Buy Top 5 Stocks In 2022 To Receive Higher Returns In 2023, 3 Brokerages Recommend

Leading brokerages are bullish on 5 stocks and recommend investment to receive higher returns in 2023. These stocks are NMDC Ltd, Can Fin Homes, Hindalco Industries, Mastek, and Arvind Fashions. If you buy these stocks now at their current market price, you will get maximum 88% return. Check key takeaways below:

Name of the company	Potential return
Arvind Fashions	88%
Mastek	41%
Can Fin Homes	29%
NMDC Ltd	24%
Hindalco Industries	23%

1. Buy Arvind Fashions

The last trading price of the stock is Rs 302 apiece with an intraday decline of 9%. Anand Rathi is bullish on Arvind Fashions and suggested to buy the stock with a target price of Rs 567 apiece.

If you buy Arvind Fashions Ltd with a target price of Rs 567 apiece to receive a potential return of 88%. The stock's 52-week high is Rs 389 apiece and 52-week low is Rs 218 apiece, respectively.

The company has a market capitalisation of Rs 4018 crore. The small cap company was incorporated in 2016 and operates in Apparels sector.

2. Buy Mastek

The last trading price of Mastek is Rs 1620 apiece with an intraday decline of 5%.

Anand Rathi has recommended investors to buy Mastek Ltd with a target price of Rs 2280 apiece. If you buy Mastek now, you will get potential return of 41%.

The company has a market capitalisation of Rs 4869 crore. The stock has given a return of 297% in last 3-years and 317% in last 5-years. The shares have fallen 45% in last 1-years.

The small cap IT Software company came into existence in 1982.

3. Buy Can Fin Homes

The last trading price of the mid cap stock is Rs 488 apiece with 52-week high at Rs 685 apiece and 52-week low at Rs 408 apiece, respectively.

Motilal Oswal has recommended investors to buy Can Fin Homes Ltd with a target price of Rs 630 apiece and a potential return of 29%. The shares of the NBFC sector stock have rallied 23% in last 3-years.

According to Motilal Oswal, "For a RoA/RoE of 1.9%/17% in FY24E and triggers for valuation re-rating if the new management team (of MD&CEO/CFO/CRO) can gain investor confidence, we reiterate our BUY rating with a TP of INR630 (based on 1.8x Sep'24 P/BV)."

Like LICHF, CANF is able to highly lever its balance sheet, aided by the underlying parentage of Canara Bank. While the average leverage has steadily declined, it has been hovering between 8.8x-10.1x over the last three years, thereby, allowing it to deliver consistently healthy RoEs, added the analyst.

4. Buy NMDC Ltd

The last trading price of the stock is Rs 111 apiece with 52-week high at Rs 143 apiece and 52-week low at Rs 81 apiece, respectively.

Motilal Oswal has recommended investors to buy NMDC Ltd with a target price of Rs 138 apiece to receive potential return of 24%. The large cap company has a market capitalisation of Rs 32,676 crore. The stock has declined 17% in last 5-years and again 17% in last 1-year.

According to Motilal Oswal, "We expect NMDC to continue with volume CAGR of 11.5% from FY21-25 on the back of higher volumes in both Chhattisgarh and Karnataka. We expect NMDC back of higher volumes in both Chhattisgarh and Karnataka. We expect NMDC to clock a record 51mt in FY25. We build a DPS of INR 12 for FY24 and INR 10 for FY25, implying a payout of 59- 61% and an attractive dividend yield of 9.5%/7.9% for FY24/25, respectively. We reiterate our BUY rating with a revised TP of INR 138 (v/s 134 earlier)."

Buy Hindalco Industries

The last trading price of the stock is Rs 430 apiece with an intraday fall of 5.62% on December 24, 2022. JM Financial has recommended investors to buy Hindalco Industries shares with a target price of Rs 530 apiece and receive 23% return.

The analyst has given a target time of 12 months when the shares will reach the target price. The stock has given a return of 100% in last 3-years and 60% in last 5-years. The shares have declined 7% in last 1-year.

The company has a market capitalisation of 96,640 crore. The large cap company was incorporated in 1958 and operates in Metals & Non-Ferrous sector.

Disclaimer

The stocks have been picked from the brokerage reports of Motilal Oswal, Anand Rathi, and JM Financials. Greynium Information Technologies, the Author, and the respective Brokerage Houses 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.