Nowadays, investing in stocks has become essential for investors to soak up potential profits and become financially independent.

2020 has been one of the challenging years for every industry. The rise of COVID-19 created chaos and pushed our economy downwards, but luckily things are becoming the way they were before.

While talking about COVID-19, we forgot that "India's biggest shopping season, the "festival season" will arrive soon, and it will last for six weeks preceding Diwali.

Festival Season is considered one of the most important retail spending events in India. According to investors, sectors like automobiles, consumer goods, and travel are expected to BOOM this festival season.

However, Axis Securities has suggested buying these six stocks in this festive season due to increase in the demand for the products of these six major companies.

Want to know the best part? Well, you can buy these stocks right from your mobile app and through Axis Direct E-Margin.

During this period, you can either square off or take delivery of your position by bringing in the remaining funds.

All you have to do is avail E-margin facility by accepting the terms and conditions, and it will be enabled from the next working day.

6 The stocks That You Can Consider to Buy

1. Hero Motor Corp - (Price Target - RS 3,400)

The first stock that we suggest and believe to generate potential higher returns to investors is Hero Motor Corp. Hero Motor Corp has a strong foothold when it comes to motor segments and will continue to become a leader in the two-wheeler industry with its rapid production and promising growth.

This motor company has collaborated with Harley Davidson, Athero, and Ather Energy to amplify its presence in the bike sector by adding the latest technology into the motors.

After COVID-19 hit the entire world, Hero Motor Corp has managed its way out. We suggest buying this stock at RS 3,400, it has potential for 16x EPS (Earnings Per Share) in FY 2024.

2. Relaxo Shoes - (Price Target - RS 1,290)

Relaxo shoes is a strong Indian footwear brand with reputable operating cash flow. Over the years, the company has shown a prominent annual growth rate from 19% to 22% during the 2021-2024 fiscal years.

On the other hand, several factors contribute to the company's long-term growth perspective due to healthy asset transformation and improvement in EBITDA.

The primary factor of adding Relaxo shoes, is that its valuation may rise in terms of earnings and balance sheet.

3. Aditya Birla Fashion & Retail - (Price Target - RS 250)

Aditya Birla Fashion is known for its trendy fashion categories and higher growth potential.

According to our research, its innerwear and other fashion ventures consisting of ethnic and athleisure wear will become a backbone of ABFRL to provide growth opportunities.

Due to such growth opportunities for the company, the stock may see tremendous growth, and it is expected to rise to RS 250 in the long term.

4. Hindustan Unilever (HUL) - (Price Target - RS 3100)

This FMGC giant has shown continuous growth and performed way better than its competitors. Now, its management is looking to improve EBITDA (Earnings Before Interest Tax Depreciation & Amortization) margins with a respectable EPS growth over 2021 to 2030.

Several critical drivers like gains from investment in digitization, tailwinds from GSK-CH integration, discretionary are known as growth enablers.

5. SBI Cards and Payment - (Price Target - RS 1210)

SBI Cards has come back into the picture after being hit in the COVID_19, as the company never lost its hopes. Our research believes that SBI cards will support long-term solid growth and may deliver a surge in share gains despite falling.

We suggest buying this stock with a price target of Rs 1,210 as this target reflects strong growth visibility, market improvement, and substantial business advantages.

6. Safari Industries - (Price Target - RS 922)

Safari Industries has a bright and long-term future ahead because of increased brand travel and a significant shift from low branding to becoming consumers' brand preferences.

The company is also aiming to increase its sectors reach to qualify for high growth. In this scenario we suggest Safari Industries as one of the good stock for this festive season.

By the 2024 fiscal year, the company is excepted to be trading around 45x/PE (price to earnings). Thus, this stock is suggested to buy with a target price of RS 922.

Why Should You Consider Buying These Stocks In This Festive Season?

We suggest buying these six stocks in this festive season because they have strong capabilities to perform and may deliver higher returns for investors.

These stocks have strong demand for their products during the festive time and can have significant growth in the upcoming years.

You can easily buy these stocks through Axis Direct mobile app and E-margin facility. With e-margin, all you have to do is buy in delivery by paying only about 25% and can hold the stock for next 365 trading days.

The primary benefit of buying through e-margin facility is you have a chance to square off or take delivery of your position by bringing in the remaining funds.

Here are five significant benefits of E-Margin:

• 1. Reduced margins
• 2. Hold positions for the next 365 days
• 3. Convert to delivery
• 4. Option to square-off before the due date
• 5. Use your existing stocks as margin and create limits to buy stocks in E-Margin

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Please read Research report for disclaimer. Axis Direct is a brand under which Axis Securities Limited offers its retail broking and investment services. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing."This information is only for consumption by the client and such material should not be redistributed.

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