Hot Stocks: 3 stocks that may give returns between 13-29%

A look at some of the latest stock recommendations by analysts. These stocks are expected to return between 13% and 29% as per analysts’ price targets.

Varun Beverages
BROKERAGE: HSBC Price Target: Rs 780 CMP: Rs 606 Upside: 29%

• Has 90% of PepsiCo’s India bottling volume in an unpenetrated soft drink market
• India’s soft drink market to grow two times the rate of global industry
• Set for double-digit volume growth in India, where market potential is triple the fi rm’s current client base

Federal Bank
BROKERAGE: NOMURA Price Target: Rs 240 CMP: Rs 196.70 Upside: 22%

• Best-placed mid-sized bank to deliver on asset quality and deposit growth
• New chief KVS Manian’s experience in building low-risk, high RoA at Kotak can aid bank’s RoA profile
• Near-term cyclical risks should be looked at as opportunities to add stock on corrections

Avenue Supermarts (DMart)
BROKERAGE: MORGAN STANLEY Price Target: Rs 5,769 CMP: Rs 5,105 Upside: 13%

• Demand trends in general merchandise and apparel segments improving over the last few quarters
• Grocery first strategy will aid in re-engineering growth
• Remain bullish given the substantial addressable market for grocery, with 96% unorganised