These stocks are the top choices of experts for the holiday season.

 These stocks are the top choices of experts for the holiday season.

Among the selections for this season are real estate developers and top manufacturers of chemicals, wires, and cement.

On Diwali, which ushers in the Hindu new year, stock markets have a special one-hour session during which dealers and investors make symbolic purchases.

Because small- and mid-sized companies have performed so well this year, experts are focusing on this segment of the $3.7 trillion Indian market when identifying possible winners for this Sunday's Diwali celebration.

On this day, which signifies the beginning of the Hindu new year, stock markets have a special one-hour session during which dealers and investors make symbolic purchases. Among the selections for this season are real estate developers and top manufacturers of chemicals, wires, and cement.

This year, small- and mid-cap companies have outperformed their bigger counterparts due to speculation that names with a focus on the local market would gain more from the country's among the fastest-growing economies in the world. Since January 1, the benchmark S&P BSE Sensex Index has increased by more than four times, while the S&P BSE MidSmall Cap Index has increased by 30%.

Here are a few of the top choices for the festival season made by analysts:

The SBI Securities

India's Polycab Ltd.

The manufacturer of wires and cables has gained contracts for rural electrification projects and increased its market share in the electrical products industry in recent years.

Its electrical products division accounts for 15% of total sales, and beginning in 2025, it should turn a profit operatingly.

By March 2025, Polycab expects to have earned 200 billion rupees, or around 40% more than it did in the previous fiscal year. However, given the company's improving consumer business, SBI analysts predict that the figure will increase over the next two to three quarters.

Developers Kolte-Patil Ltd.

The real estate company's stock has increased by almost 70% so far this year, surpassing a 50% increase in BSE Ltd.'s sector index. SBI analysts anticipate that the business will profit from its plan to diversify into other markets, primarily via Mumbai apartment refurbishment projects.

In Pune, the western Indian city that continues to be the hub of the business's main initiatives, the company intends to enter the affordable housing market.Securities HDFC

Gujarat Chemicals and Alkalies Ltd.

The manufacturer of goods like caustic soda and chlorine has finished most of its capital expenditures, including its joint venture with National Aluminum, from which profits will be realized in the next quarters.

The business will follow Gujarat's regulations for return of capital, which include giving out a dividend equal to 30% of net revenue, or 5% of net value. Gujarat is a western state that controls businesses. Gujarat Alkalies is anticipated to maintain the payout at 30%–35% after paying a dividend of 23.55 rupees, or 42%, in 2023 compared to 10 rupees the year before.

Projects International Kalpataru Ltd.

The firm operates in the oil and gas, power transmission, and civil infrastructure sectors, and it now has more orders than it had revenue-wise for the most recent year.

Strong bidding pipeline of almost one trillion rupees has been suggested by Kalpataru, which will also be pursuing international projects as corporations' drive for green energy would need the construction of new transmission lines.

A division of Nirmal Bang Institutional Equities Cipla Ltd.

Cipla's income comes from the North American market to the tune of roughly 25%, which is a lower percentage than its competitors. There, where there is less competition, the generic manufacturer intends to concentrate on the respiratory market.

India's CCL Products Ltd.

Being the largest coffee exporter in the nation, the firm stands to gain more from the current European crisis as more imports from India and Vietnam, where CCL has plants, are anticipated.

The key differentiators for CCL, apart from its strong emphasis on research and development and technology, are its capacity to provide a variety of blends at larger volumes and its broad sourcing capabilities.

Securities Kotak

Bharat Dalmia Ltd.

Due to its solid financial sheet and minimal debt, the cement manufacturer is able to expand, taking advantage of both organic and inorganic development prospects. The firm is well-established in eastern and southern India, where there have been significant pricing increases that will help profits in the next quarters.

Bank Canara

The lender's bad debt ratio has dropped to a level not seen in many years, but despite a 16% increase in stock price this year, it has lagged behind competitors like Indian Bank and Bank of Maharashtra, which have had increases of over 40%.

The bank continues to trade behind rivals, but recent quarters have witnessed a decrease in credit costs, which has helped it improve its return-over-equity ratio.