion respectively, and expected to grow steadily in the coming years.

AETL, with its broad product offering, focus on R&D and strategic expansions, is well positioned to take advantage of these growth trends. StoxBox suggests buying AETL shares in the range of Rs 444-450, with a target of €533 by next Diwali, indicating a potential upside of 19%.

Ami Organics Ltd

Target price: 1,897 rupees | Purchase range: Rs 1,610-1,620

StoxBox also recommends Ami Organics Ltd, citing forecast growth of 25% this year, driven by strong order gains and significant market share (50-90%) in key chronic therapy segments. Despite China’s supply chain challenges, Ami’s core products remain robust.

The company’s partnership with Fermion on prostate cancer drug Nubeqa could generate between €5 billion and €7 billion in revenue, while its recent acquisition of Baba Fine Chemicals expands its presence in the semi-chemicals sector. drivers. With strong exports (56% of FY24 revenue) and new products, StoxBox expects Ami Organics to achieve a target of Rs 1,897 by next Diwali.

BEML SA

Target price: Rs 4,546 | Purchase range: Rs 3,770-3,800 | Upside potential: 20%

Strategic choice in the field of defense and infrastructure, BEML Ltd. is a Mini Ratna under the Ministry of Defense of India, involved in sectors such as defence, rail, metro, mining and construction. The company has a healthy order book of Rs 11,872 crore in FY24, supported by major projects such as Vande Bharat trains and Bangalore Metro expansion.

Additionally, BEML’s efforts in the defense space, including the Pinaka missile launcher initiatives, highlight its growth potential. StoxBox recommends buying BEML shares in the range of Rs 3,770-3,800, targeting a 20% upside to Rs 4,546.

Reliance Industries Ltd (RIL)

Target price: Rs 1,568 | Purchase range: Rs 1,330-1,345

Despite a potential 10% decline in profits in 2025, StoxBox sees Reliance Industries as a strong buy, expecting a recovery driven by growth in its retail arm, rising telecom tariffs and expansion of petrochemicals. RIL’s ambitious investments of Rs 75,000 crore in solar power and battery storage are expected to match its current oil-to-chemical (O2C) EBITDA within five to seven years.

Additionally, Jio’s AI initiatives and plans to triple revenue and EBITDA over the next three to four years, supported by its 130 million 5G users, position RIL for significant growth. StoxBox sets a target price of Rs 1,568 by the next Diwali.

TARC Ltd

Target price: 260 rupees | Purchase range: Rs 222-227

In the real estate sector, StoxBox highlighted TARC Ltd, a company well positioned to capitalize on the growing demand for luxury and mid-income housing in India, particularly in Delhi, where unsold inventories are declining.

TARC has a strong land bank and a diversified project portfolio, valued at over Rs 7,700 crore. The company plans to reach Rs 5,000 crore in pre-sales in FY25 and is targeting debt-free growth by FY26. With a buy range of Rs 222-227, StoxBox is targeting a price of Rs 260 for TARC by next Diwali.

(Disclaimer: The views, opinions, recommendations and suggestions expressed by the experts/brokers in this article are their own and do not reflect the views of India Today Group. It is advisable to consult a qualified broker or financial advisor before making any real investment or trading decision.)

Published by:

Koustav Das

Published on:

October 30, 2024