BJP Manifesto for Modi 3.0: Tata Motors, HUL, GAIL, Motherson and More; Analysts Recommend Top Stocks to BUY Before Election Results 2024
BJP Manifesto for Modi 3.0, Top Stocks to BUY: Prime Minister Narendra Modi-led Bharatiya Janata Party government at the Centre has made a host of new promises in its Lok Sabha poll manifesto which was released last week in the run-up to the General Elections scheduled to take place between April 19 and June 1. The election results will be announced on Tuesday, June 4, 2024.
PM Modi released the BJP party’s manifesto for the next five years, promising continuity and enhancement of previous policies, along with new measures to deepen and widen India’s economic progress. Guaranteeing delivery of the party’s promises, PM Modi enlisted its next-term strategy, which aims at further expansion of infrastructure (physical, digital, social), manufacturing, exports, MSMEs, employment, rural incomes, and youth and women’s empowerment. Within infrastructure, it will lay emphasis on housing, defence, railways, aviation, energy, roads, EVs, etc. Sustainable, technological, regionally balanced, and globally unified development will continue to be the guiding light for future policies.
Global broking firm PhillipCapital in its report said that BJP’s manifesto indicates policy continuity, there is greater scale, clarity, confidence, and rigour at play. “In its third term, we expect the party to be more aggressive in terms of execution and policy development. Additionally, it is likely to execute plans that were laid out in the previous regime, in its next term. We expect broadbased focus across sectors and segments over the next five years,” analysts said in the report.
“We remain bullish on India’s economy and equities with a long-term perspective. We expect the country’s economy at US$ 6.7tn and the Nifty at 40,000 by FY30,” it added.
The BJP manifesto has focused on multiple fronts, benefiting multiple sector and stocks. The analysts at the brokerage highlighted major beneficiaries sector/stocks for Modi 3.0
1) Affordable housing (AH): Positive for banks (HUDCO – NR), metals (major steel players), NBFC (entire AH), and cement (UltraTech and Ambuja Cement).
2) Tourism: Hotel (Indian Hotels – NR and other larger players), aviation (entire industry) and NBFCs (credit-card players).
3) Railway infrastructure (new and enhancement): Major steel players; APL Apollo, JTL, Surya, Hi-Tech.
4) EVs: Auto manufacturers (Tata Motors, TVS Motor) and NBFC (Shriram finance, Sundaram finance – NR and Chola).
5) Auto-parts suppliers: Motherson and Sona BLW.
6) Mudra loan limit expansion: PSB, SFB and MFIs.
7) Working capital to MSME: Shriram Finance, MasFin (NR) and Bajaj Finance.
8) Natural gas: Gas (GAIL, PLNG, IGL, MAHGL, GUJGA, IRM – NR, ATGL – NR) and pipes (Welspun Corp, Maharashtra Seamless, Ratnamani Metals).
9) Increase crop MSP: Tractors (Escorts Kubota and M&M) and NBFC (MMFS, Chola, Shriram Finance and Sundaram Finance).
10) Har Ghar Jal Scheme: Jindal Saw, Welspun Corp, Electrosteel Castings (NR), Hi-Tech, JTL (NR), Surya (NR), and APL Apollo.
11) Pharma (boosting mfg. and research capacities, expand RLI schemes): Divis, Syngene, Suven (NR), Ami Organic (NR).
12) FMCG (rural recovery): Major beneficiary (Dabur, Emami and Bajaj Consumer); modest for HUL, Colgate and Britannia.
13) PM-eBus: Ashok Leyland, Tata Motors, JBM Auto, Olectra Greentech (NR).
(Disclaimer: Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of TN Network.)
