NTPC, Nestle, Inox Wind, 6 other stocks that Axis Securities has on its Budget play list

The brokerage believes the upcoming budget being the first Union Budget after the general elections 2024 will aim at boosting rural consumption, which would support discretionary spends and thereby benefit rural-focused 2Ws and entry-level 4W OEMs, along with auto ancillary companies supplying to such OEMs.

The brokerage expects budget to facilitate and expand overall infra development which will positively benefit cement companies with higher demand.

The brokerage is of the view that investments in digital infrastructure, skill upgradation, job creation, and MSME development are expected to indirectly reignite consumption spending in the economy, particularly in rural areas. And consequently, it expects the MNC company to be the likely beneficiary.

The brokerage is of the view that the Centre's unwavering focus on roads, power, urban development, and railways will create key long-term economic multipliers.

Praj Industries has been listed as one of the mid-cap bet by the brokerage. 

The brokerage opined that to achieve the target of 500 GW of renewable energy capacity by 2030, a significant boost is required for the renewable sector. This can be achieved through reforms such as enhanced viability gap  funding for areas like battery storage, offshore wind plants, and solar energy. 

The brokerage expects the capital outlay on the infrastructure sector to witness a healthy increment in the Union Budget 2024-25 to achieve the targets set under the National Infrastructure Pipeline and Gati Shakti Master Plan.

The brokerage sees the major focus in the upcoming budget to be on key infrastructure segments such as roads, railways, airports, and urban infrastructure.

Increased investment in rural infrastructure, capital expenditure, and improvements in rural connectivity are likely to boost consumption demand in rural areas, noted  the brokerage.