PSU stocks have surged, with 68% delivering multi-bagger returns. The index gained 101% in a year, outpacing benchmarks. Despite the bullish trend, questions arise on sustainability. Bernstein highlights select opportunities in high-momentum and dividend-yielding stocks with reasonable valuations.
NBCC (India) shares surged 4.3% to ₹147.40 after securing orders worth ₹369.05 crore, including projects for Rani Lakshmi Bai Central Agricultural University and Telangana High Court. The stock gained 208% in last six months.
PSU re-rating, however fast and furious, should not be taken lightly, believes brokerage house Emkay. With elections coming soon and investors remaining open to all ideas, as long as a risk/return playoff makes sense - Unless you are averse to buying PSUs, this seems like a no-brainer, it said.