2 Stocks To Consider Buying After The Market Fall Today

It's been a volatile week for the markets once again, as Russian-Ukraine tensions mount. Here are 2 stocks that you can buy and hold for the long-term.

Castrol India

We like the shares of Castrol India for a number of reasons. The company is a multinational company that has a strong track record with a solid market share in the lubricants business - both industrial and automotive.

We believe with the covid 19 situation now over, there is going to be a smart recovery especially in the lubricants space, especially the automotive segment space.

The company is also offering a good dividend yield of 4.85% at the current market price of Rs 113. The stock is also available at a price to earnings ratio of just 15 times one year forward earnings. Being a multinational, the company deserves a better discounting. We suggest buying the stock today at around the 113 levels for good long term gains.

Ashoka Buildcon

This is another stock that is a good buy and brokerage firm Anand Rathi has set a target price of Rs 159 on the stock.

"The proposed deal to monetise five of its operational BOT-toll assets from its Macquarie-SBI portfolio, and the consequent exit of the partner, we believe, would not only assuage exit concerns but also free management bandwidth for better-focused core operations. Given this, the recent well-diversified single-year-best additions is an augury, and a well-set balance sheet sets the stage for an inspiring performance ahead. Any success with monetisation efforts for other assets would further bolster the balance sheet strength and growth outlook. On the bright prospects, we retain our Buy rating with (on earnings revision) a higher target price of Rs 159," the brokerage has said.

Geo-political tensions to keep markets volatile

While there are a few stocks that have been recommended by brokerage and goodreturns to buy today, we must also inform you that markets are likely to remain volatile.

"We don't expect the volatility to cool down until the geo-political issues are resolved. Further issues like Inflation, FIIs selling and upcoming Fed rate hike could add to the volatility in the near term," says Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services Ltd.
According to Narendra Solanki, Head- Equity Research (Fundamental), Anand Rathi Shares & Stock Brokers, traders took some solace with Crisil Research's statement that India's industrial activity is expected to gather pace in the coming months owing to a gradual pick-up in consumption as well as investment demand.
"However, the relief rally couldn't hold long and markets drifted lower in closing session as fresh news over Ukraine crisis dampened the fragile sentiments," he stated. In the light of tensions, we suggest investors to take small positions and avoid riding on this volatility.

Disclaimer

Please note, investing in equities is risky. Neither the author, nor the brokerage firm nor Greynium Information Technologies would be responsible for any losses based on the above article. Markets now are highly volatile due to geo-political tensions and rising interest rates in the US.