In this article, we look at two stocks from the auto ancillaries sector and the other from the FMCG sector to buy for an upside potential of more than 15%, recommended by Trade Brains Portal. Further, we analyze the market’s performance yesterday and also look at some stocks to watch out for today.
Exide Industries
- CMP: ₹ 381
- Target: ₹ 440
- Upside: 15.5%
- Time frame: 12 months
Why it’s recommended
The lead-acid battery industry is valued at $4.5 billion and is expected to grow at a CAGR of 9% for FY30. The primary driver for this is the vast adoption of lead-acid batteries in the automotive industry, especially for vehicles like two-wheelers and commercial vehicles. With the automotive sector’s transformative shift toward EVs, India’s EV market is expected to grow at a CAGR of 49% from 2022 to 2030.
Large expansion of telecom with increased demand for uninterrupted power supply systems; the sector is growing at a rate of 9.4% and is expected to reach $83.35 billion by 2030. The manufacturers within the battery industry are gearing up for capex of Rs 11,000 crores to 12,000 crores from fiscal 2025 to 2027. The automotive industry is projected to increase by 9-10% in FY26, driven by two-wheeler and passenger vehicle sales. The demand growth of 11-12% in data centers, railways, and the telecom sector will ensure healthy revenue growth for the lead-acid battery industry.
In FY25, Exide Industries recorded a 4% increase in their total revenue, from Rs 16,029 crores in FY24 to Rs 16,588 crores. EBITDA increased by 1% from Rs 1,871 crores in FY24 to Rs 1,893 crores, rising at a CAGR of 8.7%. PBT increased by 2% from Rs 1,410 crores to Rs 1,441 crores over the same period. In this fiscal year, the company has invested around Rs 1,300 crores in the lithium-ion cell manufacturing project and is also coming up with a 6 GWh greenfield project in Bengaluru, aiming to begin commercial production by FY26.
The company has entered into the solar business, growing substantially by 25-27% every quarter, building a Rs 1,200 crore business by FY26. As a growing requirement of critical load (vs. backup power) at banks, hospitals, and offices within the data centers segment, the company expects 20% CAGR growth in the medium term. In FY26, the company plans to enter the market segments of warehousing and logistics, e-commerce, and aviation, and expects the double-digit growth trend to continue.
Risk factor
The price volatility in lead and sulfuric acid has been a concern for a long time due to supply chain disruptions and global geopolitical tensions. The raw material prices affect the production costs, as the average price of lead surged to $1,953 per ton in 2025, impacting the profitability of battery manufacturers and creating a challenging scenario within the industry. The technology upgrade from lead-acid batteries to lithium-ion batteries, sodium-ion batteries, and solid-state batteries may involve higher upfront costs, as lithium-ion batteries and other alternatives tend to be more expensive, further intensifying the competitive pressure on lead-acid batteries.
Colgate-Palmolive (India)
- CMP: ₹ 2589
- Target: ₹ 3020
- Upside: 16.6%
- Time frame: 12 Months
Why it’s recommended
The Indian toothpaste market reached $1,440 million in 2024. The market is expected to grow at a CAGR of 4.23% between 2025 and 2034, reaching $2,180 million by 2034. The oral care market is driven by increasing oral health awareness, increased disposable income, and demand for premium dental products. With the rapid expansion of distribution channels across the country, an uptrend in toothpaste consumption is observed. In FY25, the overall revenue of toothpaste and oral health amounted to $1.96 billion, and in terms of per-person revenue, India generated $1.35 per individual in FY25.
With the faster-than-ever evolving E-commerce sector, one of the key factors in fueling the Indian toothpaste market growth. The e-commerce market, valued at $125 billion in FY24, is expected to reach $325 billion by 2030, exhibiting a growth rate of 5-17%. The rural household’s daily usage of toothpaste is 45%, and urban usage of toothpaste twice a day is only 20%.
Colgate-Palmolive India Ltd. is one of the largest oral care companies in India, having over 50% market share in the toothpaste category and distribution reaching over 6.5 million outlets. In FY25, Colgate-Palmolive reported net sales of Rs. 1,452 crore for Q3FY25, a growth of 4.7% year-on-year and CAGR of 8.3% in 2 years. For the nine months, the company delivered net sales growth of 9.2% year-on-year at Rs. 4,547 crore as compared to Rs. 4,164 crore for the same period last year. Net profit after tax for the nine months was Rs. 1,081.8 crore as compared to Rs. 943.8 crore, a growth of 14.6% year-on-year and CAGR of 17.7% in 2 years.
The company launched India’s largest oral health initiative, the Oral Health Movement, designed to offer personalized AI-generated dental screening reports. As per the company estimates, 272 million households buy 1.5 tubes over 7 times in a year, equating to 2.3 billion tubes bought annually. The company has started a new initiative to provide AI-ML-based recommendations to 1.7 million stores, enabling it to increase assortment by +14% over a two-year CAGR and deliver strong business growth, with converted stores growing 1.2x higher versus the rest.
Risk factor
There is an urgent need for oral health awareness and strategies in India, as 55% of rural Indians do not brush daily, Indians change their toothbrush once every 9 months, and over 80% of Indians do not brush twice in a day. The decline in routine dental visits with age, particularly after 35–44 years, indicates a substantial need for early intervention programs to establish lifelong oral hygiene practices. Moreover, the Indian oral care and toothpaste market is highly competitive, with numerous regional and local players offering affordable alternatives to intensify price competition. Additionally, herbal and ayurvedic products have fragmented the market.
Market Recap: May 13th
The markets today opened on a positive note, with the Sensex rising over 500 points in early trade, with a cooling inflation rate of 3.16%, the lowest since July 2019, and positive macro signals, hoping for increased rate cuts from the Reserve Bank of India. BSE Sensex was up 513 points, at 81,661, and the Nifty surged 152 points, or 0.62 percent, to trade at 24,730, trading above both 50 DMA and 200 DMA with RSI at 62.31 and closing at 24,667, up by 88.55 points, or 0.36 percent. The BSE Sensex closed at 81,330 points, up by 182 points, or 0.22%. Bank Nifty fell by 140 points, or -0.25%, closing at 54,801 points.
The Nifty Metal index has been the top performer, closing at 9052, up by 217 points (2.46%), followed by Nifty Realty, closing at 881, up by 14.70 points (1.7%) amid softer retail inflation in the US and India. India’s retail inflation inched down to 3.16% in April, which shows that the RBI is focused on growth. As there will be more savings, an increase in disposable income will further help boost the demand in the future.
The US CPI touched 2.3% in April, from 2.4% in March. The sectors reacted positively after the US announced it would reduce tariffs on China to 30% from 145% for 90 days. Stocks like SAIL, NALCO, LLOYD METALS, and JINDAL STAINLESS STEEL were some of the top-performing metal stocks, and PRESTIGE, MACROTECH, and OBEROI were some of the top-performing realty stocks.
Stocks to watch out for on May 15th
Muthoot Finance: The company has published its Q4 and FY25 results. In FY25, their total revenue from operations was Rs 19,662 crore, which has increased by 35% from Rs 14,545 crore in FY24. Their net profit for the period is Rs 5,352, an increase of 20% year-on-year from Rs 4,467 crore.
Eicher Motors: In FY25, the company achieved its best-ever revenues, growing by 14.1% YoY to Rs 18,870 crores, and profit after tax stood at Rs 1,362 crores, up by 27.3%. The company achieved 1 million Royal Enfield sales for the first time. Their total volumes stood at 1,002,893 units, a 10% increase YoY.
Tata Power: Tata Power saw a revenue growth of 5% in FY25 to Rs 66,992 crore, up from Rs 63,272 crore in FY24. Their net profit for the period marginally grew by 12%, from Rs 4,280 crore to Rs 4,775.37 crore.
Jubilant FoodWorks: In FY25, the company reported a revenue of Rs 5,655 crore, an increase of 44% from Rs 8,141 crore in FY24. However, their profits have declined by 45%, from Rs 400 crore to Rs 217 crore, in the period.
Major companies are announcing results today
- JSW Energy
- PB Fintech
- Patanjali Foods
- Abbott India
- Tube Investments of India Ltd
- Page Industries
- Cochin Shipyard
- Godfrey Phillips India
- ITC Hotels
- Kaynes Technology India
- Godrej Industries
- Global Health
- LIC Housing Finance
- Endurance Technologies
- Inventurus Knowledge Solutions
- ZF Commercial Vehicle Control Systems India
- CESC
- Crompton Greaves Consumer Electrical
- SKF India
- Vinati Organics
- Bikaji Foods International
- Jupiter Wagons
- Neuland Laboratories
- BLS International Services
- Caplin Point Laboratories
- NCC
- LT Foods
- Bombay Burmah Trading Corporation
- IFCI
- Balrampur Chini Mills
- G R Infraprojects
- Allied Blenders & Distillers
- Saregama India
- Arvind
- Gujarat Mineral Development Corporation
- Inox India
- Tega Industries
- Garware Technical Fibres
- P N Gadgil Jewellers
- South Indian Bank
- Welspun Enterprises
- Thangamayil Jewellery
- Websol Energy System
- Pricol
About: Trade Brains Portal is a stock analysis platform. Its trade name is Dailyraven Technologies Private Limited, and its SEBI-registered research analyst registration number is INH000015729.
Investments in securities are subject to market risks. Read all the related documents carefully before investing.
Registration granted by SEBI and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.
