Home / Markets / Stock Markets /  ITC to Maruti Suzuki: Religare lists out 6 budget 2023 stocks to buy

Budget 2023 stocks to buy today: The Union Finance Minister Nirmala Sitharaman is less than 24 hours away from beginning her budget speech and market experts are busy scanning sectors and segments that may work post-budget 2023. According to Religare Broking, the Government of India (GoI) is expected to focus on infrastructure sector that may fuel auto, FMCG, cements and consumer durable stocks.

Speaking on themes that may work post-budget 2023, Religare Broking said, "In this budget, there are high expectations that the government will continue to focus on allocating more funds in infrastructure space and that would help drive growth for sectors such as auto, FMCG, cements, consumer durables, etc."

On budget 2023 stocks to buy today, the Religare Broking listed out the following six shares:

1] Maruti Suzuki India Ltd or MSIL: Maruti is a leading player in the passenger vehicle segment with a market share of 43%. In the next couple of years, their plan is to regain its lost market share led by new launches in the UV and PV segment, strong demand for UV vehicles, easing supply side constraints and focus on premiumization.

Besides, its medium term strategy is to launch EV models, strengthen presence in the CNG and Hybrid segment through a mix of its existing product portfolio and new launches.

2] Mahindra & Mahindra (M&M): M&M is one of the leading automotive companies operating in utility vehicles, commercial vehicles and farm equipment. We are positive on the company's growth prospects driven by new product launches, capacity expansion and its venture into the EV segment. Easing commodity prices and premiumization would help margins to grow.

3] Asian Paints: Asian Paints is the market leader in paints and we believe its growth will be driven by strong product portfolio, continuous new launches, focus on high growth segments such as exterior and waterproofing, wood polish, primers, etc. as well as focus on home décor and beautiful home services. Further, it intends to focus on premium products and product mix along with easing raw materials would aid margin improvement.

4] ITC: ITC is a well-diversified player across segments like cigarettes, FMCG, Agri, Hotels and paperboards. Its strategy to diversify and earn revenue from different segments by focusing on innovation and premiumization across businesses will continue to drive growth.

5] Hindustan Unilever Ltd or HUL: HUL will continue with its leadership position given its strong product portfolio, innovation technique, parent expertise (Unilever), investment behind brands and also improvement in distribution network bodes well. Further, its continuous focus on premiumization, cost optimization measures and abating inflation will help to improve margins.

6] UltraTech: Company’s leadership position along with its capacity addition and debt reduction plans bode well for the future and this would give an edge to the company over other players. Further, demand visibility, improved realization and utilization from existing capacities would aid in better volume growth. Moreover, the company’s plan to improve margin is to focus on better product mix, increase in usage of green power (to 36% by FY25 from 18% in FY22) and decline in cost of fuels and other raw materials.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions.

Asit Manohar
Chief Content Producer at Live Mint Digital Team
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