Monsoon hits Kerala coast: Here are 5 stocks that may make a big splash

With the southwest monsoon hitting Kerala on Tuesday, three days before its scheduled time of arrival, the cheer on Dalal Street is back. With a normal monsoon on cards around the country, agriculture and rural-focused stocks are expected to see a big momentum being built behind them. Among these stocks, we have segregated 5 stocks that look all set to perform well in the next 12 months:   

Mahindra and Mahindra

Tractor demand to go up on better monsoon
The company owns 25% market share in tractor segment
Higher rural income will boost LCV, UV car sale
JP Morgan has a buy rating on the stock with a target price of Rs 950 

Insecticide (India)

The company is an agro-chemical and pesticides supplier
Normal monsoons & govt target to double farm income by 2022 should elevate demand for agro chemicals
HDFC Securities has a buy rating with a target price of Rs Rs 914

GSFC

A big player in chemical, fertilisers business
Good monsoon to boost fertiliser demand
The company earns over 70-74% from fertilisers
Emkay Global has a buy rating with a target price of Rs 150

UPL

The company makes chemicals to improve crop production
UPL products will see demand improvement on good monsoon prospects
HDFC Securities has a buy rating with a target price of Rs 851

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TVS Motors

Demand to see an improvement in rural India
The company focuses on new product launches
Scooter segment to grow 13.5% each year up to FY20
Motilal Oswal Securities has a buy rating with a target price of Rs 710

(Stocks mentioned here are for informational purpose. Consult your financial advisor before investing.)