Looking for stocks to buy before election result? Insiders scanning these 5 sectors
Modi will hit a hattrick on June 4 election result day and, if so, with how many seats in the Lok Sabha. Stock investors are fine-tuning their portfolios with sectors that are likely to benefit if BJP retains power.
Going by promises made in BJP's election manifesto, all-things-capex is emerging as the biggest investing mantra before elections.
«The current BJP manifesto among other things suggests creating high value jobs for the highest incremental workforce in the world by improving the infrastructure of the country, developing sustainable cities, by focusing on Make in India (Atma Nirbhar) and PLI in industries linked to railways, green hydrogen, solar, nuclear, wind energy, aviation including airports defense and semiconductors (EMS). This should bolster India's capex growth if current government comes into power,» said JM Financial's Vinay Jaising.
As a result, all infrastructure-linked sectors such as industrials, capital goods, utilities, defense, cement, real estate, etc stand to benefit.
Also read | Neither Adani, Ambani or Tata: Modi stocks is the biggest buzzword before election
Here are 5 sectors in focus ahead of elections:
1) Power
Two months ago, the Ministry of Power released a draft of the National Electricity Plan. The plan outlines an investment of approximately Rs 4.75 lakh crore from 2022 to 2027 to upgrade India's transmission system, including new lines, substations, and other technologies.
By 2032, India aims to achieve an installed capacity of around 900 GW, up from the current 426
