Anil Singhvi picks 2 stocks that could yield bumper returns of up to 94%!
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The stock market has had a strong start to Muhurat trading. The Sensex gained nearly 300 points. Meanwhile, the Nifty is trading at a 13-month high, crossing 25,900. Amid the market rally, market guru Anil Singhvi has selected two Muhurat stocks for investors. He recommends buying them with a 1-2 year horizon.
Zee Business Managing Editor Anil Singhvi has selected Inox Wind as his Diwali pick. He recommends investing for 1-2 years and starting a SIP for every 15% decline. He has given target prices of ₹190, ₹225, and ₹275 per share. The stock closed at ₹146.95 in the last session. It has the potential for an upside of over 87%.
Why buy shares?
According to Anil Singhvi, Inox Wind is an integrated wind energy company. It manufactures wind turbine generators and EPC solutions. The merger with INOX Wind Energy has a positive impact on financials. The order book stands at 3.1 GW as of June 30th. The latest CERC circular will further improve execution.
Successfully completed a ₹1,250 crore rights issue to reduce debt. According to brokerages, the company is poised for a turnaround. The company turned profitable in FY25 after seven years. Following a strong Q1, FY26 EBITDA margin guidance has been raised from 17-18% to 18-19%. The stock is trading at a 50x PE, well below its 5-year average PE of 81x. YTD, the stock has fallen 20%, trading at reasonable valuations.
Anil Singhvi has selected small-cap textile company Mafatlal Industries in his second Muhurat pick. Invest for 1-2 years and do a SIP on every 15% decline. The target price for the stock is ₹175, ₹225, ₹275. The stock closed at ₹141,945 in the last trading session. It could see up to 94% upside.
Why invest?
According to market gurus, Mafatlal Industries is a 120-year-old textile manufacturing company and part of the Mafatlal Group. It owns prestigious brands like Jack & Jones, Wrangler, Lee, Killer, Mufti, Spykar, and Allen Solly. It has an asset-light model, outsourcing 95% of its manufacturing. It is virtually debt-free, a rare achievement for a textile company. Large government orders can generate significant revenue. Strong profit growth has been achieved at a CAGR of 45% over the past five years.
It has an order book of ₹1,000 crore by June 30, 2025. The low valuation of 8.4x PE is significantly lower than the industry average PE of 21x. A trade deal with the US would be extremely positive for the textile sector.
