Sebi-registered analyst Mitesh Panchal said the upcoming financial year 2025-26 (FY26) would give investors a lot of surprises with a contra-bet approach. Going ahead, he expects the PSU theme to stage a comeback and offer decent returns. "From the PSU basket, we are looking at stocks such as BHEL (Bharat Heavy Electricals Ltd), BEL (Bharat Electronics Ltd), HAL (Hindustan Aeronautics Ltd), Mazagon Dock, Cochin Shipyard, NMDC, NTPC and a few other state-owned lenders. The most important stock we are looking at from the select segment is Coal India Ltd," the market expert told Business Today on Friday.
In response to a query on BEML Ltd, he said, "We had seen a decent correction from near Rs 5,500 levels. Recently, the stock has made a bottom in the range of Rs 2,450 to Rs 2,500 and since then we've seen a very strong upmove. It is evident that in the last three weeks, it has formed a higher-top higher-bottom structure with a good volume, showing signs of entering a new trading range. The stock has witnessed a good upside in the last two days. I still advocate to buy it. Going forward, the next expected target would be Rs 4,000. It is advisable to buy BEML at current levels. The only thing is that you buy in tranches. 50 per cent should be bought right now and if it comes in the Rs 3,100-3,200 range, one can buy the remaining 50 per cent,"
From the cement pack, he liked Ambuja Cements Ltd at the current market price. "The stock is a clear-cut buy with a stop of Rs 540 for positional targets of Rs 560-570," the analyst stated.
On Zomato, he suggested that the stock looks good only above Rs 215 in technical setup. "If a daily close is above Rs 215, it is an excellent buy with a stop loss of Rs 203. Potential targets would be 230-240," Panchal mentioned.
Meanwhile, domestic equity benchmarks traded lower during the afternoon trade today as automobile, IT, pharma, metal and media stocks dragged. Last checked, the 30-share BSE Sensex pack was down 368 points or 0.47 per cent at 77,238 while the broader NSE Nifty index slipped 130 points or 0.55 per cent to 23,461 level. Broader indices (mid- and small-cap shares) were also in the red, falling up to 0.69 per cent.
15 out of the 17 sector gauges -- compiled by the NSE -- were trading in the negative territory. Sub-indexes Nifty Auto, Nifty IT, Nifty Pharma, Nifty Metal and Nifty Media underperformed the NSE platform by falling 1.41 per cent, 1.89 per cent, 1.21 per cent, 1.24 per cent and 2.13 per cent, respectively. In contrast, Nifty FMCG climbed 0.33 per cent.
The overall market breadth was weak as 2,393 shares were declining while 1,510 were advancing on BSE. 146 stocks remained unchanged.