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Mahakumbh 2025: Top Movers To Pick In This Correction

Daily Equity - Mahakumbh 2025: Top Movers To Buy In This Correction

Mahakumbh 2025 is here, and so is a market correction. Discover our expertly curated Top Stocks to Pick in this Correction—explore the free spreadsheet for all insights!

What is Kumbh Mela?

The Kumbh Mela, deeply rooted in Indian tradition and mythology, occurs every four years at four locations: Prayagraj, Haridwar, Ujjain, and Nashik. This pilgrimage is astrologically linked to the alignment of Jupiter, the Sun, and the Moon. Drawing millions of devotees, saints, and international visitors, the event symbolizes spiritual cleansing and cultural significance.

What is Mahakumbh?

The Maha Kumbh Mela, held every 12 years, is one of the world’s largest religious gatherings. Beyond its profound spiritual importance, the event acts as a powerful economic driver. Mahakumbh 2025, set to take place from January 13 to February 26, is expected to host over 400 million attendees, underscoring its exponential growth over the past decade.

What’s Its Impact?

With a massive budget of ₹6,382 crore ($800 million)—a 72% increase from 2019—the event is expected to generate transactions worth ₹2–2.5 lakh crore ($25–30 billion), equivalent to approximately 0.8% of India’s GDP. Spending by attendees, estimated at ₹6,000–8,000 each, and investments in infrastructure development, tourism, and related sectors highlight the event’s monumental economic impact.

Top Sectors to Watch During Mahakumbh Market Movement

1. Hotel Sector
The government plans to invest around ₹5,000 crore to enhance tourism infrastructure, including hotels, roads, and transportation. Over 1 million foreign tourists are expected, driving revenues in the hotel sector to ₹40,000 crore. The surge in visitors will also boost foreign exchange earnings.

2. Realty and Consumables Sector
Daily necessities, religious items, and souvenirs will generate significant revenues. Groceries, milk products, and edible oils alone are expected to contribute ₹9,000 crore, while religious items, clothing, and food sales could touch ₹20,000 crore. Additionally, handicrafts are projected to add ₹5,000 crore in turnover, making these sectors key players during the event.

3. Finance, Power, and Transportation Sector
Transportation will play a pivotal role, with revenue expected to exceed ₹10,000 crore. For the first time, helicopter services offering aerial tours at ₹5,000 per trip are projected to attract 7,000 visitors daily, generating ₹157 crore over 45 days. Improved power and finance systems will ensure smooth operations throughout the event.

4. Tourism Sector
Enhanced tourism facilities and infrastructure development will provide a long-term boost to the industry. The surge in footfall and spending during Mahakumbh will catalyze growth in the tourism sector, supporting local economies and small businesses.

Read More: Top Stocks To Pick In This Correction | Mahakumbh Special (Spread Sheet)

Top Stocks To Pick In This Correction

1. Adani Power Ltd. (ADANIPOWER):
Adani Power (APL), a part of the diversified Adani Group, is the largest private thermal power producer in India. The co along with its subsidiaries sell power generated from these projects under a combination of long term Power Purchase Agreements, Short term PPA and on merchant basis.
The Mahakumbh event’s infrastructure requires significant power supply, making energy companies like Adani Power integral for ensuring uninterrupted electricity for lighting, transportation, and utilities across the Kumbh area.

2. Thermax Ltd. (THERMAX)
Thermax Limited offers solutions to energy, environment and chemical sectors. The Company’s portfolio includes boilers and heaters, absorption chillers/ heat pumps, power plants, solar equipment, air pollution control equipment/system, water and waste recycle plant, ion exchange resins and performance chemicals and related services. Since, the company specializes in energy and environment solutions, it could play a critical role in providing large-scale heating, cooling, and water treatment infrastructure essential for accommodating Mahakumbh’s extensive needs.

3. Power Finance Corporation Ltd. (PFC)
Power Finance Corporation Limited is a Systemically Important Non-Deposit taking NBFC registered with the RBI as an Infrastructure Finance Company. It is engaged in extending financial assistance to the Indian power sector. This financial giant could facilitate vital energy projects for Mahakumbh, enabling investments in robust power infrastructure to support the massive event’s lighting, transportation, and operational demands.

4. Phoenix Mills (PHOENIXLTD)
Phoenix Mills Ltd is engaged in the operation & management of malls, construction of commercial & residential property and hotel business in India. This firm may benefit from heightened demand for retail, entertainment, and commercial facilities near the event, catering to millions of attendees and tourists.

5. Indian Hotels Co. Ltd. (INDHOTEL)
IHCL is one of India’s leading hospitality companies. IHCL and its subsidiaries comprise diversified portfolio across luxury, upscale/upper upscale and lean luxury/midscale segments. IHCL’s operations are spread across four continents, 12 countries and over 100 cities. IHCL stands to gain from the influx of domestic and international travelers, capitalizing on increased hotel bookings and tourism-related activities during the Mahakumbh.

Read More: Top Stocks To Pick In This Correction | Mahakumbh Special (Spread Sheet)

What Do The Fundamentals Say About These Firms?

This analysis explores the growth trajectories, financial health, and market positions of five companies—Adani Power Ltd., Thermax Ltd., Power Finance Corporation Ltd., Phoenix Mills, and Indian Hotels Co. Ltd. over the past five years. These companies have showcased significant developments in profitability, revenue, and operational efficiency, making them key players in their respective sectors.

I. Adani Power Ltd. (ADANIPOWER)
Adani Power has undergone a remarkable turnaround, shifting from a net loss of ₹2,275 crore in FY20 to a net profit of ₹20,829 crore in FY24, reflecting its strategic focus on operational excellence. Revenue growth has been robust, increasing from ₹26,468 crore in FY20 to ₹50,351 crore in FY24, driven by improved capacity utilization and efficient cost management. Profit margins expanded significantly from 22% in FY20 to 36% in FY24, indicating operational efficiency. Its financial ratios highlight strong fundamentals, with a P/E ratio of 17.3, lower than the industry average of 31.34, making it an attractive value play. The ROE of 57.1% underlines excellent returns for shareholders, while a Debt-to-Equity ratio of 0.67 demonstrates sound debt management. The company also boasts a healthy shareholding pattern, with growing institutional stakes and a reduction in public shareholding, reflecting strong investor confidence.

II. Thermax Ltd. (THERMAX)
Thermax, a leader in energy and environment solutions, has shown consistent growth in both profitability and efficiency. Net profit grew from ₹212 crore in FY20 to ₹643 crore in FY24, supported by a rise in revenue from ₹5,731 crore to ₹9,323 crore during the same period. The company has improved operational efficiencies, with debtor days reducing from 94 Days in FY20 to 83 Days in FY24 and inventory days from 58 days to 53 days, indicating effective working capital management. Financial ratios, including an ROE of 14.2% and ROCE of 16.9%, highlight strong returns and operational efficiency. With a Debt-to-Equity ratio of 0.32, Thermax maintains a low-debt profile. The shareholding pattern reveals growing foreign institutional investor (FII) confidence, with stakes increasing from 14.6% in FY20 to 16.8% in FY24, while public shareholding has marginally decreased.

III. Power Finance Corporation Ltd. (PFC)
PFC has experienced exponential growth, with net profit tripling from ₹9,477 crore in FY20 to ₹26,461 crore in FY24, driven by a rise in revenue from ₹62,189 crore to ₹91,508 crore over the same period. Financing margins expanded impressively from 23% in FY20 to 37% in FY24, reflecting strong profitability. With a P/E ratio of 6.78, significantly lower than the industry average of 27.63, PFC is attractively valued. Its P/BV ratio of 1.31 and healthy ROE of 21.3% further underscore its financial strength. Despite these strong fundamentals, institutional investors have gradually reduced their stakes, while retail shareholding has grown from 4.5% in FY20 to 8.83% in FY24, indicating rising interest among individual investors.

IV. Phoenix Mills (PHOENIXLTD)
Phoenix Mills has demonstrated exceptional growth in profitability and operational efficiency. Net profit surged nearly fourfold from ₹388 crore in FY20 to ₹1,333 crore in FY24, accompanied by revenue growth from ₹1,936 crore to ₹3,972 crore. Profit margins improved from 50% in FY20 to 55% in FY24, showcasing robust operational performance. The company’s financial metrics highlight strong management, with debtor days improving significantly from over 100 days in FY20 to 25 days in FY24. A Debt-to-Equity ratio of 0.47 reflects prudent debt management, while ROE and ROCE of 12.1% and 12.44%, respectively, indicate healthy returns. Institutional investor confidence has increased markedly, with holdings rising from 36.4% in FY20 to 49.8% in FY24, while public shareholding has correspondingly decreased.

V. Indian Hotels Co. Ltd. (INDHOTEL)
Indian Hotels, a leader in the hospitality industry, has witnessed robust growth, with net profit increasing over fourfold from ₹364 crore in FY20 to ₹1,330 crore in FY24. Revenue also saw significant growth from ₹4,463 crore to ₹6,769 crore during the same period. Profit margins expanded from 22% in FY20 to 32% in FY24, supported by operational efficiency improvements. Key metrics such as debtor days reduced from 51 days in FY20 to 25 days in FY24, and inventory days declined sharply from 236 days to 82 days, reflecting improved operational practices. With a Debt-to-Equity ratio of 0.29, the company maintains a low-debt profile. Impressive ROCE of 15.11% and ROE of 14.3% highlight strong financial performance. The company remains a preferred choice for institutional investors, reflecting its growth potential and market positioning.

Disclaimer: This is not a buy/sell recommendation. Views expressed in this article are solely for analytical purposes. Please consult a SEBI Registered Investment Advisor before investing. Participating in the stock market includes several market risks. Please read all related documents carefully.

Mahakumbh 2025: Top Movers To Pick In This Correction

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