Barclays Capital adds Hindalco to its top-10 stock picks in India, in place of Infosys, which was downgraded to 'equal-weight' following disappointment on its April-June results.
The investment bank says Hindalco could benefit from potential approvals on coal blocks at its Mahan project, as well as cash flow from U.S. unit Novelis, which is not dependent on commodity prices.
BarCap also raises its "overweight" positions in consumer staples and health care, as part of its "defensive stance in favour of sectors with earnings visibility and strong fundamentals."
Investment bank also maintains its "Overweight" Stance on infra-related sectors such as building materials given prospect of policy measures after presidential elections on July 19.
BarCap reduces stance on IT Services sector to "market weight."
Copyright @Thomson Reuters 2012
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