A strong economy, growing population and booming stock market have put India on the map for many investors this year. Now, as the Diwali festive season gets underway in the South Asian country, several sectors — and stocks — are expected to do well, according to Indian equity brokerage Kotak Securities. Samvat 2080 — which starts on the day of Diwali on Nov. 12 — marks the start of the Hindu new year. It can lead to stock market moves, as some investors view it as a new beginning. “We are bullish on India for Samvat 2080,” Kotak Securities’ analysts wrote in a recent note. It comes as India’s economy looks resilient, with real gross domestic product growth coming in at 7.8% in the June quarter . Meanwhile, the benchmark Nifty 50 stock index remains elevated around 19,425 — up close to 8% year-to-date as of Nov. 10. However, the economy is showing some “early signs of fatigue” from cumulative rate hikes and uncertainty from adverse weather conditions, the analysts noted. The impact of rate hikes by central banks of other developed markets is also expected to weigh on India’s growth. Stocks have been affected, with the Nifty 50 falling almost 4% from September highs. This could present buying opportunities, according to Kotak Securities. “We find decent value in a few large-cap stocks and BFSI (banking, financial services and insurance) sector only in light of rich valuations of most stocks in the consumption, investment and outsourcing sectors,” the analysts wrote. “As the broader market valuations are rich, opportunities arising from [a] market correction can be used to add quality stocks (with attractive valuations) from a long-term investment perspective.” Stock picks The Bombay Burmah Trading Corporation — a manufacturing and trading company — is among Kotak Securities’ top picks. The stock price recently hit a new 52-week high of 1,512.45 Indian rupees ($18.16). “On the weekly charts, the stock is showing a pattern of consecutive higher highs and higher lows, which is a positive sign. There is also an indication of a promising upside breakout formation and an increase in volume activity, suggesting that the stock is likely to continue its upward trend,” the analysts wrote. Kotak has a buy rating on the stock, and gives it a target price range of 1,550-1,750 Indian rupees, giving it up to 20% upside from its Nov. 10 price. Financial services company Bank of India is also on Kotak Securities’ buy-rated list following higher profit booking levels. The analysts give the stock a target price range of 120-130 Indian rupees, or upside potential of up to 26%. Godrej Industries is another favorite stock of the brokerage. It gives it a price target range of 730-830 Indian rupees, or up to 24.3% upside. The company produces chemicals, animal feeds and home care products. Its stock hit an all-time high of 733.70 Indian rupees this quarter but was unable to maintain gains in light of weak market conditions, the analysts said, adding that its charts are now showing signs of a “breakout continuation.” — CNBC’s Naman Tandon contributed to this report.