Indian stock markets hit yet another lifetime high on Tuesday led by the record high closing of key indices of US — Dow Jones Industrial Average, S&P 500, NASDAQ — on Wall Street and mixed sentiments about Q2 corporate earnings. The benchmark Sensex shuttled between 33582.38 and 33,865.95 points while the broader Nifty 50 index advanced 33.95 points to mark a fresh record high at 10,485.75 points. The benchmark Sensex index came under pressure in mid-morning trade on Tuesday after making fresh all-time high in the early morning session. A contrary trade has observed between shares of heavyweight companies such as Reliance Industries, ICICI Bank which contributed to the major drop in the index and Infosys, TCS, Kotak Mahindra Bank, Wipro which helped to trim the losses. In such as volatile market, we bring you five stocks that may return up to 31%.
INOX Leisure — Sharekhan
Shares of INOX Leisure have returned about 15% in last one month. The research and brokerage house Sharekhan has given an upside of 31.1% from a recommendation price of Rs 244 to a target price of Rs 320.
Bharat Electronics — Sharekhan
Shares of Bharat Electronics have returned about 10% since the last one month. Sharekhan has given an upside of 18.9% from a recommendation price of Rs 185 to a target price of Rs 220. “Strong margin execution continues, order book position remains healthy,’ according to Sharekhan.
LIC Housing Finance — Sharekhan
Shares of LIC Housing Finance have lost around 9% and Sharekhan has given an upside of 25.2 % from a recommendation price of Rs 599 to a target price of Rs 750. “Continuing demand for smaller to medium ticket size loans makes us upbeat on LIC Housing Finance, Sharekhan said.
JK Paper — IIFL
Shares of JK Paper have been flat since the past one month and the research IIFL has given an upside of 27% from the current market price of Rs 120 to a target price of Rs 152. “We expect the net debt to equity to come down from 1.3x in FY17 to 0.4x in FY19E on the back of better cash generation. Valuing the company at 8.0x (3 year average) its FY19E earnings, we arrive at target price of Rs 152,” according to IIFL.
Shares of Power Grid Corporation of India have appreciated a little in last one month. IIFL has given an upside of 27% from a current market price of Rs 210 to a target price of Rs 267. The host of government schemes will improve the prospects of PGCIL’s order book. PGCIL has a strong project pipeline of Rs 1,40,000 Cr, this ensures strong visibility for capex and project completion over FY17-19E,” according to IIFL.