Diwali Dhamaka Stocks – Sensex losing shine continuously. Sensex has just grown by 3% since past Diwali. The rise in crude oil prices, weakening INR against USD, fear of subsequent interest rate hikes by the RBI, US Fed are affecting the stock market movement. Only a few stocks were able to perform in 2018.
The current correction in the stock market has given an opportunity for investors to invest in good quality businesses at reasonable valuations after a long spell of over-valuation. Investors should focus on the sustainability of earnings growth than the percentage of growth while investing in the current round of market uncertainty.
If you are equity investor and looking for good Diwali muhurat stock picks or Mutual Funds here are Top Stocks and Mutual Funds recommended by IIFL for Diwali 2018.
Diwali Dhamaka 2018 Stocks by IIFL
Aarti Industries is first Diwali Dhamaka Stock for 2018. Aarti Industries is one of the leading manufacturer, supplier and exporter of specialized chemical & pharmaceuticals. Aarti Industries has strong presence in the export segment. This company is one of the biggest beneficiary of rupee depreciation. Financial performance of this stock is very good. It is recommended stock for investment.
Biocon Limited is next Diwali Dhamaka Stocks for 2018. Biocon is Pharmaceutical company. Biocon has recently got FDA clearance from USA for multiple medicines. This will surely boost revenue of Biocon Limited. Biocon will also get advantage of rupee cost depreciation. It is recommended stock for investment.
Kotak Mahindra Bank
Kotak Mahindra Bank is one of the largest private sector bank in India. Kotak Mahindra Bank has registered strong loan growth. Bank has well capitalized balance sheet, granular book, controlled opex through digitalization and superior asset quality. Kotak Mahindra Bank is expected to beat the profit and generate good revenue. You can plan to purchase KMB this Diwali.
Mind Tree Limited
Mind Tree is next Diwali Dhamaka stock recommended by IIFL. Mindtree, India’s eighth largest IT services company, has strong digital capabilities. The stock has corrected up 30% and available at reasonable valuation. Looking at order inflow and future potential stock is likely to perform better with respect to peers.
Mphasis is mid size IT company. The company’s financial performance is very good. Company is likely to post very good growth in the year to come. IIFL has recommended this stock for investment in Diwali 2018.
Motherson Sumi Systems
Motherson Sumi is leading auto ancillary player in India. Company has plan to acquire new companies and that will surely increase revenue of company. Company is likely to perform better in the year to come. It is recommended company for investment.
Petronet LNG is next Diwali Dhamaka Stock for 2018. Petronet LNG has recently done capacity expansion at Dahej. Company does not face the risk of upcoming competition. 100% of company capacity is getting utilized. The stock is trading is discounted value and good buying bet.
Reliance Industries is next Diwali Dhamaka Stocks for 2018. Reliance Industries is expected to witness improvement in petrochemicals segment. Apart from that growth in JIO business will also help Reliance Industries in increasing numbers.
Diwali Dhamaka 2018 Mutual Funds by IIFL
In addition to Diwali Dhamaka 2018 stocks, IIFL has also suggested Mutual Funds to invest in this Diwali.
# ICICI Pru Equity & Debt Fund
# Axis Bluechip Fund
# Tata Equity P/E Fund
# Franklin India Prima Fund
# IDFC Tax Advantage ELSS Fund
Over to You –
Do you think above stocks are the best stocks to buy on Diwali ?
Do share your views in the comment section.
Wishing you all a Happy Diwali and Prosperous New Year
May this auspicious festival bring you Crackers of Joy, Chants of Bliss, Light of Success & Colour of Prosperity.
Note – The stocks recommendations given in section above are of various brokerage houses and do not represent those of Moneyalpha. Please consult your financial advisor before taking any position in above stocks.