From HDFC Bank to Coforge: Yes Securities recommends 10 stocks to buy for August
market capitalization of the NSE500. Adjusted profit after tax (APAT) has increased 35% year over year (YoY). While earnings before interest, taxes, depreciation, and amortization (EBIDTA), ex-Financials, increased 30% on year, Profit before tax (PBT) increased by 38% year over year.
1.5% yoy revenue increase was below expectations due to declining commodity prices and subpar rural demand. The management comments that says rural areas are improving is encouraging. Over the recent months, inflation has dropped.
Given the robust US job market, the Euro region's resiliency, and the global supply chain index's pre-pandemic levels, analysts at Yes Securities feel this is more a result of supply restoration than demand destruction. This is a reassuring indication that rate hikes will shortly come to an end, which gives us confidence. 20 out of the 23 corporations studied by Bloomberg may lower rates in 2024, indicating that the cycle of rate increases in India has undoubtedly ended.
Foreign Portfolio Investment (FPI) funds will be directed to Indian shores by stable rates, a strong rupee, and weak investment opportunities in China. Yes Securities analysts have an optimistic outlook for the Sensex due to a number of encouraging factors, including sustained government capital spending, continued private consumption supported by high credit demand, healthy growth in corporate profitability on increased margins driven by reducing input prices, and record-breaking bank results. Also Read: Monday trade: FIIs sell ₹1,892.77 crore in Indian market on August 7, DIIs invest ₹1,080.80 crore; details here Analysts of Yes Securities have embarked on a new upcycle for large caps and mid caps.
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