ICICI Direct Momentum Picks: Buy 4 Stocks Including 3 PSUs For Quick Return

ICICI Direct has selected 4 stocks to buy in its latest report for attractive return. These stocks are Ultratech Cement, Mishra Dhatu Nigam, Union Bank, and Indian Bank. The maximum return that the stocks can offer to investors in 3-months is 8%. The analyst has given a time period of 3 months when the stocks will reach their specified target price.

Name of Company	Return in 3-Months
Ultratech Cement	6%
Mishra Dhatu Nigam	8%
Union Bank	5%
Indian Bank	5%

Check key takeaways below:

1. Buy Ultratech Cement

ICICI Direct, in its latest report, has assigned buy call to Ultratech Cement with a target price of Rs 7290 with stop loss at 6448. If you buy the stock at its current market price of Rs 6892 apiece, it can offer you a potential return of 6%. The analyst has given a target time period of 3 months when the stock will reach the specified target price.

According to ICICI Direct, "We expect the stock to head towards Rs 7290 levels in the coming weeks being the 123.6% external retracement of the September 2022 decline (7029- 6005)."

The company has a market capitalisation of Rs 1,98,965.69 crore. The large cap stock has given a maximum return of 63% in last 3-years.

The Infra sector has been in the limelight and is seen outperforming broader markets. Nifty Infra index is at the cusp of breaking above last one year range. Within the Infra space we expect the cement stocks to witness catch up activity, among preferred pick is Ultratech cement which we expect to outperform, added ICICI Direct.

2. Buy Mishra Dhatu Nigam

ICICI Direct has recommended investors to buy Mishra Dhatu Nigam with a target price of Rs 274 apiece and stop loss at 236 apiece.

The Defence PSU have remained resilient and is seen outperforming the broader market. Within the defence stocks we remain constructive on Mishra Dhatu Nigam as it continue to form higher peak and higher trough in all time frame, according to the analyst.

The current market price of the stock is Rs 253 apiece with market capitalisation at Rs 4,754 crore. If you buy Mishra Dhatu Nigam at current price, it can fetch you a potential return of 8% in 3-months duration. The stock has given a maximum return in 5 years at 182%. The mid cap company was incorporated
in 1973.

According to ICICI Direct, "We expect the stock to continue with its strong up move and head towards Rs 274 levels being the 161.8% external retracement of the recent breather (Rs261-236)."

3. Buy Union Bank

ICICI Direct has recommended investors to buy Union Bank with a target price of Rs 58 apiece. The current market price of the stock is Rs 55 apiece with market capitalisation of Rs 37,727 crore. If you buy Union Bank the stock at current market price, you can get a return of 5% in 3-months.

The stock has given maximum return in last 3 months at 43%.
According to ICICI Direct, "We expect the stock to continue with its positive momentum post its bullish flag breakout and head towards Rs 58 levels being the price parity with the previous up move (Rs 48.50-55.20) as projected from the current week low of Rs 51.20."

The share price of Union Bank has generated a breakout above a bullish flag formation, indicating continuance of positive momentum and offering a fresh entry opportunity, added the analyst.

4. Buy Indian Bank

The analyst has suggested investors to buy Indian Bank with a target price of Rs 261 apiece. The current market price of Indian Bank is Rs 249 apiece. If you buy Indian Bank stock today, it can give you a potential return of 5% in 3 months. The PSU banking company has a market capitalisation of Rs 31,067 crore. The banking stock came into existence in 1907 and has given maximum return of 85% in last 3-years.

According to ICICI Direct, "We expect the stock to head towards Rs 261 being the 123.6% external retracement of recent breather (Rs 258-241)."

PSU banking stocks continue to remain in up trend and is outperforming the broader market, added the analyst.

Disclaimer

The stocks have been picked from the brokerage report of ICICI Direct. Greynium Information Technologies, the Author, and the respective Brokerage House are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to check with certified experts before taking any investment decision.