Top Stocks to Buy in April 2018 Can Give Up to 60% Profit

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The Sensex closed at 33626.97, rising 1.95 percent over the previous week while the Nifty closed with a gain of 2.10 percent at 10331.60 from the past week.

Our research analyst at CapitalVia Investment Advisor, during this week, came out with its reports on three stocks, which could give returns up to 60 percent in the next 9-12 months. 

Stock Tip 1: BPCL 

Bharat Petroleum Corporation Limited (BPCL) Stock Market/Share prices, Bharat Petroleum Corporation Limited (BPCL) Live BSE/NSE, F&O of Bharat Petroleum Corporation Limited 

Bharat Petroleum Corporation Limited (BPCL) was incorporated in 1952. It is controlled by Indian state-controlled oil and gas company. The company is engaged in refining of crude oil and petroleum products marketing and offers LPG, aviation turbine fuel, kerosene, diesel, furnance oil and lubricants. The company serves different industries like railways, defence, road transport, electricity boards and airlines etc.

Current Ratio 

Higher current ratio signifies healthy liquidity in the short term. The level below 1 indicates that the company may not be able to meet its short term obligations. BPCL's average current ratio for the last 5 financial years has been at 0.95, which indicates that the company is having the capability of serving its short term obligations comfortably.

Long term Debt to Equity Ratio

Companies having high long term debt to equity ratio on their balance sheets are very fragile. Companies having higher ratio of this find it difficult to pay interest on their borrowings as profit margins decrease. The ratio higher than 0.6-0.8 could make the company in a difficult situation to sustain its operations.

BPCL's average for long term debt to equity ratio for last 5 financial years has been 0.77 which shows that the health of the organization is fair enough and has a manageable level of debt if faced with a difficult situation.

Interest Coverage ratio

Interest coverage ratio indicates, if the company may be able to meet its interest expense on its debt outstanding. Higher the ratio better it is for the company and the minimum benchmark is 1.5. Interest coverage ratio below 1 indicates that the company is not generating enough service for its debt obligations.

 BPCL's average interest coverage ratio over the last 5 financial years has been 6.10 times which is a fairly healthy level to serve the debt obligations in regular course of business.

 Buy BPCL Ltd above 420 with SL of 390 TP 490 

Stock Tip 2: HINDALCO 

Hindalco Industries Limited comes under Aditya Birla Group which is world's largest aluminium roling company and on the of the biggest producer of primary aluminium in Asia. It was founded in 1958 and is placed at Renukoot in eastern UP. Mergers and acquisitions of the same with Indal, Birla Copper and Nifty and Mt. Gordon copper mines in Australia strengthened its position in aluminium and copper products. The acquisition of novelis Inc. in 2007 made the company rank with top five aluminium majors worldwide and largest vertically integrated aluminium company in India.

Current Ratio 

Higher current ratio signifies healthy liquidity in the short term. The level below 1 indicates that the company may not be able to meet its short term obligations. HINDALCO's average current ratio for the last 5 financial years has been at 1.44, which indicates that the company is having the capability of serving its short term obligations comfortably.

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Long Term Debt to Equity Ratio

Companies having high long term debt to equity ratio on their balance sheets are very fragile. Companies having higher ratio of this find it difficult to pay interest on their borrowings as profit margins decrease. The ratio higher than 0.6-0.8 could make the company in a difficult situation to sustain its operations.

HINDALCO's average for long term debt to equity ratio for last 5 financial years has been 0.98 which shows that the health of the organization is fair enough and has a manageable level of debt if faced with a difficult situation.

Interest Coverage ratio

Interest coverage ratio indicates, if the company may be able to meet its interest expense on its debt outstanding. Higher the ratio better it is for the company and the minimum benchmark is 1.5. Interest coverage ratio below 1 indicates that the company is not generating enough service for its debt obligations.

HINDALCO's average interest coverage ratio over the last 5 financial years has been 5.06 times which is a fairly healthy level to serve the debt obligations in regular course of business.

Buy Hindalco Industries Ltd above 235 with SL of 199 TP 275

Stock Tip 3 : ONGC

Oil and Natural Gas Corporation Limited is the second largest oil and gas exploration and production company in the world and ranks 23rd among leading global energy majors. The company's primary business includes production and exploration of crude oil, natural gas, LPG and other value-added petroleum products.

Current Ratio 

Higher current ratio signifies healthy liquidity in the short term. The level below 1 indicates that the company may not be able to meet its short term obligations. ONGC's average current ratio for the last 5 financial years has been at 1.11, which indicates that the company is having the capability of serving its short term obligations comfortably.

 Long term Debt to Equity Ratio

Companies having high long term debt to equity ratio on their balance sheets are very fragile. Companies having higher ratio of this find it difficult to pay interest on their borrowings as profit margins decrease. The ratio higher than 0.6-0.8 could make the company in a difficult situation to sustain its operations.

ONGC's average for long term debt to equity ratio for last 5 financial years has been 0.11 which shows that the health of the organization is fair enough and has a very low level of debt.

Interest Coverage ratio

Interest coverage ratio indicates, if the company may be able to meet its interest expense on its debt outstanding. Higher the ratio better it is for the company and the minimum benchmark is 1.5. Interest coverage ratio below 1 indicates that the company is not generating enough service for its debt obligations.

ONGC's average interest coverage ratio over the last 5 financial years has been 82.33 times which is a fairly healthy level to serve the debt obligations in regular course of business.

Buy ONGC above 185 with SL of 170 TP 200 

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Disclaimer: The views and investment tips expressed on capitalvia.com are our own and suggested by our research team, that do not provide any guarantee, capitalvia.com suggest users to take advise with professional experts before any investment decisions.