Looking for stocks to buy before election result? Insiders scanning these 5 sectors

"The current among other things suggests creating high value jobs for the highest incremental workforce in the world by improving the infrastructure of the country, developing sustainable cities, by focusing on Make in India (Atma Nirbhar) and PLI in industries linked to railways, green hydrogen, solar, nuclear, wind energy, aviation including airports defense and semiconductors (EMS). This should bolster India's if current government comes into power," said 's Vinay Jaising.

As a result, all infrastructure-linked sectors such as industrials, capital goods, utilities, defense, cement, real estate, etc stand to benefit.

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Here are 5 sectors in focus ahead of elections:

1) Power

Two months ago, the Ministry of Power released a draft of the National Electricity Plan. The plan outlines an investment of approximately Rs 4.75 lakh crore from 2022 to 2027 to upgrade India's transmission system, including new lines, substations, and other technologies.

By 2032, India aims to achieve an installed capacity of around 900 GW, up from the current 426 GW. Power utility companies are seen as vital investments in this sector, said Krishna Appala, Manager & Sr. Research Analyst at .

With the world becoming green, the alone has witnessed an of over ₹1.4 lakh crore, contributing not only to the nation’s clean but also to job creation and economic development. "The current government has lofty plans around energy, hence if they reinstate the majority again, this sector could propel further," said Naveen KR, smallcase Manager & Senior Director, .

2) Infrastructure

If the BJP returns to power, infra and capex run is expected to continue. More ambitious projects like bullet trains, highways connecting more cities, or waterways projects could be announced, said Venugopal Garre of .

3) Tourism

Capitalmind's Appala said India’s hospitality sector is poised for growth over the next 3-5 years. "The average daily rate (ADR) per room is currently around ₹6900, up from pre-COVID levels but below the Rs 7,500 mark reached in FY2007. Occupancy rates have also improved, from 66% currently compared to 71% in 2007. Revenue per Available Room (RevPAR) has risen to ₹4540, from its peak of approximately Rs 5,500 in FY2007," he said.

4) Realty

The housing and residential cycle in India is on a strong uptrend on account of various factors like pent up demand after COVID-19 as well as supportive government policies like substantial increase in capital expenditure. "The boom is of that extent where housing inventories are at a 12-year low and demand is outpacing supply. Housing volumes have surged 25% in 2023, almost double in 3 years. If there are no major surprises with the , the realty space can see a strong run up," Naveen said.

5) Electronics System Design & Manufacturing (ESDM)

The Indian ESDM market is expected to grow by 34%, reaching approximately $110 billion from the current $25 billion over the next five years.

"The government is offering significant incentives to this sector. If India imports more than it exports, it affects the current account deficit (CAD). The government is keen on managing the CAD, focusing on major imports like crude oil (~29%), gold (~10.8%), and electronics (~9.7%). While oil and gold imports are hard to curb, electronics present an opportunity. To boost , the government has introduced incentives and a PLI & DLI grant of Rs 76,000 crore for the ESDM sector," Appala said.

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(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)