Indian markets ended on a firm note, extending their winning streak for the fifth straight session, despite a weak start amid subdued global cues. The Nifty 50 and Sensex displayed notable resilience, recovering from early losses to close at 25,050.55 and 81,857.84, respectively, supported by sustained buying in select sectors.
Investor sentiment remained cautious ahead of the U.S. Federal Reserve’s Jackson Hole symposium later this week. On the sector front, IT stocks led the gains, rising 1%, driven by hopes of a potential 25bps rate cut by the Fed, which could boost U.S. tech spending and benefit Indian exporters. On the other hand, financials lagged, declining around 0.5%. Broader markets remained firm, with the mid- and small-cap indices inching up 0.2% each, reflecting continued interest in the broader equity space. Let’s get on to the best stock recommendations for today by India’s expert analysts.
Two Stock Recommendations by MarketSmith India:
Buy: Mphasis Ltd.(current price: ₹2,835)
- Why it’s recommended: consistent revenue and profit growth, operational efficiency, and strong financial health.
- Key metrics: P/E: 30, 52-week high: ₹3,237.95, volume: ₹124.97 crore
- Technical analysis: Reclaimed the 50-DMA
- Risk factors: competitive dynamics and tech readiness, macro sensitivities, currency and financial risks, and financial & ESG-related risks
- Buy: ₹2,835
- Target price: ₹3,130 in two to three months
- Stop loss: ₹2,690
Buy: Fertilizers and Chemicals Travancore Limited (current price: ₹1,015)
- Why it’s recommended: integrated and high-capacity operations and diversified product mix
- Key metrics: P/E: 814.43; 52-week high: ₹1,187; volume: ₹136.02 crore
- Technical analysis: horizontal trendline breakout
- Risk factors: high subsidy and regulatory dependence and vulnerability to input cost volatility
- Buy at: ₹995–1,020
- Target price: ₹1,140 in two to three months
- Stop loss: ₹955
Top three stock picks by Ankush Bajaj
Buy: FACT Ltd — Current Price: ₹1014.45
- Why it’s recommended:FACT Ltd has shown strong bullish momentum with the daily RSI at 61, MACD at +7, and ADX at 24, indicating steady trend strength. The stock recently formed a double-bottom pattern at ₹905 and broke out above the ₹998 level, confirming a strong continuation setup
- Key metrics:Pattern: Double bottom breakout above ₹998 with momentum follow-through
- MACD: Positive at +7, confirming bullish bias
- RSI: 61, in positive territory
- ADX: 24, reflecting emerging trend strength
- Technical analysis: The double-bottom breakout coupled with momentum indicators signals further upside potential toward ₹1096/
- Risk factors: The fertilizer and chemicals sector is highly dependent on government subsidy policies, raw material availability, and monsoon-driven demand cycles. Rising input costs or subsidy delays could weigh on margins.
- Buy at: ₹1014.45
- Target price: ₹1096
- Stop loss: ₹974
Buy: Marico Ltd — Current Price: ₹751.85
- Why it’s recommended:Marico has shown strong price action, with the RSI at 69, MACD at +3, and ADX at 16, reflecting strengthening momentum. The stock hit a new lifetime high in the previous session, supported by bullish sentiment, and is expected to extend the rally further.
- Key metrics: Pattern: Breakout to lifetime high, bullish continuation
- MACD: Positive at +3, confirming trend strength
- RSI: 69, near overbought but in bullish territory
- ADX: 16, showing emerging trend continuation
- Technical analysis: Sustaining at record highs typically attracts follow-through buying. Momentum indicators point towards an extension of the rally toward ₹775.
- Risk factors: The FMCG sector faces challenges from rural demand volatility, fluctuating raw material prices (notably copra for Marico), and intensifying competition in the personal care and food segment. Margin pressures due to rising input costs could impact near-term performance
- Buy at: ₹751.85
- Target price: ₹775
- Stop loss: ₹740
Buy: Sarda Energy & Minerals Ltd — Current Price: ₹599.55
- Why it’s recommended:The stock is in a strong uptrend with RSI at 73, MACD at +36, and ADX at 41, all confirming robust momentum. It has recently scaled a new lifetime high and also achieved the prior target of ₹700, indicating strong buying interest and the potential for further gains.
- Key metrics: Pattern: New lifetime high with momentum continuation
- MACD: Strongly positive at +36, highlighting bullish momentum
- RSI: 73, showing strength despite being overbought
- ADX: 41, confirming trend strength and continuation.
- Technical analysis: With lifetime highs being scaled and strong momentum intact, the stock is poised to move towards ₹734 in the near term.
- Risk factors: Being in the steel and ferro alloys space, the company’s performance is sensitive to global commodity cycles, iron ore and coal price fluctuations, and demand conditions in export markets like China. A sharp correction in steel prices or policy changes in mining could impact earnings sustainability.
- Buy at: ₹599.55
- Target price: ₹734
- Stop loss: ₹530The fertilizer and chemicals sector is highly dependent on government subsidy policies, raw material availability, and monsoon-driven demand cycles. Rising input costs or subsidy delays could weigh on margins.
- Buy at: ₹1014.45
- Target price: ₹1096
- Stop loss: ₹974
Three stocks to trade, recommended by NeoTrader’s Raja Venkatraman:
FACT (Cmp 1014.45)
FACT: Buy above 1015 and dips to ₹980, stop ₹965 target ₹1125-1150
- Why it’s recommended: The Fertilizers and Chemicals Travancore Limited (FACT) is an Indian central public sector undertaking headquartered in Kochi, Kerala. It was incorporated in 1943 and is the first fertilizer manufacturing company in independent India. The long body candle seen on Wednesday is indicating that the prices are holding the bullish bias and the possibility of more upward traction has also emerged on the higher timeframe. As momentum remains resolute one can look at more upside in store in the next few days.
- Key metrics:
- P/E: 696.98,
- 52-week high: ₹594.70,
- Volume: 1.35M.
- Technical analysis: Support at ₹841, resistance at ₹1150.
- Risk factors: Market volatility and sector-wide fluctuations in geopolitical news could impact returns.
- Buy at: CMP and dips to ₹980.
- Target price: ₹1125-1150 in 1 month.
- Stop loss: ₹965.
CHALET: Buy CMP and dips to ₹965, stop ₹950 target ₹1070-1098
- Why it’s recommended: Chalet Hotels Ltd is an Indian hospitality company that owns, develops, asset managers, and operates high-end hotels and hotel-led mixed-use developments in various key metro cities across India. The prices have been consolidating since May beginning and the last few days prices have taken support at the TS & KS bands and the rounding pattern breakout on Wednesday highlights some new found momentum. With robust volume lead breakout consider going long at current levels and also on dips.
- Key metrics:
- P/E: 70.67,
- 52-week high: ₹1080
- Volume: 1.54M.
- Technical analysis: Support at ₹850, resistance at ₹1200.
- Risk factors: Fluctuating hotel a prices, which impact their operational costs and profitability.
- Buy at: CMP and dips to ₹965.
- Target price: ₹1070-1098 in 1 month.
- Stop loss: ₹950.
EMAMILTD: Buy CMP and dips to ₹606, stop ₹590 target ₹680-700
- Why it’s recommended: Emami is an Indian FMCG (Fast-Moving Consumer Goods) company known for its personal care and healthcare products. This counter has been forming steady rounding pattern at lower levels after some initial profit booking. The strong surge seen on Wednesday augurs well for the prices as a reversal is now giving a push above the 600-mark fuelling more buying interest in the counter. Consider a buy.
- Key metrics:
- P/E: 32.30,
- 52-week high: ₹855.60,
- volume: 902.64K.
- Technical analysis: Support at ₹560, resistance at ₹900.
- Risk factors: Potential corporate actions, like divestments, profitability.
- Buy at: CMP and dips to ₹606.
- Target price: ₹680-700 in 1 month.
- Stop loss: ₹590..
MarketSmith India is a stock research platform and advisory service focused on the Indian stock market. Trade name: William O’Neil India Pvt. Ltd. (Sebi Registered Research Analyst Registration No.: INH000015543)
Ankush Bajaj is a Sebi-registered research analyst. His registration number is INH000010441.
Raja Venkatraman is co-founder, NeoTrader. His Sebi-registered research analyst registration no. is INH000016223.
Investments in securities are subject to market risks. Read all the related documents carefully before investing. Registration granted by Sebi and certification from NISM in no way guarantees performance of the intermediary or provide any assurance of returns to investors.
Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before making any investment decisions.
