5 Stock That Can Rally Up To 51%: Motilal Oswal Lists Preffered Picks, Buy

Motilal Oswal has recommended investors to buy 5 stocks that can soar up to 51%. These stocks are Bajaj Finance, Macrotech Developers, Zensar Technologies Ltd, Home First Finance Company India Ltd, and CEAT Ltd. Check details pertaining to the stocks below:

1. Buy Macrotech Developers

Motilal Oswal has suggested investors to buy Macrotech Developers Ltd with a target price of Rs 1530 apiece. Last trading price of Macrotech Developers Ltd is Rs 1013.75 apiece with an intraday fall of 4.82%.

If you buy Macrotech Developers Ltd now, you will get likely return of 51%. The company has a market capitalisation of Rs 48,836.94 crore. The Real Estate sector stock declined 20% in last 1-year and 11% in last 6-months.

According to Motilal Oswal, "Our TP remains unchanged at INR1,530 as the growth is already built in through our DCF-based valuation methodology. The company's future pipeline and sector tailwind will help sustain a 20% pre-sales growth over the next two to three years."

2. Buy Zensar Technologies Ltd

The last trading price of Zensar Technologies Ltd is Rs 221.00 apiece with a intraday fall of 4.29%. Motilal Oswal has assigned buy call to Zensar Technologies Ltd with a target price of Rs 280 apiece. If you buy Zensar Technologies Ltd now, you can expect to receive an upside of 27%.

The company has a market capitalisation of Rs 5,002.86 crore. The IT Sector stock witnessed a decline of 45% in last 1-year and surged in value by 3% in last 3-months. The stock gave a return of 25% in last 3-years and 18% in last 5-years.

According to Motilal Oswal, "The new CEO's approach to focus on execution (rather than strategic changes) along with renewed focus on improving margins should help ZENT gain stability in revenue growth and recoup its lost margins at the same time."

3. Buy Home First Finance Company India Ltd

The last trading price of the NBFC Sector stock is Rs 759.90 apiece with an intraday fall of 4.03%. Motilal Oswal has given buy rating to the stock with a target price of Rs 930 apiece.

If you buy Home First Finance Company India Ltd now, you may get potential return of 23%. The company has a market capitalisation of Rs 6,675.41 crore. The stock rallied 7% in last 3-months, declined 7% in last 6-months, and fell over 3% in last 1-year.

The small cap company came into existence in 2010.

According to Motilal Oswal, "Technical considerations such as the noise around the supply overhang from the existing private equity promoters aside, we believe HomeFirst is fundamentally a high-growth franchise with robust asset quality. Reiterate BUY with a TP of INR930 premised on 3.5x Dec'24E BVPS."

4. Buy Bajaj Finance

Motilal Oswal has recommended investors to buy Bajaj Finance Ltd with a target price of Rs 6880. Last trading price of Bajaj Finance is Rs 5756.00 apiece with an intraday decline of 0.71%.

If you buy Bajaj Finance now, you will get potential return of 20% soon. The company has a market capitalisation of Rs 3,48,485.93 crore. The NBFC sector stock fell 15% in last 1-year and gave a return of 38% in last 3-years. There is decline of over 9% in last 6-months. The large cap company was incorporated in 1987.

According to the brokerage house, "We raise our FY23 estimates by ~2% to factor in better margins. We estimate BAF to deliver a RoA/RoE of 4.6%/24% over the medium term. Maintain Buy with a TP of INR6,880 (premised on 5.7x Sep'24E BVPS)." Customer acquisitions and the new loan trajectory have been strong. The momentum will only get stronger ahead, with the digital ecosystem - app, web platform and full-stack payment offerings - in place, added Oswal.

5. Buy Ceat Ltd

CEAT's 3QFY23 performance was healthy driven by margin expansion due to softening of RM basket and lower other expenses. Motilal Oswal expects this margin expansion trend to continue in 4QFY23 as well driven by stable domestic demand (in both OEM/replacement) and a recovery in exports.

The last trading price of CEAT Ltd is Rs 1544.80 apiece with intraday fall of 2.51%. Motilal Oswal has assigned buy rating to CEAT with a target price of Rs 1860 apiece. If you buy CEAT Ltd, you can expect to get a return of 20%.

The Tyres sector has a market capitalisation of Rs 6,248.73 crore. Its value surged by 43% in last 1-year and 27% in last 6-months. The mid-cap company was incorporated in 1958.

Disclaimer

The stocks have been picked from the brokerage report of Motilal Oswal. 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.