Declines in IT, FMCG, and Reliance stocks, along with technical resistance near 25,000 and a weakening rupee amid foreign outflows, added to the pressure, leading to widespread selling and dampened investor sentiment.
On to the top stock picks for today, 23 May, as recommended by India’s leading market experts.
Two stocks recommended for today by MarketSmith India
Buy: Vinati Organics (current price: ₹1,869.1)
- Why it’s recommended: Strong financial performance, diversified product portfolio, strategic capacity expansion
- Key metrics: P/E: 46.18, 52-week high: ₹2,330.00, volume: ₹31.75 crore
- Technical analysis: Reclaimed its 200-DMA
- Risk factors: Product concentration risk, environmental and regulatory compliance
- Buy at: ₹1,869.1
- Target price: ₹2,080 in three months
- Stop loss: ₹1,760
Also read: IndiGo’s Q1 turbulence to be temporary as crude oil softens, capacity grows
Buy: Aptus Value Housing Finance India Ltd (current price: ₹336.60)
- Why it’s recommended: Focused niche in affordable housing finance, strong asset quality, and conservative lending
- Key metrics: P/E: 21.66, 52-week high: ₹401, volume: ₹21.98 crore
- Technical analysis: Trendline breakout
- Risk factors: Competitive pressure in affordable housing finance and geographical concentration risk
- Buy at: ₹336.60
- Target price: ₹390 in three months
- Stop loss: ₹313
Two stocks to trade: Recommended by Trade Brains Portal
Housing and Urban Development Corporation Ltd (HUDCO)
Current price: ₹227
Target price: ₹295 in 14-16 months
Stop-loss: ₹192
Why it’s recommended: HUDCO is the nodal agency for the government’s ‘Housing for All’ initiative and is also actively involved in federal schemes such as the Jal Jeevan Mission and Pradhan Mantri Awas Yojna. The company lends under these schemes and provides consultancy services for the appraisal of projects sanctioned under these.
HUDCO recorded its highest ever sanctions and disbursement during FY25, with loan sanctions growing 55.31% to ₹1,27,952 crore from ₹82,387 crore in FY24. Loan disbursements increased 122.59% to ₹40,038 crore in FY25 from ₹17,987 crore in FY24, and interest income increased 33% to ₹10,200 crore in FY25 from ₹7,653 crore in FY24.
Furthermore, HUDCO is targeting a ₹1.5 trillion loan book this financial year and ₹3 trillion by 2030.
Its net interest margin (NIM) remained stable at 3.22% in FY25 as against 3.18% in FY24. For the next 2 years, the management has guided for NIM of 3.25-3.3%. HUDCO’s interest spread improved to 2.06% in FY25 from 1.79% in FY24, resulting in a pre-tax profit of about ₹3,636 crore in FY25.
HUDCO maintained a comfortable debt/equity ratio of 5.72x in FY25 as against 4.05x in FY24. Its cost of funds improved by around 35 basis points to 6.75% in FY25 from 7.1% in the prior financial year.
HUDCO’s asset quality is also enhancing, with its gross non-performing asset (GNPA) decreasing to 1.67% in FY25 from 2.71% in FY24, and its net NPA dropping to 0.25% in FY25 from 0.36% in FY24. Its provision coverage ratio remained at 85.44% in FY25. HUDCO is committed to resolving its NPAs in 18 months, and the management is optimistic that the company will recover ₹400-500 crore from NPA resolutions in FY26.
Further, HUDCO’s board of directors has approved a final dividend of ₹1.05 per equity share for FY25, with a dividend yield of 1.81%. The final dividend is in addition to the first interim dividend of ₹2.05 per equity share and the second interim dividend of ₹1.05 per equity share already declared and paid for FY25.
Risk Factor: HUDCO is significantly exposed to certain state governments and public agencies. Although regulatory relaxations were granted, any failure to reduce exposures within the stipulated timelines or breach of Fiscal Responsibility and Budget Management Act (FRBM Act) conditions may lead to regulatory penalties and higher risk weights, impacting the company’s capital adequacy and financial stability. Additionally, the company faces stiff competition from other players such as banks and financial institutions, which have an edge over HUDCO in terms of cheap resource availability from current account and savings account (CASA) deposits.
Exide Industries Ltd
Current price: ₹ 383
Target price: ₹440 in 16-24 months
Stop-loss: ₹354
Why it’s recommended: Exide Industries Ltd is a leading battery manufacturer offering a wide range of lead-acid and lithium-ion batteries for automotive, industrial, and renewable energy applications. The company supplies batteries for cars, two-wheelers, trucks, inverters, UPS systems, telecom infrastructure, railways, mining, and defense.
With its diversified product portfolio, the company has battery capacities ranging from 2.5 Ah to 20,000 Ah. Exide operates in more than 60 countries and has 10 manufacturing plants in Bengaluru and Prantij. In FY25, the company added 14 distributors and reached 13 regions in the automotive segment. In the industrial segment, Exide onboarded 28 accounts, reaching more than 20 regions.
For FY25, Exide reported a revenue of ₹16,588 crore, up 3.5% year-on-year (YoY) and growing at a compound annual growth rate (CAGR) of 13.4%. Profit after tax increased 2.2% to ₹1,441 crore in FY25, growing at a CAGR of 9.1% over the previous five years.
Exide has low debt with a debt-to-equity ratio of 0.14, and holds ₹14,442 crore in equity. It continues to generate strong positive cash flow from operations, which was ₹1,298 crore in FY25.
Further, Exide acquired 100% ownership in Exide Energy Solutions Ltd (EESL) to establish a 12 GWh greenfield project in two phases of 6 GWh capacity each to offer an end-to-end solution from cell to system—“molecule to megawatt”—by investing ₹3,602 crore. The company is also collaborating with SVOLT Tech Solutions, a leading Li-ion cell manufacturer. This synergy will help Exide set up a plant on a turnkey basis for Li-ion cell technology. The company also plans to increase its capacity by 6 GWh through four lines in Phase 1. With these latest developments, Exide is positioned to capitalize on emerging market opportunities in the battery segment.
India is one of the largest automobile markets globally. The Indian electrification demand is expected to be 120 GWh by 2030, driven by production-linked incentive schemes for the auto sector, state policies on electric vehicles, and subsidies.
Rating agency ICRA expects EV penetration to be 25% for two-wheelers, 40% for three-wheelers, 30% for buses, 15% for passenger vehicles, and 12-16% for light commercial vehicles as a percentage of total sales by 2030. These favourable EV demand prospects are likely to benefit the company.
Risk factor: Exide Industries is exposed to intense competition in its lead-acid battery business from organized players like Amara Raja and HBL Engineering, as well as players in the unorganized space. The company is also exposed to stricter pollution control regulations as a majority of its raw materials such as lead, sulfuric acid, and lithium are hazardous. Additionally, Exide is exposed to fluctuations in the prices of raw materials such as antimony and lead, which have spiked in the past six months, hurting the company’s margins.
Top 3 stocks to buy today, recommended by Ankush Bajaj
Buy: Hindustan Aeronautics Ltd (HAL)
Current price: ₹5,040
Why it’s recommended: After making new highs, the stock witnessed two days of selling pressure. However, in the last two sessions, it has formed strong green candles that have effectively covered the recent dip. On the 45-minute chart, HAL has also given a breakout from a triangle pattern, which indicates a potential target of around ₹5,400+. This breakout, along with price strength, suggests the possibility of a strong rally in the stock.
Key metrics
Resistance level: ₹5,115-5,135 (short-term target zone)
Support level: ₹4,996 (pattern invalidation level)
Pattern: Triangle breakout on 45-minute chart
RSI: Bullish on lower time frames, confirming the breakout
Technical analysis: The stock has broken out of a bullish continuation pattern on the intraday chart, with price action showing strength and follow-through buying. RSI confirmation adds confidence to the bullish setup. Sustaining above ₹5,040 increases the probability of reaching the target zone.
Risk factors: Breakdown below ₹4,996 may invalidate the breakout. Broader market weakness or negative sentiment in the defense sector may impact performance.
Buy at: ₹5,040
Target price: ₹5,115-5,135 in 4-5 days
Stop-loss: ₹4.996
Buy: Solar Industries Ltd
Current price: ₹15,008
Why it’s recommended: After a strong breakout at the ₹13,400 level, the stock has continued its upward momentum and closed at a new lifetime high, indicating strong bullish sentiment. Additionally, on the 15-minute chart, the stock has given a reliable breakout at the ₹14,400 level, which projects a target of around ₹15,650, aligning with our first target. The price action remains strong, and the breakout levels are being respected, suggesting further upside in the short term.
Key metrics
Resistance level: ₹15,650-15,800 (short-term target zone)
Support level: ₹14,700 (pattern invalidation level)
Pattern: Breakout on 15-minute chart from consolidation
RSI: Bullish and supports the trend
Technical analysis: The stock has given multiple bullish breakouts—first on the daily chart and then on the lower time frame. Sustaining above ₹15,000 with good volumes indicates strong buying interest. The breakout at ₹14,400 confirms the trend, with RSI showing positive momentum.
Risk factors: Breakdown below ₹14,700 may invalidate the breakout. Any sudden reversal in sentiment or broader market weakness can impact the setup.
Buy at: ₹15,008
Target price: ₹15,650-15,800 in 4-5 days
Stop-loss: ₹14,700
Buy: Bharat Electronics Ltd (BEL)
Current price: ₹383
Why it’s recommended: The stock is showing strong momentum and recently gave a significant breakout near the ₹340 level after a long consolidation phase. This breakout has been followed by steady upward movement, indicating sustained buying interest. Given the strength and structure of the price action, a good rally is expected in the near term.
Key metrics
Resistance level: ₹394-399 (short-term target zone)
Support level: ₹377 (pattern invalidation level)
Pattern: Breakout after long consolidation
RSI: Positive, supporting bullish momentum
Technical analysis: BEL has broken out of a long consolidation range and is sustaining above key levels with increasing volumes. The recent move shows strength, and the trend remains positive as long as the price stays above ₹377.
Risk factors: Breakdown below ₹377 may invalidate the setup. Market volatility or sector-specific weakness could impact the short-term trend.
Buy at: ₹383
Target price: ₹394-399 in 4-5 days
Stop-loss: ₹377
Two stocks to trade, recommended by NeoTrader’s Raja Venkatraman:
LTFOODS (Cmp 402.25)
LTFOODS: Buy above 405 and dips to 385 stop 375 target 440-455
- Why it’s recommended: LT Foods recently reported Q4 results that met expectations, signaling a recovery in its stock price. The company achieved its highest operating profit in the last five quarters at ₹258.26 crore, alongside a profit after tax of ₹160.52 crore, also a five-quarter high. This performance suggests the company is rebounding from a period of slower growth earlier in the year.
- Key metrics:
- P/E: 66,
- 52-week high: ₹451,
- Volume: 1.31 M.
- Technical analysis: Support at ₹339, resistance at ₹460.
- Risk factors: Inability to manage interest rate payments, Increasing competition and market conditions.
- Buy: above 405 and dips to ₹385.
- Target price: ₹440-455 in 1 month.
- Stop loss: ₹375.
UNOMINDA (Cmp 1028.50)
UNOMINDA: Buy CMP and dips to ₹980, stop ₹960 target ₹1125-1150
- Why it’s recommended: UNOMINDA has demonstrated strong revenue growth, particularly in its OEM segment, and is expected to continue its upward trajectory. Uno Minda has seen strong momentum in its lighting division, with notable gains in market share over the past few years, particularly in the four-wheeler segment. In the two-wheeler category, the company now commands approximately 30% of the market.
- Key metrics:
- P/E: 74.13,
- 52-week high: ₹1252.85
- Volume: 1.13 M.
- Technical analysis: Support at ₹835, resistance at ₹1400.
- Risk factors: Supply chain disruptions, geopolitical turbulence and region wise volumes.
- Buy at: CMP and dips to ₹980.
- Target price: ₹1125-1150 in 1 month.
- Stop loss: ₹960.
Raja Venkatraman is co-founder, NeoTrader. His Sebi-registered research analyst registration no. is INH000016223.
MarketSmith India: Trade name: William O’Neil India Pvt. Ltd; Sebi-registered research analyst registration number: INH000015543
Trade Brains Portal is a stock analysis platform. Its trade name is Dailyraven Technologies Pvt. Ltd, and its Sebi-registered research analyst registration number is INH000015729.
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.
