Stocks to buy on 25 May: The Indian stock market closed higher on Friday, 24 May, supported by gains in banking heavyweights such as ICICI Bank, HDFC Bank and Axis Bank. However, the upside remained limited as elevated crude oil prices and mounting inflation concerns continued to weigh on investor sentiment and fuel expectations of tighter monetary policy.
The benchmark Sensex advanced 232 points, or 0.31%, to settle at 75,415.35, while the Nifty 50 gained 65 points, or 0.27%, to close at 23,719.30. Broader markets delivered a mixed performance, with the BSE 150 Midcap index edging up 0.11%, while the BSE 250 Smallcap index declined 0.26%.
The Reserve Bank of India intervened to support the rupee, which has been hovering near record lows, prompting some economists to anticipate a potential interest rate hike in the coming month to stabilise the currency.
On a weekly basis, seven of the 16 major sectoral indices ended in the green. The broader midcap and smallcap indices rose 1.4% and 0.4%, respectively. Information technology stocks emerged as the top performers, climbing 4.3% as investors returned to the sector after a prolonged selloff driven by concerns over AI-related disruption.
Financial stocks also posted gains, with Axis Bank and ICICI Bank rising 3.3% and 1.6%, respectively. Meanwhile, Brent crude eased to around $105 per barrel from $110 a week earlier, although it remains roughly 45% higher since the onset of the conflict. Analysts noted that investors are actively rotating between sectors as they assess the impact of persistently high energy prices on economic growth and corporate earnings.
What Gift Nifty live chart signals?
The Gift Nifty Live Chart shows a positive start for the Indian stock market today. By 7:51 AM, the Gift Nifty was trading around the 23,959 level, a premium of 215 points from the Nifty futures’ previous close of 23,744.
Decoding the impact of Gift Nifty live chart and other triggers on Dalal Street, Ponmudi R, CEO – Enrich Money, Indian markets are expected to begin the new week with a cautiously optimistic undertone, supported by a sharp correction in crude oil prices and improving sentiment surrounding the ongoing US–Iran negotiations, although investors continue to remain mindful of lingering geopolitical risks.
Global sentiment improved after both the United States and Iran signalled progress towards reopening the Strait of Hormuz, raising hopes of a gradual easing in regional tensions and reducing immediate concerns around global energy supply disruptions. However, remarks from Donald Trump stating that the US is “not rushing” to secure a peace agreement with Iran reinforced the view that negotiations may remain prolonged and complex, keeping broader uncertainty elevated.
Crude oil prices have corrected sharply and are currently trading in the $91–92 per barrel range, marking a significant pullback from recent highs above the $100–105 zone. The decline in oil prices is being viewed as a meaningful positive for India’s macroeconomic outlook, as softer energy prices help ease concerns around inflation, import costs and corporate profitability.
Stocks to buy today
Regarding stocks to buy today — Raja Venkatraman is Co-founder of NeoTrader, and stock research platform MarketSmith India, recommended buying these five shares – Sheela Foam Ltd, Max Financial Services Ltd, Poly Medicure Ltd, Meesho Ltd, and Dynamatic Technologies Ltd.
Three stocks to trade, recommended by NeoTrader’s Raja Venkatraman
Sheela Foam Ltd: Buy above ₹641, stop ₹608 target ₹710(Multiday)
Sheela Foam (current market price ₹638.50)
Why it’s recommended: Sheela Foam Ltd is India’s leading manufacturer of polyurethane (PU) foam and mattresses, primarily known for its flagship brand, Sleepwell. The stock has been in a decline since last 6 months and the last few days has seen a V-shaped recovery with a formation of a higher high higher low fuelled by strong Q4 numbers has led to a strong possibility of upside. As we can see that the momentum has picked up and the upward traction is possible now. With the midcap index doing well we could look to go long.
Technical analysis: Support at ₹590, resistance at ₹750.
Risk factors: Fluctuating raw material costs, intense domestic competition, high valuation metrics relative to peers, and integration complexities from a recent large-scale acquisition.
Target price: ₹710 (2 Months)
Max Financial Services Ltd: Buy above ₹1,685, stop ₹1,620 target ₹1,825 (Multiday)
Max Financial Services (current market price ₹1,680)
Why it’s recommended:Max Financial Services Ltd (MFSL) is a prominent Indian holding company within the $5 billion Max Group, primarily focused on the life insurance sector. After the sharp sell-off from its February highs, prices seemed to be on a path to recovery, encountering strong support at the Kijun Sen, and the revival has led to a strong breakout. The Relative Strength Index is heading to cross 60 levels , indicating some potential to the upside. One can consider going long.
Key metrics:
P/E: 9823.39,
52-week high: ₹1,891.35,
Technical analysis: Support at ₹1,025, resistance at ₹1,250.
Risk factors: High geographic and borrower concentration, reliance on indirect lending, and exposure to unsecured and riskier asset classes.
Target price: Rs 1,825 (2 Months)
Poly Medicure Ltd: Buy above ₹1,605, stop ₹1,525 target ₹1,760 (Multiday)
Poly Medicure (current market price ₹1,598.20)
Why it’s recommended: Poly Medicure is a leading Indian medical device company. Founded in 1995, it specialises in the manufacturing and export of high-quality disposable medical devices. The stock has been declining for the last 9 months, and the prices have now shown signs of bottoming out. With a strong breakout on the daily charts above the cloud, we can now look to invest for the short term as momentum is seen picking up. The steady rise in the Relative Strength Index after stabilising at the neutral zone suggests that we could be looking at some upside.
Key metrics:
P/E Ratio: 47.36
52-week high: ₹2,447.50
Technical analysis: Support at ₹1,605, resistance at ₹1,950.
Risk factors: high dependence on single-use core products, severe margin sensitivity to crude-oil driven raw material costs, and heavy exposure to highly-regulated, fiercely competitive export markets.
Two stock recommendations by MarketSmith India
Buy: Meesho Limited (current price: ₹199)
Why is it recommended: Strong presence in value e-commerce, fast-growing user base, focus on Tier-2/3 markets, asset-light marketplace model, strong mobile-first platform, increasing seller ecosystem, beneficiary of digital commerce growth, competitive pricing advantage, growing logistics network, strong order volume growth, expanding product categories, improving monetization opportunities, backing from reputed investors, focus on affordability segment, and large untapped market opportunity.
Key metrics: P/E: NA, 52-week high: ₹254.40, volume: ₹224.21
Technical analysis: Tight range breakout
Risk factors: Intense competition from Amazon & Flipkart, high cash burn risk, profitability uncertainty, dependence on discount-driven demand, regulatory risks in e-commerce, rising logistics and delivery costs, customer retention challenges, seller quality and counterfeit risk, dependence on festive season demand, margin pressure from competition, data privacy and cybersecurity risks, slowdown in consumer spending, execution risk in scaling operations, IPO valuation uncertainty, and dependence on external funding in growth phase.
Target price: ₹230 in two to three months
Buy: Dynamatic Technologies Limited (current price: ₹11,170)
Why is it recommended: Strong aerospace manufacturing presence, supplier to global aerospace companies, beneficiary of defence sector growth, high entry barriers in aerospace business, strong precision engineering capabilities, export-oriented revenue mix, opportunity from India defence push, long-term aerospace demand visibility, diversified industrial business segments, increasing focus on high-value products, strategic global partnerships, growth potential in commercial aviation, strong niche positioning, and expansion in defence manufacturing, beneficiary of “Make in India” theme.
Key metrics: P/E:160.75, 52-week high: ₹12,875.00, volume: ₹25.01 crore
Technical analysis: Bounce back from its 50 DMA
Risk factors: Dependence on aerospace industry cycle, high client concentration risk, delay in defence or aerospace orders, execution risk in complex projects, export market slowdown risk, forex fluctuation impact, high working capital requirements, margin pressure from input costs, regulatory and compliance risks, geopolitical risks affecting exports, long gestation period for contracts, technology upgradation costs, economic slowdown affecting aviation sector, order cancellation or postponement risk, and limited liquidity in the stock.
Buy at: ₹11,058–11,226
Target price: ₹12,900 in two to three months
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
