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Buy 2 Stocks For Upto 22% Return, With Dividend Yield: Motilal Oswal

Amid a flat equity market environment, Motilal Oswal suggests buying these two stocks for good returns, with additional benefits of dividend.
Kuntala Sarkar
ITC
ITC's current market price is Rs. 274, Motilal Oswal estimated a target price of Rs. 335, for 22% return. Its market capitalization (large-cap) is Rs. 337,041 crore.
Company performance
The company's sales in FY22 were recorded at Rs. 563.4 b, which is expected to be at Rs. 563.4 b in FY23. Their EBITDA in FY22 stood at Rs. 189.5 b.
Motilal Oswal thinks
We believe premium multiples are justified, given strong visibility over medium term and defensive nature of business. ITC offering 4-5% Dividend Yield.
MCX
MCX's current market price is Rs. 1,275, Motilal Oswal estimated a target price of Rs. 1,500, for 18% return. Its market capitalization (mid-cap) is Rs. 6,670 crore.
Company performance
The company's sales in FY22 recorded at Rs. 3.7 b, which is expected to be Rs. 4.6 b in FY23. Its PAT in FY22 was Rs. 1.4 b. It is offering 1.33% dividend yield.
Motilal Oswal thinks
Introduction of options & increased price volatility led to volume improvement in past 3-4 months; it can trigger volume growth in MCX over mid-term.