According to SMC Global Securities, Varun Beverages closed at ₹521.90 on NSE last week with a weekly decline of nearly 1%, but has delivered strong year-to-date returns of over 6.1% and annual gains of nearly 10%. The PepsiCo franchisee holder is positioned to benefit from robust demographic tailwinds, urban migration, and expanding purchasing power in its core regions. SMC expects the stock to reach a price target of ₹595 within 8-10 months based on current P/BVx of 9.04x and FY27 BVPS of ₹65.80. Century Plyboards ended at ₹768 with weekly gains of over 1.3%, though year-to-date performance has declined by over 7% and annual returns are nearly 1%. The plywood maker is well-positioned to benefit from strong demand across housing, interior infrastructure, and furniture segments, with SMC targeting ₹883 in 8-10 months based on P/BVx of 6.54x and FY27 BVPS of ₹135.08. By removing historical non-compete barriers via the revised PepsiCo EBA and stabilizing greenfield facilities in Buxar, Prayagraj, and Meghalaya, the company has set up a solid base for sustained capacity deployment.
Greaves Cotton is showing signs of a potential inverse head-and-shoulders breakout on the weekly chart, currently trading at ₹191.67 with 4% weekly gains. According to SMC's analysis, the stock has formed a well-defined head near the ₹125 zone and reclaimed the neckline around ₹170-₹175. The breakout is supported by improving price structure, with the stock moving back above its long-term moving average, indicating a gradual shift in sentiment from distribution to accumulation. Momentum indicators such as RSI and MACD also appear to be strengthening, adding credibility to the bullish setup. SMC recommends accumulating the stock in the ₹188-192 range with expected upside of ₹215-218 levels and stop loss below ₹175 levels. Fortis Healthcare is consolidating within a rectangular range at ₹961.10 after surging 3.3% last week, with prices repeatedly finding support around ₹920-₹930 and resistance near ₹970-₹980. SMC suggests taking a conditional buy above the ₹980 breakout level for expected upside of ₹1080-1095 levels with stop loss below ₹910 levels.
As reported by SMC Global Securities, these recommendations cover the trading week from June 8th to 12th and span various sectors including FMCG, plywood, automotive components, and healthcare. The brokerage emphasizes that while these stocks show potential, investors should conduct their own research and analysis before making investment decisions. The fundamental picks are based on company outlook, market positioning, and growth prospects, while the technical picks focus on chart patterns and momentum indicators. SMC's analysis suggests that the selected stocks offer diverse investment opportunities across different market segments and time horizons. Century Plyboards' expansion pipeline, healthy balance sheet, and focus on operational efficiency are expected to support long-term value creation and strengthen its competitive position within the wood panel industry, despite near-term profitability challenges from raw material inflation and geopolitical uncertainties. The company's improving return ratios, strong capacity utilization, disciplined capital allocation and diversified product portfolio provide visibility for sustainable earnings growth.
