3 Stocks On Buy Call Offering Maximum Potential Return Of Up To 72%

Three Leading brokerage houses have assigned buy rating to three stocks for maximum potential return up to 72%. These stocks are E-Commerce Ventures Limited, that runs the beauty and personal care business under Nykaa vertical, Kalyan Jewellers India Ltd, and Schneider Electric Infrastructure Ltd.

Name Of Company	Potential Return In %
E-Commerce Ventures Limited	72%
Schneider Electric Infrastructure Ltd	24%
Kalyan Jewellers	23%

Check Key takeaways below:

1. E-Commerce Ventures Limited (Nykaa)

Leading brokerage Elara Capital has assigned buy rating to Nykaa with a target price of Rs 2211. If investors buy the stock at the current market price, it has the potential to fetch a return of up to 72%.

The last trading price of E-Commerce Ventures Limited is Rs 1284 apiece with 52-week high at Rs 2574 apiece and 52-week low at Rs 1208 apiece, respectively. The company has a market capitalization of Rs 60,946 crore.

According to Elara Capital, "Nykaa is set to grow its Beauty and Personal Care (BPC) revenue at a higher 32.4 per cent clip in CY20- 25E even as India's online BPC market likely posts a lower 17.3 per cent CAGR (Compound Annual Growth Rate, in the same period. Nykaa may maintain its dominance with a 26.8 per cent market share in online BPC, led by high repeat customers/usage base."

"Fashion is also an emerging segment for Nykaa, with a 3.3 per cent market share in the online fashion space. Here too, Nykaa's revenue CAGR may be 60.4 per cent in FY23E-25E, on a smaller base," added Elara Capital.

FSN E-Commerce Ventures Limited is a small cap consumer technology platform provider. It operates in Services sector. It is engaged in the business of producing, selling and distribution of beauty, wellness, fitness, personal care, health care, skin care, hair care products, fashion garments, fashion accessories and equipment, among others.

2. Schneider Electric Infrastructure Ltd

LKP Securities has given buy call to Schneider Electric Infrastructure Ltd with a target price of Rs 236 and a potential return of up to 24%. The last trading price of Schneider Electric is Rs 190 apiece with its 52-week high at Rs 195 and 520week low at Rs 92 apiece, respectively. The company has a market capitalization of Rs 4,547.76 crore.

"SEIL is poised to perform well ahead given (1) Government of India (GOI) power sector reforms along with initiatives like grid modernization and investments in sustainable energy (renewables). (2) Company's strong presence in infrastructure, power, building, industry and IT segments, coupled with its ability to offer services cutting across these segments provides a distinctive advantage to serve its customers, further supported by strong parental support to help SEIL leverage its experience. (3) Strong order book provides healthy revenue visibility going forward," stated LKP Securities.

Schneider Electric Infrastructure Limited (SEIL) was incorporated in the year 2011. SEIL is engaged in the business of manufacturing, designing, building and servicing technologically advanced products and systems for electricity network.

SEIL manufactures a wide range of products that includes Transformers, Power Transformers, Switchgears (Primary & Secondary Switchgears), Medium Voltage Switchgear, Protection Relays, Differential Relay, Electricity distribution management systems, a software suite for self-healing smart grid, e-House & smart cities applications.

3. Kalyan Jewellers India Ltd

HSBC Global Research has given buy rating to Kalyan Jewellers with a target price of Rs 125 and a potential return of 23%. The last trading price of Kalyan Jewellers is Rs 101 apiece with its 52-week high at Rs 104 apiece and 52-week low at Rs 55.20 apiece, respectively. It has a market capitalization of Rs 10,475 crore.

Kalyan Jewellers is one of the largest jewellery retailers in India, with its headquarters in Thrissur, Kerala. The company draws from its strong roots of over a century in the business of textile trading and distribution. From its modest beginning with a single jewellery showroom in 1993, Kalyan Jewellers has today grown to 137 showrooms across India and West Asia.

"We believe consistent execution will continue to drive a further multiple expansion and lead to compounding returns over the next three years. We initiate a buy with a target price of Rs 125, and present bull and bear case scenarios," said the brokerage firm.

 

Disclaimer

The stocks have been picked from the brokerage reports of Elara Capital, LKP Securities, and HSBC Global Research. Greynium Information Technologies, the Author, and the respective Brokerage House are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to check with certified experts before taking any investment decision.