UltraTech Cement, United Spirits And More - Top Stock Picks For Diwali And Samvat 2078: Motilal Oswal
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Motilal Oswal Report
Top stock picks for Diwali - Samvat 2078
UltraTech Cement Ltd.
UltraTech Cement enjoys leadership position across regions, which helps it maintain its premium pricing in most markets.
The company is setting up cement capacities of 19.5 million tonnes per annum, which would drive sales volume compound annual growth rate of 10% over FY21- 24E.
We expect UltraTech Cement to turn cash positive in FY24E and expect return on equity to improve further to 15% by FY24E on higher asset turnover, led by an enhancement in capacity utilisation, continued debt reduction, and improvement in Ebit margin.
United Spirits Ltd.
United Spirits' recovery post the second Covid-19 wave has been faster than that in FY21 and continues to improve. The outlook appears promising with:
on-trade channel returning to normalcy;
increased occasions for home indulgence;
the ongoing strategic review of half of the Popular portfolio to be concluded by December 2021, which would offer further primacy to the Prestige and Above segment;
potential success in the P&A segment in terms of both growth and margin;
the new chief executive officer taking over recently; and
Click on the attachment for full list of Motilal Oswal's Diwali stock picks:
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