With Sensex above 65000-mark, brokerages are betting on these 30 stocks for high returns

economictimes.indiatimes.com:

Sensex and Nifty50 are achieving new milestones almost every session, most money managers believe that the valuation at current levels is far more reasonable and that this rally after a good 18-month of correction phase has more legs. On Tuesday, the Sensex scaled a record high at 65672.97 points, and Nifty 50 at 19434.15 points.

With India’s macroeconomic conditions being conducive in the backdrop of an uncertain global environment, experts are betting on domestic-oriented companies, and believe that the “growth at a reasonable price” theme remains attractive. “This theme continues to look attractive on account of the domestic play of good Rabi season payout, the cool-off in commodity prices and inflation, rural recovery, and the expectation of margin recovery in the upcoming quarters,” Axis Securities said.

The market positioning is expected to shift towards domestic-oriented themes comprising banks and domestic-cyclical stocks, it said. Motilal Oswal Securities pointed out that even after the upmove in the last four months, more than half of the sectors are trading at a discount to their historical average, and these include automobiles, banks, healthcare, oil and gas, retail, telecom, and logistics.

ICICI Bank, ITC, L&T, Titan, M&M, HCL Technologies, Apollo Hospitals, UltraTech Cement, ONGC, Ashok Leyland, Vedant Fashion, Metro Brands, M&M Financial Services, APL Apollo, Godrej Properties, and Lemon Tree Hotels are the top bets of the brokerage. Meanwhile, Axis Securities has picked ICICI Bank, Maruti Suzuki, State Bank of India, RITES, Federal Bank, Varun Beverages, Ashok Leyland, PNC Infratech, ITC, Aarti Drugs, Relaxo Footwears, Mahindra CIE, Praj Industries, CCL Products, Polycab India, and CreditAccess Grameen