Indian stock markets have rallied in the last one year and have emerged as one of the best performers among the major economies in the world. The upmove in the domestic equity markets has also been supported by several events, namely, World Bank upgrade of ease of doing business ranking, Moody’s upgrade of sovereign credit rating, government’s mega plan of Rs 2.11 lakh crore to recapitalise the stressed PSU banks, and so on. Key Indian benchmark equity indices Sensex and Nifty have returned about 25% so far in this year alone since January.
In 2017, the IPO (initial public offering) market got a better-than-expected response as about Rs 65,000 crore has been raised through the public offers so far. Amid the unmatched jubilation in the domestic markets, we bring to you five stocks which you can buy under Rs 200 per share and gain up to 50% returns.
NMDC — MOSL
The share price of the state-run mineral producer NMDC has remained largely flat through this year. But this does not mean that there is no further potential. The research and brokerage firm Motilal Oswal Securities has given a ‘buy’ rating NMDC shares with an upside of 50% to a target price of Rs 187 from its current market price of Rs 125.
Jindal Steel & Power — Prabhudas Lilladher
Shares of Jindal Steel & Power have already more than doubled since January this year. The stock has returned about 150% in this year so far. But even so, the research and brokerage firm Prabhudas Lilladher has given a ‘buy’ rating on the stock of Jindal Steel & Power with a further upside of 20% to a target price of Rs 200 from its current market price of Rs 166.
PNB — MOSL
Shares of Punjab National Bank traded mostly range bound till mid-October but spiked massively after the government announced the huge PSU bank recapitalisation program. The year to date returns of PNB are more than 60%. Motilal Oswal Securities has given a ‘buy’ rating on Punjab National Bank stock with a further upside of 31% to a target price of Rs 250 from its current market price of Rs 191.
Heidelberg Cement India — Prabhudas Lilladher
Shares of Heidelberg Cement India have surged about 50% so far in the calendar year 2017. Prabhudas Lilladher has given a ‘buy’ rating on the stock of this cement maker with a further upside of 8% to a target price of Rs 180 from its current market price of Rs 166.
Orient Cement — MOSL
The stock of Orient Cement had jumped about 30% in this year so far and Motilal Oswal has given a ‘buy’ rating with an upside of 25% to a target price of Rs 205 from its current market price of Rs 165.