Indian stock markets rallied on Tuesday, October 13, with the Sensex rising 1.5%, or 1,109 points, to close at 73,033, while the Nifty 50 gained 1.6%, or 358 points, to settle at 22,721.95. Gains in IT and banking heavyweights supported the benchmarks. The Indian rupee strengthened 62 paise to 95.16 against the US dollar in early trade after the RBI announced additional measures to ease pressure on the currency. Meanwhile, Brent crude futures fell more than 1% to around $105 a barrel amid prospects of additional diesel supplies from Russia.
Brokerage Monarch Networth Capital has identified two stocks — Ramkrishna Forgings and TCPL Packaging— with potential upside of up to 16% and 20%, respectively, based on its research assessments.
While Ramkrishna Forgings offers an earnings-led investment case built around business diversification, higher capacity utilisation and improving profitability, TCPL Packaging presents a technical trading opportunity supported by bullish momentum indicators. The brokerage has set a target price of ₹806 for Ramkrishna Forgings, while its technical analysis identifies a target range of ₹4,900– ₹5,300 for TCPL Packaging.
Here is a closer look at the rationale, targets and key levels investors should know about.
1. Ramkrishna Forgings: Monarch Networth Capital sets ₹806 target
Monarch Networth Capital has initiated coverage on Ramkrishna Forgings with a Buy rating and a target price of ₹806 per share, implying potential upside of 16% from the closing market price of ₹694.20.
“RK Forgings is transitioning from a predominantly CV-cycle-led forger into a diversified mobility and industrial platform, with PV, railways, O&G, a rebalanced export book and utilization of its 333,400MT forging and 78,600MT casting base driving the next leg of robust earnings growth. The more important change, however, is the earnings mix: Europe currently accounts for >40% of exports, but this is expected to normalize to ~30-40% as US exports recover, railway revenue has macro tailwind and new products driving growth, machining intensity is increasing, and new PV, cold-forging and aluminum programs are broadening the addressable market,” said the brokerage
Railway revenue accounted for 7.5% of the company’s standalone revenue in FY26, compared with 4.6% in FY25, according to the report. The brokerage expects railway revenue to grow at a compound annual growth rate (CAGR) of 27% over FY26–FY29E.
Monarch Networth Capital said in its research report: “We expect this diversification, combined with utilization-led operating leverage, to drive 20%/30%/102% Revenue/EBITDA/Adj. PAT CAGR over FY26-29E, supported by EBITDA margin expansion (from 15.2% to 19.5%) and end of capex cycle driving deleveraging.” The projections depend on execution, demand recovery and the anticipated improvement in capacity utilisation.
The brokerage values the company at 27 times estimated September 2028 earnings per share. Key risks include slower export recovery, delays in railway and joint-venture ramp-ups, and weaker-than-expected utilisation or margin expansion.
2. TCPL Packaging: Technical setup points to ₹5,300 target
Monarch Networth Capital has identified TCPL Packaging as a potential technical trading opportunity, with a target range of ₹4,900– ₹5,300 over the next three to four months. The stated buying zone is ₹4,150– ₹4,280, with a stop loss below ₹3,600 on a closing basis. The brokerage’s report listed a market price of ₹4,274.70 and potential upside of up to 20%.
The technical case rests on the stock finding support in the ₹3,650– ₹3,750 range following a correction from its swing high of ₹4,411. The report also points to support from the anchored volume-weighted average price (VWAP), a golden crossover in moving averages, a relative strength index (RSI) above 60 and a bullish moving average convergence divergence (MACD) crossover.
Monarch Networth Capital’s technical analysis noted: “The stock witnessed a sharp upward move from the 2,428 level, reaching a swing high of 4,411. Following this peak, the stock underwent a 38.2% Fibonacci retracement and established strong support around the 3,650–3,750 zone.”
The brokerage also identified a rounding-bottom reversal pattern around key moving averages, suggesting renewed buying interest after the correction. However, the setup remains dependent on the stock sustaining support and maintaining its positive momentum.
The recommended stop loss below ₹3,600 is an important risk-control level. Investors should also note that the target range is based on a technical trading horizon of three to four months, rather than a long-term fundamental valuation.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
