Stock market today: Indian stock market benchmarks—Nifty 50 and Sensex—hit fresh record highs earlier today despite mixed global cues, while several automobile stocks, including Maruti Suzuki India and Mahindra and Mahindra (M&M), clocked healthy gains.
Nifty 50 hit its fresh all-time high of 24,443.60 while the Sensex made a fresh peak of 80,397.17 during the session. Nifty 50 ended the day at 24,433.20, rising 113 points, or 0.46 per cent. The Sensex settled with a gain of 391 points, or 0.49 per cent, at 80,351.64. Both indices ended at their fresh closing highs.
In the 26 sessions since the start of June, the Nifty has notched record closing highs 15 times, one more than the Sensex. In that period, Nifty 50 gained 8.44 per cent, hitting an all-time high 16 times, as Lok Sabha election results ensured policy continuity and forecasts of stronger economic growth for 2024.
In the current market scenario, domestic brokerage firm SMC Global Securities has released its top four stock picks for this week. The brokerage has selected the quality stocks on technical as well as fundamental parameters. The stocks have robust fundamentals and are well-placed to yield good returns for investors in the next one-year time frame, according to the brokerage.
Weekly Stock Picks by SMC Global Securities
Let’s take a look at the top four technical and fundamental stocks for this week by brokerage SMC Global Securities:
1.Metropolis Healthcare Ltd: Current Market Price (CMP): ₹2,046; Target Price: ₹2,543, Upside: 24 per cent
During Q4FY24, the revenue from core business stood at ₹308 crore, up 15 per cent YoY with seven per cent patient volume growth. TruHealth Wellness and Specialized segment revenues grew by 22% and 17% YoY for Q4FY24 respectively. The revenue and volume of the Premium Wellness segments experienced a 22.2 per cent increase and a three per cent increase respectively.
The company has surpassed industry volume growth for the past eight quarters and the management remains optimistic about continuing this trend. The company aims to maintain a balance between volume growth and price realization for sustainable profitability. Despite significant network expansion over the last two years, the company achieved EBITDA margins of 25.5 per cent in Q4 FY24.
Looking ahead, it expects additional revenue from both existing and new networks, coupled with improved operational efficiency, to sustain current margin levels in FY25 and further enhance margin profile beyond FY25. The brokerage expects the stock to see a price target of Rs.2543 in 8 to 10 months on a three-year average P/BV of 10.77x and FY25 BVPS of Rs. 236.13.
2.Heritage Foods Ltd: CMP: ₹547.05; Target Price: ₹630; Upside: 17 per cent
In Q4FY24, the new launches includes toned and skimmed milk in tetrapak under the brand name Farm Fresh and Lite Fit; a new ice-cream variant Vibez’s; new variants of fresh milk, Gold and Super Gold in Chennai; flavoured curd in two variants under brand name Shubh Meetha Dahi. The company added 432 milk distributers during the quarter.
Years ago, the company embarked on a consumer-centric transformation. This included a wave of innovative products, a seamless omni-channel experience, and strategic marketing that redefined brand preference, according to SMC Global Securities. Now, these initiatives are paying off in a big way. Thus, the brokerage expects that the stock will see a price target of Rs. 630 in 8 to 10 months on a current P/BVx of 6.19x and FY25 BVPS of Rs. 101.70.
3.Apollo Hospitals Enterprises Ltd
It made a 52-week low of Rs.4726 on October 26, 2023 and a 52-week high of Rs. 6,874.45 on February 22, 2024. The 200 days Exponential Moving Average (DEMA) of the stock on the daily chart is currently at 5,826. The stock recently experienced a steep correction, falling from its 52 week high of 6,874.45 towards 5,700 levels on back of profit booking at higher levels.
However, the stock has managed to take support at its 200 days exponential moving avergae on daily time frame and witnessed a steady recovery thereon with formation of rounding bottom pattern. At the current juncture, a fresh breakout has been observed above the “Cup & Handle” pattern on the daily charts, indicating a positive price action in upcoming sessions.
Alongside rising volumes accompanied with price momentum suggests a potential upside movement in the stock. Therefore, one can buy the stock in range of 6,250-6,300 for the upside target of 6,700-6,750 levels with top loss (SL) below 6,000 levels, according to SMC Global Securities.
4.Oil and Natural Gas Corp (ONGC)
The 200 days Exponential Moving Average (DEMA) of the stock on the daily chart is currently at ₹242. Recently, the stock experienced a sharp decline from the 285 level, dropping to 225, where it found support from its 200-day exponential moving average on the daily charts.
Following this, the stock made a V-shaped recovery, steadily climbing back up to the 285 level. Last week, the stock displayed fresh bullish momentum, breaking out above a symmetrical triangle pattern with a significant increase in trading volumes. One can buy the stock in the range of 280-285 for the upside target of 314-317 levels with SL below 260 levels, according to the brokerage.
Disclaimer: The views and recommendations provided in this analysis are those of individual analysts or broking companies, not Mint. We strongly advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and individual circumstances may vary.
