Latest News: Hindustan Unilever and Maruti Suzuki India - Analysis by Sunny Agrawal of SBI Securities

Hindustan Unilever and Maruti Suzuki India - Analysis by Sunny Agrawal

Latest News: Hindustan Unilever and Maruti Suzuki India - Analysis by Sunny Agrawal of SBI Securities

In a recent analysis, Sunny Agrawal, Deputy Vice President and Head of Fundamental Equity Research at SBI Securities, has provided insights into two top-performing stocks, Hindustan Unilever and Maruti Suzuki India. Here's what he had to say:

Top Stock Picks:
According to Agrawal, "Hindustan Unilever's stock price has undergone a correction from Rs 2,800 to Rs 2,500. This is the right time to enter the stock as the risk-reward ratio is favorable." He considers Hindustan Unilever one of his top long-term picks, suggesting that "one can accumulate HUL with a target price of Rs 2,800 within a 6-12 month timeframe."

Meanwhile, in the automotive sector, Agrawal recommended Maruti Suzuki India Ltd. For Maruti, he suggested a target price of Rs 12,000 within a 6-12 month duration. He noted that healthy demand for Maruti's newly-launched SUV portfolio is a contributing factor, leading to premiumization in the automotive market. "We are witnessing significant growth in the premium SUV portfolio, contributing to market premiumization. Maruti is experiencing a shift towards premiumization, which will result in margin expansion," Agrawal stated.

He also added that with the upcoming holiday season, sales volumes for Maruti are likely to remain robust for the next three to six months.

In addition to these two stocks, Agrawal also identified Eicher Motors Ltd and SJS Enterprises Ltd as attractive stocks in the automotive and auto ancillary sectors.

Market Conditions Today:
Despite the strong potential of these two stocks, today, the Indian equity market experienced a decline, primarily driven by consumer goods and technology stocks. However, stocks in the broader market, including mid and small caps, remained positive.

Exchange data indicated that foreign institutional investors (FIIs) sold shares worth Rs 354 crore, while domestic institutional investors (DIIs) bought shares worth Rs 386 crore in the previous session.

Regarding sector performance, eight out of 15 sector indices compiled by the NSE were trading in the red. Nifty FMCG and Nifty IT sub-indexes underperformed the NSE platform, with declines of 0.71 percent and 0.75 percent, respectively. Conversely, Nifty PSU Bank and Nifty Metal recorded gains of 1.32 percent and 0.52 percent.

Specific Stock Situations:
On the specific stock front, Tech Mahindra Ltd was the biggest loser in the Nifty index, declining by 3.01 percent to trade at Rs 1,249.8. Other stocks such as Asian Paints, Britannia, ITC, and HUL also experienced declines of up to 1.78 percent.

In contrast, stocks like L&T, PowerGrid, Axis Bank, Adani Ports, and Sun Pharma were among the top gainers.

Overall Market Breadth:
The overall market breadth was positive, with 2,019 stocks advancing while 1,227 stocks declined on BSE.


(Note: This article presents the analysis and views of Sunny Agrawal from SBI Securities and the current market conditions. It is not an investment recommendation. Investors should conduct further research before making investment decisions.)

What's Your Reaction?