Budget stock picks: Bajaj Broking bets on Park Hotels, DCX Systems, and Ion Exchange

As India gears up for the Union Budget 2025 on February 1, Bajaj Broking has identified three standout stocks — Apeejay Surrendra Park Hotels, DCX Systems, and Ion Exchange — as promising investment opportunities. These stocks align with the budget’s potential emphasis on capital expenditure, a push for domestic manufacturing, and a focus on sustainable growth.

Bajaj Broking said it expects the budget to prioritize infrastructure development, defence modernization, and green energy initiatives, with measures like expanding the Production-Linked Incentive (PLI) scheme and rationalizing capital market taxation to attract institutional and foreign investments.

The brokerage emphasized that these policies could significantly uplift investor sentiment and directly benefit the selected sectors, making these stock picks particularly timely.

Apeejay Surrendra Park Hotels

Park Hotels is positioned for a breakout, with Bajaj Broking projecting a target price of Rs 235, offering a 21% upside from its current range of Rs 190–Rs 200. The company has rebounded strongly post-pandemic, driven by surging domestic and corporate travel. Its asset-light food and beverage arm, Flurys, is set to expand aggressively to 120 outlets by FY25. High occupancy rates, revenue per room, and a focus on operational efficiency provide a robust foundation for sustained growth.

DCX Systems

In the defence and aerospace sector, DCX Systems stands out with a projected target price of Rs 449, reflecting a 24% upside. The company boasts a consolidated order book exceeding Rs 30,000 million, with significant contracts from global players like Lockheed Martin. As India accelerates its push for indigenous defence manufacturing, DCX Systems is well-positioned to capitalize on this momentum despite short-term margin pressures.

Ion Exchange (India)

Ion Exchange, a leader in water treatment solutions, is forecasted to achieve a target price of Rs 780, representing a 23% upside from its current range of Rs 615–Rs 660. With an order book of Rs 35,800 million and consistent revenue growth, the company is benefiting from its expanding operations and optimized product mix. Its focus on sustainability and strong execution capabilities underline its potential for long-term profitability.Also read | Rs 44,600 crore loss! Zomato shares crash 18% in 3 days. Is the worst behind?(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)