Budget 2024: Jefferies expects these 4 segments to shine: Check out top 21 stock picks
Also Read- Amara Raja shares hit 20% upper circuit after subsidiary signs licensing deal with GIBThe government has received around Rs1.5 trillion in fiscal support since the interim budget presentation on February 1st, primarily due to the extra RBI dividend of Rs1.2 trillion.Secondly, the actual fiscal deficit for FY24 was 25 bps lower than estimated in the February'24 budget. The buoyancy from income tax adds almost ₹300 billion to the cushion.
The government will have about 40–50bps of fiscal headroom overall. (100 bps or basis points make 1%).1.Significant income tax relief expected- The government may be able to provide a significant income tax relief which could be aimed at the middle class having income range of ₹10 Lakh to ₹15 Lakh.This could accrue positives for discretionary consumer demand, benefitting Jubilant FoodWorks , Devyani International, Bharti Airtel in the telecom-sector, e-commerce companies as Zomato, Nykaa ( FSN E-Commerce Ventures ), Honasa Consumer and Retail chains- Trent, Reliance Retail (Reliance Industries).
Additionally, it is also positive for passenger Vehicles manufacturers as Maruti Suzuki India and Consumer Durables manufacturers as V-Guard Industries, Crompton Greaves Consumers and, Havells.Also Read- Stocks in focus: Ruchit Jain of 5paisa recommends buying Affle India, and MRPL today2.Government may bring back the Interest subsidy (CLSS) scheme for Urban housing. The same is positive for some developers as Lodha (Macrotech Developers Ltd), Sunteck realty and affordable housing lenders like AAVAS Financiers, Home First Finance Company India as per Jefferies.3.
A boost of about ₹0.3 Trillion or 20% YoY growth in the capex budget would reassure contractors, capital-good companies. It
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