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Stocks to Buy in August 2024 – A Portfolio Basket

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Synopsis:

Discover Bajaj Broking Research Desk's Curated Stock Basket Portfolio for August 2024, designed to yield a 23-25% return. This blog delves into market trends and detailed stock recommendations.

Investing in the share market today can be likened to embarking on an adventurous journey. The stock market, with its highs and lows, offers numerous opportunities for those equipped with the right knowledge and strategy. With the insights provided by Bajaj Broking Research Desk’s latest report on the "Top Picks Portfolio Basket" for August 2024, you can navigate this thrilling ride with confidence. This blog will delve into the details of this report, offering a detailed look at the top stocks to buy, covering various investment amounts, and highlighting key aspects of these top picks.

Market Overview

The global equity market has shown signs of caution in recent weeks due to tepid economic data from the US, rising jobless claims, and contracting manufacturing growth. These factors have stoked fears of a possible recession and delayed interest rate cuts by the Federal Reserve. Additionally, geopolitical tensions in the Middle East and concerns over a reverse Yen carry trade have added to the market's volatility.

Despite these global headwinds, the Indian stock market has remained resilient. Driven by robust domestic demand for equity, India stands out as one of the few markets globally with healthy demand for shares. Bajaj Broking anticipates the Nifty index to trend upwards towards the year-end target of 25,800-26,000, with key support levels at 23,500-23,000.

Portfolio Highlights

Bajaj Broking's "Top Picks Portfolio Basket" is designed to outperform the market with an expected average return of 23-25% over a one-year horizon. The Bajaj Broking Research Desk has also called out that there should be a stop loss of 13% at the portfolio level. This portfolio comprises carefully selected stocks across various sectors, each chosen based on extensive techno-funda research. Please note that the time horizon for this portfolio basket is 1 year.

Below are individual stocks mentioned with desired targets and weightage in the portfolio:

HDFC Bank (Banking):

  • Current Price: ₹1601.2
  • Market Cap: ₹12,38,566 Cr.
  • Target Price: ₹1940
  • Weightage in the Portfolio: 11%

SBI (Banking):

  • Current Price: ₹797.7
  • Market Cap: ₹7,32,309 Cr.
  • Target Price: ₹1020
  • Weightage in the Portfolio: 11%

HUL (FMCG):

  • Current Price: ₹2750.05
  • Market Cap: ₹6,45,221 Cr.
  • Target Price: ₹3280
  • Weightage in the Portfolio: 9%

HCL Tech (IT-Software):

  • Current Price: ₹1582.75
  • Market Cap: ₹4,35,109 Cr.
  • Target Price: ₹1920
  • Weightage in the Portfolio: 11%

Zomato Share Price Latest Update

Zomato share price is currently trending at ₹ 275.85, up by 3.04% as of 11:12 AM, on September 11th, 2024. 

At 12:50 pm on 12 September, Zomato Ltd's share price increased by 3.90% to ₹282.35 on NSE, continuing its impressive rally with the stock rising 17% over the past five sessions.

Zomato (E-commerce):

  • Current Price: ₹249.08
  • Market Cap: ₹2,33,567 Cr.
  • Target Price: ₹340
  • Weightage in the Portfolio: 9%

DLF (Realty):

  • Current Price: ₹820.7
  • Market Cap: ₹2,07,431 Cr.
  • Target Price: ₹1070
  • Weightage in the Portfolio: 11%

Tech Mahindra (IT-Software):

  • Current Price: ₹1483.4
  • Market Cap: ₹1,45,799 Cr.
  • Target Price: ₹1820
  • Weightage in the Portfolio: 10%

Natco Pharma (Pharma):

  • Current Price: ₹1351.65
  • Market Cap: ₹23,991 Cr.
  • Target Price: ₹1660
  • Weightage in the Portfolio: 9%

Deepak Fertilizer (Chemicals):

  • Current Price: ₹948.65
  • Market Cap: ₹11,964 Cr.
  • Target Price: ₹1188
  • Weightage in the Portfolio: 10%

Paras Defence (Defence):

  • Current Price: ₹1232.3
  • Market Cap: ₹4,840 Cr.
  • Target Price: ₹1560
  • Weightage in the Portfolio: 8%

Consolidated View of the Basket:

Company

Sector

Current Price (₹)

Market Cap (₹ Cr.)

Target Price (₹)

Weight

Upside Potential

HDFC Bank

Banking

1601.2

12,38,566

1940

11%

21.20%

SBI

Banking

797.7

7,32,309

1020

11%

27.90%

HUL

FMCG

2750.05

6,45,221

3280

9%

19.30%

HCL Tech

IT-Software

1582.75

4,35,109

1920

11%

21.30%

Zomato

E-commerce

249.08

2,33,567

340

9%

36.50%

DLF

Realty

820.7

2,07,431

1070

11%

30.40%

Tech Mahindra

IT-Software

1483.4

1,45,799

1820

10%

22.70%

Natco Pharma

Pharma

1351.65

23,991

1660

9%

22.80%

Deepak Fertilizer

Chemicals

948.65

11,964

1188

10%

25.20%

Paras Defence

Defence

1232.3

4,840

1560

8%

26.60%

Methodology:

The Bajaj Broking Research team has handpicked the stocks after undergoing extensive Techno-Funda research across a universe of stocks listed on the NSE. The specified universe undergoes various screeners based on broad technical concepts encompassing price structure analysis, relative strength ranking, Dow theory, and in-house bottom-up model.

We stick to companies with credible business history over business cycles, reasonable business model with decent management pedigree, and robust balance sheet.

Key Details:

While this will help you create a comprehensive portfolio basket there are certain key details that you should keep in mind before you invest in these stocks.

Date of Recommendation: 7th August 2024

Profit Target: 23-25% at Portfolio Level

Stop Loss: 13% at Portfolio Level

Benchmark: Nifty500

Conclusion

Navigating the share market today requires a strategic approach and informed decision-making. Bajaj Broking's "Top Picks Portfolio Basket" offers a well-researched and balanced portfolio expected to yield an average return of 23-25% over a year. By investing in these top stocks, investors can capitalize on the opportunities presented by the Indian stock market's resilience and robust domestic demand.

Remember, investments in the stock market are subject to market risks. It is crucial to consult with financial advisors and consider individual risk tolerance before making investment decisions. Stay updated with the stock market today and make informed choices to make the best of your investments.

Disclaimer: Investments in the securities market are subject to market risk, read all related documents carefully before investing.

This content is for educational purposes only. Securities quoted are exemplary and not recommendatory.

For All Disclaimers Click Here: https://bit.ly/3Tcsfuc

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