2 Stocks to buy now for an upside of up to 38%; Recommended by Trade Brains Portal

Today, we recommend two stocks, one from the real estate sector and another from the construction sector, recommended by the Trade Brains Portal, to buy for an upside potential of more than 38%. A vital pillar of the Indian economy, the real estate industry makes a substantial contribution to both GDP and employment in the country.

• Current price: ₹ 980
• Target price: ₹ 1,325
• Upside: 35%
• Time frame: 12 Months

To view the report for the stock mentioned above or explore other stock recommendations, click here

Why it’s recommended

The Brigade Group is one of India’s top real estate developers, founded in 1986. In addition to producing numerous well-known structures across various sectors, including residential, office, retail, hotel, and educational, it has transformed the skylines of Bengaluru, Chennai, Hyderabad, Mysuru, Kochi, Trivandrum, and GIFT City, among other Indian cities.  The company has built over 300 structures totaling over 100 million square feet of floor space.  It has 16 million square feet of planned launches and 26 million square feet of ongoing projects.

In FY25, the company’s real estate sales recorded their highest-ever value of Rs 7,847 crore, a 31% YoY increase.  Its receipts of Rs 7,250 crore not only set a record for the year but also increased by 23% over FY24.  In comparison to FY24, a total of 7.05 million square feet were sold in FY25, and net cash flow from operations rose 36% to Rs 2,135 crore.  Brigade’s leasing division generated Rs 1,165 crore in FY25, a 24% increase over Rs 938 crore in FY24.

Since its inception, the Brigade has finished a record 100 million square feet of development under various projects as of FY25. With a potential revenue of approximately Rs 3,600 crore, the company recently acquired 16.41 acres of prime land in Chennai and Bengaluru.  The business is gradually increasing its footprint outside of Bangalore in the major markets of Hyderabad and Chennai. 

With a GDV of Rs 13,500 crore, it began 11.5 million square feet of projects in FY25, of which 9.5 million were residential projects with a GDV of Rs 11,700 crore.  For the upcoming fiscal year, the company has a substantial pipeline of approximately 16 million square feet of residential, commercial, and hospitality developments planned.

Risk Factor

Brigade’s heavy reliance on the Bengaluru real estate market is demonstrated by the fact that, in the first nine months of fiscal 2025, 74% of Brigade’s revenues came from this area.  Furthermore, changes in realisations and saleability brought about by the domestic real estate market’s cyclicality affect cash flows.  Cash flow and collections may also be impacted by muted demand.

• Current price: ₹ 214
• Target price: ₹ 295
• Upside: 38%
• Time frame: 12 Months

To view the report for the stock mentioned above or explore other stock recommendations, click here

Why it’s recommended

The company was founded in 1978 and is one of the largest listed construction companies in terms of revenue. Its business is diversified across buildings, transportation, irrigation, mining, railroad projects, water and the environment, and power transmission and distribution. The company is based in Hyderabad and operates in nine Indian cities: Ahmedabad, Bengaluru, Chennai, Delhi, Lucknow, Mumbai, Pune, Kolkata, and Patna.

Its clientele is strong, including BMC, NHAI, Airport Authority of India, Adani, RVNL, Coal India, and others. In addition to finishing projects all throughout India, the company keeps a foothold in the Middle East through its subsidiaries in Muscat and Dubai.

The company reported total sales of Rs 22,355 crore, a 6.6% YoY gain, and PAT of Rs 868 crore, a 17% YoY rise in FY25. It has recorded the largest order book ever, at Rs 71,568 crore, with a growth of 18.4% YoY. In FY25, the company also got orders worth Rs 32,888 crore, which is 50% higher than what it had anticipated. At Rs 1,918 crore, the company’s EBITDA represents an 8.4% YoY rise.

In FY25, NCC secured two work orders from BSNL for the BharatNet project, one of the company’s largest single-project victories, focusing on building the middle-mile network. Additionally, the company has received orders from the state of Andhra Pradesh for the construction of residential blocks, infrastructural development, and the high court, totalling between Rs 9,000 crore and Rs 9,500 crore.

Based on a strong pipeline and sustained sectoral demand, management projects that the company would receive between Rs 22,000 and Rs 25,000 crore in orders in FY26. Additionally, because of its ongoing focus on cost optimization and operational efficiency, the company expects to maintain a 10% increase in revenue with consistent margins between 9% and 9.25%.

It has incurred a capex of Rs 305 crore, as opposed to the Rs 250 crore allotted for regular projects in FY25. A capital investment of Rs 750 crore is projected for FY26, of which roughly Rs 280 crore would go towards the smart meter project and roughly Rs 300 crore will go towards TBM machines.

Risk Factor

Due to the length of the company’s working capital cycle, the business is exposed to working capital management risk. The company also assumes counterparty risk because it depends on the recovery of debtors, including unbilled income. Long-term projects are also more prone to implementation issues. This risk includes things like delayed construction, disruptions or delays in the raw material supply, delayed land acquisition, unforeseen cost hikes, and cost overruns.

Market Recap August 1st, 2025

The Nifty 50 had a flat start to the day, opening at 24,734.9, down by 33.45 points from the previous day’s closing price of 24,768.35, and continued its downward trajectory throughout the session. On Friday, the index dropped -203 points, or -0.82%, closing at 24,565 after hitting a day low of 24,535.

The Nifty closed below the 20/50/100-day EMAs and above the 200-day EMA, while the RSI was at 36.01, nearing the oversold zone of 30. With an RSI of 36.53, the Sensex ended the day at 80,599.9, down -585.67 points, or -0.72%. The broad indices showed cautious investor sentiment following the Trump tariff, continuous FII selling, and weak global cues. 

On Friday, most indices were down. Although one of the biggest gainers was the Nifty FMCG Index, which ended the day at 56,197, up 384.90 points, or 0.69%. Stocks like Radico Khaitan Ltd, which increased 3.81%; Emami Ltd., which rose 3.1%; and Hindustan Unilever Ltd., which increased 1.3% on Friday, all contributed to the index’s increase.

Among the sectoral laggards, the Nifty Pharma Index recorded the steepest decline, falling by 759.35 points, or 3.33%, to close at 22,011. Leading the losses were stocks like Aurobindo Pharma, Granules India, Sun Pharma, and Gland Pharma, which dropped by up to 5%. The Nifty Healthcare Index also declined sharply, losing 411.55 points, or 2.77%, to settle at 14,468.7, with Aurobindo Pharma, Granules India, and Sun Pharma among the top losers. The Nifty Metal Index was another major underperformer, ending the session at 9,102.3, down by 183.10 points, or 1.97%.

Asian markets were broadly on the weaker note, with Hong Kong’s Hang Seng Index falling -337.33 points, or -1.38%, to close at 24,436.00. Similarly, Japan’s Nikkei 225 Index closed in the red at 40,845.00, losing -224.82 points, or -0.55%. The Shanghai Composite Index closed at 3,559.95, losing -13.26 points, or -0.37%. South Korea’s KOSPI Index closed on a flat side at 3,119.41, down -126.03 points, or -4.04%. The US Dow Jones Futures were trading at 43,790.85, down -341.13 points, or -0.78%, as of 5:14 p.m. IST. 

The Nifty 50 index decreased by -1.09% this week, driven by multiple factors, including a weak earnings season continuation, 25% US tariffs on India from August 1, and continued negotiations on the US-India trade agreement.

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