Abhijeet Bora's top 10 Diwali stock picks from large, mid, and small caps
«So, it is a mix of both large as well as mid and smallcap stocks where we see that the valuation are reasonable or the growth should pick up,» says Abhijeet Bora, JM Financial Services Ltd.
This Diwali has become a bit sombre with the kind of cuts we have seen in the market. It looks like 6% at the index level in this month but if you look at the smallcap, midcap and portfolio level, the cuts are much larger. Given all of that and given we have got a healthy correction, do you have a shopping list ready of some of the stocks that people can look at buying?
Abhijeet Bora: Yes, we have recently released our Diwali picks where we have around 10 stocks. It is a mix of both large and midcap and across various sectors. So, starting with largecap space, we like Reliance Industries, we like Power Grid, we like Jindal Steel, we like Bajaj Finance in the largecap space. And there are a few midcap companies like Gravita is there, Ashoka Buildcon is there. So, it is a mix of both large as well as mid and smallcap stocks where we see that the valuation are reasonable or the growth should pick up.
Tell me about the index level. Do you think it is a reasonable expectation to expect only single digit return from the Nifty this year or we are still going to do more than 12-15%?
Abhijeet Bora: So, the expectation for the broader market especially for Nifty 50 that this year the earnings growth for Nifty 50 companies is expected to grow at 7% to 8%. There has been downgrades in particular sectors like metals, oil and gas from the
