After advancing for the fourth week in a row on Friday, both, Sensex and Nifty closed at a record high. Nifty 50 soared 137.90 points to 18,826. Sensex rose 466.95 points to 63,384.58.
Here's a list of top five stocks that you should watch out for today
After advancing for the fourth week in a row on Friday, both, Sensex and Nifty closed at a record high. Nifty 50 soared 137.90 points to 18,826. Sensex rose 466.95 points to 63,384.58.
The last record close took place on December 1, 2022, when Nifty closed at 18,812.50 and Sensex at 63,284.19.
The market capitalization of BSE-listed companies increased by Rs 2.07 lakh crore to Rs 292.8 lakh crore.
While banks and non-banking financial companies contributed significantly, information technology and real estate sectors were under pressure. Industry giants like HDFC Twins and RIL led the way, while TCS, Infosys, and Wipro dragged the indices down.
On Friday, foreign investors in Indian stocks were net buyers for the fourth day in a row.
Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said, “FPI inflows continued in June with a total investment of Rs 16405 crores till 17th June. This is on top of the massive Rs 43838 crores invested by FPIs in May. This sustained investment by FPIs is a reflection of their increasing confidence in the resilience of the Indian economy and the potential earnings of the corporate sector. There is a near consensus among the foreign investing community that India has the best growth and earnings story among the large emerging economies. FPIs are investing to exploit this potential.”
Talking about the outlook of FPIs investment in India, he further adds, “FPIs continue to buy financials, automobiles and auto components, capital goods and construction-related stocks. They are sellers in IT, metals, power and textiles. Since the benchmark indices are near record levels and valuations are rich (Nifty is trading at 20 times FY 24 earnings ) profit booking can be expected in the near-term.”
Investors also applauded the government's talk with Moody's Investors Service, in order for the latter to upgrade the country's credit rating. India is currently rated by Moody's at ‘Baa3, the lowest investment grade, with a "stable" outlook.
Forecast For Today
Siddhartha Khemka, Head of Retail Research at Motilal Oswal Financial Services, says, “Indian stocks are expected to reach a record high thanks to a robust rally in international markets that is being supported by positive domestic indicators. Nifty made 138 point gains as it closed at an all-time high, continuing its upward trajectory. Domestic sentiments were buoyed by declining inflation, positive economic data, and FII purchases that remained steady. Given that the major events are behind us, we anticipate the overall structure to remain favorable. Next week's visit by Prime Minister Modi to the US will be closely watched because it will result in cross-border agreements with a strong defense component. After a monthly industry recovery was noted, attention would remain on industries like pharmaceutical, healthcare, and insurance companies.”
Anuj Gupta, vice president, research, IIFL securities gives a list of top five stocks for today
1) Ashok Leyland - We observed strong break out on the charts, higher top, higher bottom formation, making substantial volumes in the stock. Ashok Leyland, the country’s leading commercial vehicle manufacturer, and Adrivers, a specialist in AI-enabled autonomous solutions, are partnering to produce autonomous electric terminal trucks to address the Net Zero emissions needs of the port industry.
Buy Ashok Leyland, SL 153, TARGET 185
2) TATASTEEL - Strong breakout on the charts, it is trading at 4 month high levels. Demand for steel is expected to increase, therefore, company profitability may increase.
BUY TATASTEEL, SL 109 TARGET 124
3) RELIANCE INDUSTRIES - Trading at 5 month high levels. Having bullish chart structure followed by substantial volumes. Higher top, higher bottom formation on the charts and technical indicators are showing optimism. Reliance is planning for expansion of its oil-to-telecoms business.
BUY RELIANCE, SL 2510 TARGET 2670
4) Bank Baroda - Positive chart structure, trend positive and technical indicators showing optimism and indicating potential to move up. BoB achieved a total business of Rs 20,73,385 crore as of December 30, 2022, it said, up 18.5% YoY. Its operating profit, meanwhile, grew by 50.1per cent YoY in Q3 to Rs 8,232 crore. Fundamentally and technically strong company.
Buy BANK OF BARODA, SL 177, TARGET 205
5) TITAN - Trading at lifetime high levels. Strong fundamental and technically strong company. Numbers are robust. Good to normal monsoon may create a demand for jewellery, smart watches and luxury products.
Buy TITAN, SL 2854, TARGET 3080