Neogen Chemicals: Brokerages are positive about this specialty chemicals maker despite being in a market with many listed competitors. Three brokerages — ICICI Direct, HDFC Securities, and Edelweiss, gave the company a ‘Buy’ rating in recent reports. ICICI Direct expects the company’s capital expenditure to enhance capacity at its Dahej plant to generate revenue of Rs 350 crore by FY24. Even after the 33% price rise since the month began, the stock is trading 5.5% below the average broker target price.
Sundram Fasteners: The management of this auto-components maker expects the automobile market to recover strongly in Q3FY22. Arathi Krishna, the Managing Director of the company said that demand from automobile original equipment manufacturers is 80-85% of pre-Covid levels in Q2FY22. Even with the second wave disrupting economic activity in Q1FY22, the company’s revenues jumped nearly 3X YoY and declined by just 11% sequentially. The reason for this, according to brokerages, is its low sales to commercial vehicle makers (especially heavy commercial vehicles) which are 18% off pre-second wave levels.
Godrej Properties: Expecting a swift and steady revival in realty stocks, the Nifty Realty index gained nearly 30% in one month. This stock is leading the rally with a 42% gain in that time reaching a lifetime high. The developer registered sales of Rs 1,140 crore in the past six months from just one residential project in Noida. Over 50% of these sales came in one day. For the rest of FY22, the developer has a healthy pipeline of properties measuring 1.2 crore square ft. The market expects housing demand to remain robust in Q3FY22 especially with the festive season approaching.
Alkyl Amines Chemicals: This specialty chemicals’ Managing Director Yogesh Kothari is routinely selling shares as its stock price corrects. In September alone, he sold 7.5 lakh shares representing 1.4% of the company for Rs 30.7 crore across 14 insider trades. In Q2FY22 so far, he sold nearly 9 lakh shares for Rs 36.3 crore. Since reaching a lifetime high of Rs 4,622 per share in early July, the stock is down by 14%.
Vaibhav Global: This online retailer of fashion accessories and jewelry’s promoter is buying shares as the stock price declines. In September, its promoter (Brett Enterprises) holding a 55% stake, purchased over 3 lakh shares (0.18%) worth Rs 26.4 crore in seven insider trades. In FY22, the promoter has bought back over 12 lakh shares for Rs 56.7 crore in 17 insider trades. In that time, the stock price is down by 27%.