In this article, we discuss the 5 best Indian stocks to buy right now. If you want to read our detailed analysis of the Indian stock market, go directly to read the 9 Best Indian Stocks to Buy Right Now.
5. Tata Motors Limited (NYSE:TTM)
Number of Hedge Fund Holders: 10
Tata Motors Limited (NYSE:TTM) is an Indian multinational automotive manufacturing company. In October, the company reported a 31% year-over-year growth in domestic sales at 65,151 units. Along with this, sales of commercial vehicles and passenger vehicles grew by 18% and 44%, respectively, from the same period last year.
This October, Morgan Stanley upgraded Tata Motors Limited (NYSE:TTM) to Overweight with a INR 448 price target. The firm’s analyst showed confidence in the Indian automotive sector and appreciated the refreshed models of Tata Motors Limited (NYSE:TTM).
At the end of Q3, 10 hedge funds tracked in Insider Monkey’s database were bullish on Tata Motors Limited (NYSE:TTM), up from 8 in the previous quarter. These stakes are valued at $90.8 million, up significantly from$69.1 million in the previous quarter.
4. Wipro Limited (NYSE:WIT)
Number of Hedge Fund Holders: 15
An Indian information technology company, Wipro Limited (NYSE:WIT) recently inked a multi-year strategic partnership with National Grid, a London-based electric and gas utility provider. Through this deal, Wipro Limited (NYSE:WIT) aims to accelerate its digital innovation journey.
In its Q2 earnings, Wipro Limited (NYSE:WIT) reported revenue of $2.65 billion, up 30% from the prior-year quarter. On October 14, Morgan Stanley upgraded the stock to an Equal Weight rating, with a $9.50 price target.
AQR Capital Management was the leading shareholder of Wipro Limited (NYSE:WIT) in Q3, holding a $74.5 million worth of stake. Overall, 15 hedge funds tracked by Insider Monkey were bullish on the company in Q3, up from 14 in the previous quarter. The total value of these stakes is over $183 million.
3. WNS (Holdings) Limited (NYSE:WNS)
Number of Hedge Fund Holders: 21
WNS (Holdings) Limited (NYSE:WNS) is a business process management company, based in Mumbai, India. At the end of the third quarter, 21 hedge funds tracked by Insider Monkey held stakes in the company, with a value of $220.7 million. In the previous quarter, 20 hedge funds had positions in WNS (Holdings) Limited (NYSE:WNS), highlighting a positive hedge fund sentiment in Q3.
On October 28, WNS (Holdings) Limited (NYSE:WNS) announced its fiscal Q2 results and posted an EPS of $0.86, beating the consensus by $0.10. The company’s revenue for the quarter also saw an 18.7% year-over-year growth at $254.4 million. Due to the strong Q2 results, recently, Barrington raised its price target on WNS (Holdings) Limited (NYSE:WNS) to $104, while keeping an Outperform rating on the shares.
Diamond Hill Capital was the largest shareholder of WNS (Holdings) Limited (NYSE:WNS) in Q3, owning over 1 million shares. In 2021, the stock gained 25.9%.
2. Infosys Limited (NYSE:INFY)
Number of Hedge Fund Holders: 29
Infosys Limited (NYSE:INFY) is an Indian information technology company that provides related services in outsourcing and business consulting. With services in over 50 countries, Infosys Limited (NYSE:INFY) remains one of the best Indian stocks to buy right now.
On October 13, Infosys Limited (NYSE:INFY) announced a quarterly dividend of $0.20 per share. The stock’s current dividend yield stands at 1.50%. The company gained investors’ attention as it reported an earnings beat in fiscal Q2. Infosys Limited (NYSE:INFY) posted revenue of $3.99 billion, up 20.5% from the prior-year quarter. Digital revenues account for 56.1% of gross revenues. Recently, BMO Capital lifted its price target on Infosys Limited (NYSE:INFY) to $25, with a Market Perform rating on the shares.
Insider Monkey’s data for Q3 shows that the smart money is also taking interest in Infosys Limited (NYSE:INFY), as 29 hedge funds tracked by Insider Monkey held stakes in the company in Q3, up from 22 in the previous quarter. The total value of these stakes is over $2.4 billion.
1. HDFC Bank Limited (NYSE:HDB)
Number of Hedge Fund Holders: 40
HDFC Bank Limited (NYSE:HDB), an Indian banking and financial services company, reported an 18% year-over-year growth in its net profit at INR 88.3 billion in Q2. The company recorded net revenue of INR 250.8 billion, presenting a 14.7% year-over-year growth.
Recently, UBS listed HDFC Bank Limited (NYSE:HDB) as one of its top picks in the fintech sector and appreciated the company’s strategy of branch expansion and growing digital banking presence in urban regions.
At the end of Q3 2021, 40 hedge funds tracked by Insider Monkey reported owning stakes in HDFC Bank Limited (NYSE:HDB), compared with 39 in the previous quarter. The total value of these stakes is roughly $1.8 billion, up from $1.72 billion in Q2. Owning over 5 million shares, Ken Fisher’s Fisher Asset Management was the company’s leading shareholder in Q3.
Baillie Gifford mentioned HDFC Bank Limited (NYSE:HDB) in its Q2 2021 investor letter. Here is what the firm has to say:
“HDFC is India’s leading residential mortgage provider. It is the low-cost provider of mortgages, a significant advantage and competitive strength in a commodity industry. The company has been a beneficiary of rising Indian income levels and improving housing affordability for the expanding middle class. Greater financial inclusion has allowed mortgage provision to extend to a larger portion of India’s population and HDFC is well positioned to benefit from this growth. The company also has an excellent long-term credit record with a focus on profitable growth and has shown good capital allocation over many years. We think the company can grow profitably for many years to come and have invested following the opening of the Indian market.”
You can also take a look at Top Pharmaceutical Companies in India and Top 20 Internet Companies in India
