Diwali Muhurat trading: Samvat 2082 tested investors’ patience, with the Nifty 50 and Sensex seeing sharp corrections. But historically, such sharp corrections set the base for the market rally and the next phase of wealth creation, according to Monarch Networth Capital.
For Samvat 2083, 8th Pay Commission and Banking, Financial Services, and Insurance (BFSI) are likely to remain as key themes for investors to track. Additionally, the brokerage released the list of Diwali stock picks for Samvat 2083, which includes Aster DM Quality Care, Bharat Electronics, Bharti Airtel, Blue Star, Carborundum Universal, CCL Products (India), HDFC AMC, Indegene, Pricol, State Bank of India, TBO Tek, Vedanta Aluminium Metal, and VA Tech Wabag.
Samvat 2083 key themes: 8th Pay Commission, BFSI
The potential acceptance of the 8th Pay Commission in the financial year 2027-28 (FY 28) is likely to put more money in the hands of over 2 crore employees and pensioners, boosting consumption.
“Past commissions saw the extra income flow towards automobiles, travel and tourism, premium beverages and consumer durables, and we expect a similar pattern. The premiumization theme could benefit these consumption and discretionary pockets,” read the Monarch report.
Credit and deposit growth are both above 15%, and asset quality remained at a multi-year best, the BFSI segment highlighted in its report.
Diwali Muhurat trading: Stock picks for Samvat 2083
Carborundum Universal Limited, CCL Products, and Vedanta Aluminium Limited are among the top three stocks in which Monarch Networth Capital sees more than 40% upside potential.
Vedanta Aluminium share price target
Listed after the Vedanta demerger, Vedanta Aluminium has the potential to deliver 48% returns to its shareholders in the long term. India’s largest producer of aluminium and alumina is expected to deliver strong revenue and EBITDA growth over the next three years, as per the brokerage.
However, a fall in aluminium prices, delays in mine approvals, and promoter-level leverage are among the key risks. Monarch gave a ‘Buy’ rating with a target price of ₹525 per share.
Carborundum Universal target price
The company offers a differentiated materials science play, with backward integration across bauxite, fused alumina, and silicon carbide (SiC), and growing exposure to engineered materials.
“We value CUMI on a sum-of-the-parts basis, attributing a 45.0x P/E and a 27.0x EV/EBITDA for the core business and separately valuing its stake in listed Wendt India, to arrive at a Sept-2028E base-case target price of ₹1,563.”
CCL Products share price target
One of the largest producers of Instant Coffee for private labels, CCL Products is expected to deliver consistent performance despite volatility in coffee prices. Monarch gave a target price of ₹1415 per share.
