₹554 and ₹626 Stocks Now Ready for Strong Growth

The world-renowned broker is bullish about REC as well as PFC. The brokerage is beginning coverage by giving an investment grade of buy.

Both stocks have proven to be multibaggers for investors. those who invest in them have received huge profits.

In the present, PFC (Power Finance Corporation) ll was trading at Rs 554 (PFC Share Price) with gains in the amount of 2.85 percent on BSE, and REC share was trading at Rs 626 which is an increase of 1.24 percent.

It is believed that stocks will provide incredible returns in the coming years and also. However, if you must choose between these two stocks, which one should you choose?

REC Or PFC?

The foreign brokerage thinks that growth factors for each REC and PFC are the same, but REC is growing a bit quicker than PFC.

According to brokerage, REC share is trading for a premium of around 35 percent as compared to PFC standalone multiple of 25 percent.

In this situation, the brokerage likes PFC more.

Talking about both the brokerage states that their focus is shifting to renewable energy and infrastructure investment is also growing as well, which is expected to support their expansion.

Today, about 20 percent of their loan portfolio is infra or renewable. The brokerage estimates that in FY 2029 it will be close to 40 percent, as India’s renewable capacity is expected to double within the next five years.

This growth is likely to receive help through the distribution schemes of the government.

Renewable loans are more beneficial for the development of these businesses because they are less expensive last for a shorter time and risk lower than thermal plant loans.

Thanks to government guarantees both businesses can obtain loans for the long run with good rates and this is advantageous for the company.

What Is The Target Price?

The world-renowned brokerage firm has awarded a “buy” rating for both REC as well as PFC. The price target for REC of Rs 720 while the price target for PFC is 670 rupees.

In terms of the movements of shares over a year, the PFC share had a year-long low of Rs 200.52 in September 2023 last year and reached a record high of Rs 580.35 at the end of July 2024 the month before.

In contrast, the share of REC had a single-year low of Rs 230.60 in September 2023 the year before and hit an all-time high of Rs 653.90 on July 12th, 2024 in July.

Quick Fact

Company Name: REC

Company Name: PFC

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