Union Budget India: Top 5 Stocks to Invest 2019

By | January 18, 2019

Union Budget India in 2019 is in the corner and you want to grab the opportunity. So, that you can make some quick bucks while investing in Indian equity markets.

If it is so, then invest in stocks that are likely to outperform pre and post-Union Budget India 2019.

Most of the stock analysts believe that stocks that work on rural development, consumptions sector, and infrastructure likely to be the beneficiaries of the budget.



It is expected that the Government of India’s focus will be on rural development and employment generation by implementing various policies.

Union Budget 2019 will be the next big thing that may trigger Indian stock markets to make a new high.

GoI likely to announce various schemes and policy benefits to uplift the rural economy. Because of that disposable income may also rise.

Due to that, consumption also increases and so you can focus on consumer-oriented stocks as well. To uplift rural zone, infrastructure, and affordable home are key things to eye on.

Top 5 Stocks to Invest Before Union Budget India 2019

There are thousands of companies that may be benefitted from Union Budget India 2019. However, I choose only 5 stocks that I am looking forward to investing before Union Budget India 2019.

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Hero Moto Corp

Hero Moto Corp is the 2nd largest two-wheeler manufacturer in India. It has a market cap of way over 58,000 Crore.

Its P/E is 15.96 and is likely to outperform in 2019 and in future too. Hero Motocorp is actually a long-term bet and you can keep it in your portfolio as well.

You can start to invest in Hero MotoCorp by keeping a Stop Loss at 2640.

Performance
YTD 1-Month 3-Month 1-Year 3-Year 5-Year 10-Year
Hero Motocorp -5.37 -4.22 1.58 -21.66 5.66 7.26 13.85
NIFTY 50 -0.07 1.51 5.38 2.05 12.59 11.96 14.21
NIFTY Auto -3.56 0.42 1.99 -25.42 4.76 11.28 23.30

Escorts

Escorts operates in the sectors of agri-machinery, construction, and material handling equipment. It is a market leader in its segment and has a market cap of 9100 Crore.

Although, its P/E is on the higher side of 21 and already it has returned more than 130% in the last year or so. In fact, most of the analyst thinks that the stock may touch 850 levels.

Escorts stock has a target of 850+. Don’t forget to put Stop Loss at 540.

Performance
YTD 1-Month 3-Month 1-Year 3-Year 5-Year 10-Year
Escorts 4.74 18.02 30.26 -6.89 65.45 43.91 34.83
NIFTY Midcap 100 -1.42 3.32 10.11 -18.77 9.84 17.42 17.40
NIFTY Auto -3.56 0.42 1.99 -25.42 4.76 11.28 23.30
 

UPL – United Phosphorus

United Phosphorus mainly in the business of pre to post-harvest agricultural solutions. It provides quality seeds, seed treatment, and industrial chemicals.

UPL market cap is around 40,000 Crore and P/E is 18.84. You can buy UPL for a target of 890 with a Stop Loss at 720.

Performance
YTD 1-Month 3-Month 1-Year 3-Year 5-Year 10-Year
UPL 0.86 0.94 26.60 -3.26 21.55 30.27 21.80
NIFTY 50 -0.07 1.51 5.38 2.05 12.59 11.96 14.21
NIFTY Commodities -3.51 -0.12 -0.73 -21.17 11.47 8.32 8.40

 

Hatsun Agro

Hatsun Agro is a mid-cap stock and has the potential to become a large-cap stock. Its market cap is about 10,900 Crore and P/E is above 117.

Currently Hatsun Agro is trading 680 levels and you can buy the stock for a target of 910 with a Stop Loss at 560.

Performance
YTD 1-Month 3-Month 1-Year 3-Year 5-Year 10-Year
Hatsun Agro Products 7.57 8.73 11.12 -18.78 32.62 35.05 49.90
NIFTY Midcap 100 -1.42 3.32 10.11 -18.77 9.84 17.42 17.40
NIFTY FMCG 0.20 3.05 12.63 12.21 16.43 12.79 19.61

Jain Irrigation

Jain Irrigation manufactures products like drip and sprinkler irrigation systems and its components. In fact, it is one of the top picks to invest before India’s Union Budget 2018.

Jain Irrigation market cap is about 3300 Crore and P/E is above 13. You can buy Jain Irrigation and keep Stop Loss at 54.

Performance
YTD 1-Month 3-Month 1-Year 3-Year 5-Year 10-Year
Jain Irrigation Systems -4.23 8.36 5.53 -49.16 -2.78 -1.38 -0.31
NIFTY Smallcap 100 -0.93 5.49 11.00 -32.95 4.90 13.48 14.65
NIFTY Commodities -3.51 -0.12 -0.73 -21.17 11.47 8.32 8.40

I hope you like the 5 top stocks that I have mentioned above keeping in mind Union Budget India in 2019.

However, there are other stock ideas that I will publish in my next post.

So, if you like this post, then do share it with your friends, relatives, colleagues or on your social networks.

You can also comment below to know more or share and express your views as well.

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