By Shiyin Chen Nov. 5 (Bloomberg) -- Indian stocks, Asia’s worst performers in the past month, entered “attractive territory” after the retreat from this year’s high, according to Nomura Holdings Inc. Indiabulls Real Estate Ltd., Glenmark Pharmaceuticals Ltd. and HCL Technologies Ltd. are among the stocks that offer the best “buying opportunity” following the decline, Nomura analysts Prabhat Awasthi, Nipun Prem and Sanjay Kadam wrote in a report dated yesterday. The market is now trading at about 15.3 times estimated earnings, compared with its three-year average of 15.4 times, they added. The benchmark Bombay Stock Exchange Sensitive Index gained 3.3 percent yesterday, trimming its slump from this year’s high to 8.2 percent. Shares have retreated amid concern accelerating inflation will prompt the central bank to raise interest rates and as companies including Hindalco Industries Ltd. reported declines in profits. “Market valuations have now moved from being fairly valued -- in the context of continuing build-up of industrial momentum and an economic growth rate that is among the highest in the world amidst the currently anemic global economic landscape -- into attractive territory,” the analysts said. The Sensex, as the benchmark index is known, may rise 18 percent, based on Nomura’s September 2010 target of 18,800, according to the report. Indiabulls Real Estate, a developer, offers “potential upside” of 40 percent, Nomura said, citing its share-price estimate for the stock. A recovering economy may spur leasing activity in the company’s central Mumbai office space, while the sale of apartments in the Indian city will also boost its cash flows, the analysts added. Glenmark and HCL Technologies may both gain 38 percent, they also said.

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