Emkay Global Picks 5 Quality Stocks To Invest, Sees Gains Up To 30%, Recommends Buy

Leading brokerage firm Emkay Global has released an India Equity Research report on Engineering & Capital Goods, Infra sector. The brokerage picks Action Construction Equipment Limited, HG Infra Engineering Limited, Kalpataru Power Transmission Limited, KEC International Limited, and Larsen & Toubro Limited to invest, recommending "buy" for a decent return.

Commenting on the sector, the brokerage said, "Overall, we stay optimistic on the sector, driven by its strong tender pipeline, softening commodity prices and expectation of good order-inflow growth. Risks include delay in order finalization and States missing on budgeted capex."

1. Action Construction Equipment Limited (ACE)

Action Construction Equipment is a small cap Engineering & Capital Goods sector company having a market capitalisation of Rs 3,888.07 crore. Emkay Global has assigned a buy call on the stock of Action Construction Equipment for a target price of Rs 345/share.

If you buy the stock at the current market price you would get a decent return of 6% considering the given target price. The stock's current market price on NSE is Rs 326.50/share. Its 52 week high level is Rs 354.70 and its 52 week low level is Rs 175.

The stock has given 40.85% positive returns in the last 1 year. Whereas it has given 351.59% multibagger return in 3 years, and 130.74% multibagger return in the last 5 years, respectively.

2. HG Infra Engineering Limited (HG Infra)

HG Infra Engineering is a small cap Infrastructure sector company having a market capitalisation of Rs 4,123.38 crore. The brokerage firm has placed a buy call on the stock of HG Infra Engineering with a target price of Rs 820/share.

According to the given target price, the stock is likely to give a decent return of up to 30% if purchased at the current market price. Its current market price on NSE is Rs 632.70/share. Its 52 week high is Rs 685 and its 52 week low is Rs 482.

The stock in the past 1 week surged by 8.5% and in the past 1 month by 8.1%, respectively. In the last 3 years, it has given 5.08% positive returns. Whereas, in the last 5 years, it has given 171.95% multibagger returns. It got listed on the stock exchange on 9 March 2018, and since its listing, it has given 136.3% multibagger returns.

3. Kalpataru Power Transmission Limited ( KPTL)

Kalpataru Power Transmission, a Power sector mid-cap company having a market capitalisation of Rs 8,265.21 crore assigned a buy call in the stock with a target price of Rs 615 per share by Emkay Global.

The stock, with the given target price likely to give a return of up to 11% if purchased at the current market price. On the NSE, its current market price is Rs. 555.05/share. Its high is Rs 575.95 and its 52 week low is Rs 331.80.

It surged by 6.95% in the last 1 week, whereas, in the last 1 month, it surged by 14.7%. Over a year, it surged by 49.47%. In the last 3 years, it surged by 31.61% and in the last 5 years, it surged by 25.05%, respectively.

4. KEC International Limited (KEC)

KEC International is the 2nd power sector company in the buy list of Emkay Global. It is a mid cap company having a market capitalisation of Rs 12,323.53 crore. The brokerage has initiated a buy call on the stock of the company with a target price of Rs 505/share.

According to the given target price, if you buy the stock at the current market price you could get a potential return of up to 6%. The stock's current market price on NSE is Rs 479.35/share with its 52 week high Rs 549.50 and 52 week low Rs 345.50.

In terms of return on investments, the stock has given 11.45% positive returns in the last 1 month, and 6.35% positive returns in the last 3 months, respectively. In the last 1 year, it has given 5.33% positive return. It gave a maximum 65.29% in the last 3 years. In the last 5 years, it gave 39.31% positive returns to shareholders.

5. Larsen & Toubro Limited (LT)

Larsen & Toubro is a large cap Construction & Capital Goods sector company having a market capitalisation of Rs 3,05,977 crore. Emkay Global rated Larsen & Toubro's stock "buy" with a target price of Rs 2,215/share.

Given the target price, if you buy the stock at the current market price you would likely get a decent return of 2%. Its current market price on NSE is Rs 2,177.55/share. It's recorded 52 week high is Rs 2,210 and its 52 week low is Rs 1,456.35.

Over tha last 1 month, it has given 9.07% positive returns, whereas, over the last 3 months, it has given 11.24% positive returns on investments. It has given 15.78% positive returns in the last 1 year. Whereas it has given 66.82% positive return in 3 years, and 80.93% positive return in the last 5 years, respectively.

Disclaimer

The stocks have been picked from the brokerage report of Emkay Global. 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 consult with certified experts before making any investment decision.