India’s benchmark indices are witnessing a strong start to the new year, with the Nifty crossing 23,900 in today’s trading session. According to Rahul Sharma, senior analyst at ETMarkets, this is a promising sign for investors as historical data suggests that if the Nifty experiences three months of negative returns, its four-month performance tends to be positive.
Sharma notes that institutional positioning indicates the FIIs’ long-short ratio has bottomed out around 12%, which could lead to a structural recovery in the market. He advises investors to buy on dips and positionally remain above 23,500 as long as Nifty maintains this level.
Looking at the auto sector, Sharma highlights stocks like Eicher Motors, Maruti Suzuki, M&M, and Tata Motors showing strength, with Mahindra & Mahinda being a notable exception. The analyst suggests investing in Mahindra & Mahinda for a short-term target of Rs 3300, while Maruti Suzuki can be bought for a longer-term target of Rs 13,000-13,200.
For top bets on 2025, Sharma recommends focusing on power finance companies and midcap stocks. He advises investors to buy PFC for a short to medium term target of Rs 480-500 and Kalyan Jewellers pre-emptively at the current breakout levels before it targets Rs 900-950 in two to three weeks’ time.
Investors should consider these recommendations as market trends may change over time, and it is essential to reassess strategies every quarter.
Source: https://economictimes.indiatimes.com/markets/expert-view/rahul-sharmas-top-2-stock-picks-for-2025/articleshow/116877945.cms?from=mdr