HDFC Securities’ top picks: eyes are on 2 stocks


According to HDFC Securities, BFSI – NBFCs and Auto Ancillaries stocks should be purchased for the next two quarters. India is the location of both Spandana Sphoorty Financial and Rico Auto Industries. Between FY19 and FY21, Rico Auto had difficulty selling its products due to the decline in the auto sector. Both Rico and the industry anticipate a recovery in FY22. The letter indicates that Rico’s revenue visibility has grown. In the next two quarters, we believe that investors can purchase the company at a fair value of 45.5% and a bull case fair value of 48.5% in the range of 41-43 “A broker was suggested. Rico has spent thirty years in the auto parts sector. Die-cast aluminium and ferrous components make up the majority of it.

Spandana Sphoorty Financial projects a 17 per cent CAGR for business advances between FY22E and FY24E, as a result of a 15 per cent decrease in FY22. After FY22, return ratios may increase as the company cleans up its financials, expands its book, and increases its dividend. “A subsidiary of HDFC Bank. The corporation expects to reach a base case goal of $426 and a bull case goal of $480 during the next two quarters. 370-380 and 334-340 represent possible purchase ranges for this stock. “They added to it. In India, SSFL was founded in 1998 as a rural-focused NBFC-MFI. This company offers loans with shared obligations for income development.

In 2021-22, the value of Indian exports was projected to reach a new high, but the volume of exports is anticipated to increase more slowly. In the United States, the quantity of plastic and rubber goods, gems and jewellery, and optical, medical, and surgical devices declined in 2012. The exports in these categories climbed by a large percentage.

According to a review of export data, the value growth of merchandise exports exceeded volume growth in FY22. These four products’ exports increased due to price increases rather than a rise in export volume or quantity.”India Ratings was identified and evaluated. In 2021-22, the value of gem and jewellery exports increased by 50 per cent, but the volume increased by only 30 per cent. However, despite a 35.2% growth in value, plastic and rubber exports increased by only 18.6%. The value of optical, medical, and surgical instrument shipments climbed by 21.6% annually, while the volume declined by 8.8%. In 2021-22, the value of “Others” rose by 36.5%, while exports decreased by 25.1%.

The number of ore shipments increased by 69.2%, while the value declined by 23.2%. In contrast to the report’s assertion that “value growth is more pronounced for minerals and petroleum products,” the statement asserts that “volume growth is more pronounced for projects,” “machinery and electronics,” “agriculture and allied products,” “transport equipment,” “sports goods,” and “stone/plaster/cement-ceramic-glass and glassware products.” Rising interest rates and the Russian-Ukrainian conflict make it unlikely that export growth will continue at its current rate.

“In FY22, India’s merchandise exports reached a record USD421 billion thanks to the COVID-19 embargo, countercyclical monetary/fiscal stimulus in developed nations, temporary trade pacts with some nations, and rebate programmes. Recent history indicates that the global environment will no longer be favourable “educating oneself regarding

According to a World Trade Organization assessment, proactive measures such as new free-trade agreements and expanding Refund of Duties and Taxes on Exports (RDTP) programmes may assist boost merchandise exports (WTO).

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