Stocks To Buy: Sharekhan Suggests Tata Group Dividend Stock, Agrochemicals Stock

Sharekhan has recommended investors to buy large cap stock from Tata Group, Tata Motors Ltd and Agrochemicals sector stock, Insecticides (India) Ltd as both the stocks are showing potential to soar. Tata Motors Ltd has announced final dividend of Rs 2 per Ordinary Share of Rs 2 each (@100%) and Rs 2.10 per 'A' Ordinary Share of Rs 2 each (@105%) for the financial year ended March 31, 2023. The dividend, if declared at the AGM, shall be paid to the eligible shareholders from August 14, 2023 onwards. Check details below:

1. Buy Tata Motors Ltd: Sharekhan has assigned buy call to Tata Motors Ltd with target price of Rs 633 per share. Last trading price of Tata Motors share is Rs 562.20 per share with intraday gain of 0.46% as of June 9, 2023. If you buy Tata Motors stock now, you can fetch potential gain of 13%. It has a market capitalisation of Rs 1,86,730.47 crore.

Tata Motors stock's 52-week high price is Rs 576.50 per share and 52-week low price is Rs 375.50 per share.

According to Sharekhan, "maintain Buy with a revised PT of Rs. 633: TML is witnessing an improvement in all business verticals - JLR, CVs, and PVs. The company is witnessing robust demand and is expected to deliver better operational efficiencies, aided by aggressive launches, market positioning, product differentiation, cost savings, and investments in research and development (R&D).

Tata Motors share delivered return of 42% YTD, 36% return in last 6-months, 31% return in last 1-year, and 404% return in last 3-years.

2. Buy Insecticides (India) Ltd: The analyst has suggested investors to buy Insecticides (India) share with target price of Rs 540 per share. Last trading price of Insecticides (India) Ltd share is Rs 456.65 apiece. If you buy Insecticides (India) stock now, you can get likely return of 18%.

According to the brokerage firm, "maintain Buy with a revised PT of Rs. 540: While the near-term margin concern would continue for IIL until higher cost inventory is fully liquidated but steep 40% fall in the stock price in CY23YTD largely factors in concern of high channel inventory in the system. In fact, Q2FY24 is likely to witness a rebound supported by ramp-up of new products post capacity expansion and a potential recovery in margin with a rise in share of high margin branded products (Maharatna brands)."

Insecticides (India) share offered return of 14% in last 2-years and 73% in last 3-years. Insecticides (India) share witnessed decline of 37% in last 6-months and 15% decline in last 1-year.

Its 52-week high price is Rs 789 per share and 52-week low price is Rs 420.00 per share, respectively. It has a market capitalisation of Rs 1,351.59 crore.

Disclaimer: The stocks have been picked from the brokerage report of Sharekhan. 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.