InCred Equities Unveils 19 High-Conviction Stock Ideas for February
Brokerage firm InCred Equities has published a list of 19 high-conviction investment ideas for the month of February, emphasizing a favorable outlook driven by the pro-growth Union Budget, recent trade agreements with the European Union and the United States, moderation in valuations, and improving corporate earnings. The firm's analysis points to a supportive environment for equity investments in the Indian market.
Budget and Trade Dynamics Fuel Optimism
InCred Equities noted that the Union Budget 2026-27 reinforces the continuation of fiscal consolidation trends. The budget policies decisively shift focus toward enhancing manufacturing capability and productivity in critical sectors over the medium term. Additionally, capacity and capability building in service sectors such as hospitals and tourism are expected to provide medium-term benefits, according to the brokerage.
The firm highlighted that the recent improvement in credit growth, supported by a rise in private capital expenditure, is a positive development. The recent India-EU free trade agreement and US tariffs on India are anticipated to benefit key sectors including chemicals, textiles, and electronics, further boosting economic prospects.
Market Volatility and Valuation Comfort
Global events have contributed to increased volatility in the Nifty index, which experienced a swift 4% swing in recent days. However, InCred Equities finds comfort in the forward price-to-earnings valuation nearing mean levels and improving sales and profit after tax growth observed in December quarter results. This combination suggests a balanced risk-reward scenario for investors.
Stock Recommendations Across Market Caps
From the large-cap segment, InCred Equities has issued "add" recommendations on the following stocks: HDFC Bank, TCS, Maruti Suzuki, Bajaj Finance, Axis Bank, UltraTech Cement, Tata Steel, Tata Motors, Lupin, and GE Vernova T&D.
In the mid-cap space, the brokerage recommends adding Container Corporation of India, Apollo Tyres, Ajanta Pharma, and Home First Finance Company to investment portfolios.
For the small-cap segment, InCred Equities suggests considering Thyrocare Technologies, VRL Logistics, Camlin Fine Sciences, Globus Spirits, and TCPL Packaging as potential investment opportunities.
Disclaimer: This article is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms and not of the publisher. Investors are advised to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
