Diwali stock picks: 10 stocks brokerages are bullish on for Samvat 2081

Diwali, festival of lights, which is associated with prosperity will be celebrated on vember 1. festival also marks beginning of Hindu new year Samvat 2081. Samvat 2080 has been a stellar year for markets, with new highs for Nifty and gold, alongside India’s strong ecomic indicators. While challenges like geopolitical uncertainty, inflation, and variable rural and urban demand persist, broker firms believe se ten stocks have strong growth potential.

Top Diwali picks from brokers

Ambuja Cement: Ambuja Cement is expanding through both organic and irganic means, aiming to reach capacity of 140 million tonnes per annum (mtpa) by FY28. Broker firm Prabhudas Lilladher has set target price of Rs 756 per share.

Bharat Electronics: Bharat Electronics holds Rs 50,000 crore order pipeline, driven by key defence projects and metro rail projects (Kavach). Prabhudas Lilladher has target price of Rs 341.

Cipla: Prabhudas Lilladher is positive on Cipla on back of strong traction in respiratory and or portfolios. company has potential to grow domestic formulations in double digits. broker has target price of Rs 1,680.

ICICI Bank: With robust CET-1 at 16 per cent and liquidity ratios, ICICI Bank is expected to wear NIM compression, achieving core earnings growth of 17 per cent annual by FY27. Prabhudas Lilladher has set target price of Rs 1,520 per share.

LTI Mindtree: With an anticipated dollar revenue growth of 9.7 per cent and earnings growth at 13.7 per cent through FY24-27, LTI Mindtree benefits from discretionary and n-discretionary spending. broker has set target price of Rs 7,360.

Max Healthcare:   company’s capacity addition plans include 3,500 new beds by FY28, with expected earnings before interest, taxes, depreciation, and amortisation (EBITDA) compounded annual growth rate (CAGR) of 25 per cent through FY24-27E. broker has set target price of Rs 975.

Reliance Industries: Strong performance from Jio, retail, and potential new energy ventures are expected to contribute to 12 per cent earnings per share (EPS) CAGR from FY25-27. broker has set target price of Rs 2,942.

State Bank of India: country’s largest bank holds 22-23 per cent market share in credit with consistent loan growth across retail, corporate, and SME sectors, it benefits from a stable deposit base and funding advant. SBI ’s strong internal accruals, leadership in term deposits, and efficient credit manment position it well for future growth, especially with an expected revival in corporate capex. Broker firm Religare has target price of Rs 941.

ITC: ITC is vigorously implementing its ITC Next strategy to shape future growth and profitability. extensive strategy reset unleashes new drivers of structural competitiveness by strengning multiple drivers of growth, invation and R&D, building agile, resilient and efficient Supply Chains, mainstreaming digital adoption, sustainability, and ensuring cost optimisation. ITC Next strategy focuses on exploring opportunities to craft disruptive business models anchored at intersection of mega trends of digital and sustainability, while leveraging Company's institutional strengths. Broker firm Religare has set target price of Rs 594.

Titan Company: Titan enjoys a strong brand reputation, bolstered by its association with Tata Group, which is rewned for its commitment to ethical business practices and high-quality standards. company levers a broad portfolio of established brands across multiple lifestyle segments. In jewellery category, its key brands include Tanishq, Mia, CaratLane, and Zoya. Meanwhile, in watches and wearables , Titan's portfolio features well-recognized names like Titan, Sonata, Fastrack, Raga, and Xylys. Broker firm Religare has set target price of Rs 4,270.