- BofA Securities identified 18 key buy-rated stocks amid Nifty's mixed outlook
- Stocks span sectors including financials, industrials, discretionary, and energy
- Eternal and Lenskart have highest projected earnings growth through FY28
As Nifty navigates a tug-of-war between earnings optimism and persistent foreign outflows, one global brokerage has zeroed in on 18 stocks it believes offer value regardless of which way the index swings.
Global brokerage BofA Securities has identified these stocks across sectors as its key buy-rated picks, even as it maintains a balanced view on the broader Nifty index amid multiple macro risks.
The list spans financials, industrials, discretionary, power utilities, energy, materials, metals, autos, hospitals, gas midstream and staples, reflecting BofA's sector-agnostic approach to stock selection despite near-term index-level caution.
READ: Nifty's Yin And Yang: BofA Sees 8% Downside, 9% Upside In Same Breath
In financials, BofA's picks include ICICI Bank, Bajaj Finance, Kotak Mahindra Bank and Billionbrains Garage Venture, the parent of Groww. The brokerage projects earnings growth ranging from 11% to 36% for these stocks through FY28, with Billionbrains seen delivering the sharpest growth at 36%.
Larsen & Toubro is BofA's sole pick in industrials, with the brokerage citing 24% expected earnings growth through FY28 on continued capex visibility.
In the discretionary space, BofA has named Titan and Eternal as key buys. Eternal stands out with a projected 214% earnings CAGR through FY28, the highest across the entire buy list, though this comes off a low base.
BofA's 18 key stock picks based on earnings potential
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Among regulated power utilities, NTPC and Power Grid Corporation feature on the list, while Oil & Natural Gas Corporation represents BofA's upstream energy pick, supported by an improving policy environment for explorers and producers.
Hindalco Industries is the brokerage's pick in non-ferrous metals, with 30% projected earnings growth, while Hyundai Motor India represents the autos space with an expected 14% earnings CAGR.
Other names on the list include Coal India, Apollo Hospitals Enterprise, GAIL India, Godrej Consumer Products, Tata Consumer Products and Lenskart Solutions, the newly listed eyewear retailer, which BofA expects to deliver 51% earnings growth through FY28, the second-highest on the list after Eternal.
BofA said the list "highlights 18 Buy rated names that offer value at current levels," even as the brokerage stays watchful on broader market risks including crude prices, monsoon patterns and the pace of foreign institutional investor outflows.
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