Updated April 7th 2025, 18:19 IST
Stocks To Buy: Stock markets faced a heavy selloff on Monday, with the benchmark BSE Sensex crashing by 2,226.79 points, or 2.95%, to close at 73,137.90—marking its steepest single-day decline in the last ten months.
The intra-day losses were even sharper, with the Sensex plunging 3,939.68 points or 5.22% to touch a low of 71,425.01.
The NSE Nifty also witnessed a sharp decline, falling 742.85 points or 3.24% to close at 22,161.60, after hitting an intraday low of 21,743.65, down by 5.06%.
Despite the widespread correction, Market expert Shivaji Vitthalrao, Founder/CEO of Samarth Wealth Management shared a more optimistic view on certain sectors and stocks that have shown relative strength. He expressed a preference for sectors that are holding their previous bottoms, particularly the energy and financial sectors.
The financial pack, including private banks, PSU banks, and NBFCs, along with the energy sector—comprising oil and gas companies and oil marketing companies (OMCs)—was highlighted as showing resilience.
Among private banks, HDFC Bank and ICICI Bank are being closely watched as strong contenders for a leadership position in any potential recovery. In the NBFC space, Bajaj Finserv and Bajaj Finance are also on the radar for their solid fundamentals and long-term growth prospects.
According to the expert, HDFC Bank could potentially reach levels of Rs 2,000 to Rs 2,100 in the next 6 to 12 months.
ICICI Bank is seen heading toward the Rs 1,500 to Rs 1,600 range, while Bajaj Finance could rise to between Rs 9,500 and Rs 10,000.
Bajaj Finserv, too, may climb to the Rs 2,200 to Rs 2,400 level over the same period.
Another sector showing strength is infrastructure. The expert noted that the Nifty Infra index has not broken its previous bottom, suggesting ongoing support.
Bharti Airtel, he mentioned, needs to sustain the Rs 1,770 to Rs 1,780 level, and once that’s achieved, the stock could aim for targets between Rs 2,000 and Rs 2,100.
Indus Towers, on the other hand, is approaching a potential multi-year breakout. The stock has struggled to cross the Rs 450 level for the last ten years, but with it now hovering around Rs 368–370, a successful breakout above Rs 370 could pave the way for testing Rs 450 levels and possibly entering a new bullish phase.
The broad-based selloff came in the wake of fresh trade tensions between the U.S. and China, following tariff hikes by President Donald Trump and retaliatory measures from Beijing, raising fears of a global economic slowdown.
Among Sensex stocks, all counters ended in the red except for Hindustan Unilever, which managed to close marginally higher.
Tata Steel led the losers with a steep fall of 7.33%, followed by Larsen & Toubro, which dropped 5.78%. Other notable laggards included Tata Motors, Kotak Mahindra Bank, Mahindra & Mahindra, Infosys, Axis Bank, ICICI Bank, HCL Technologies, and HDFC Bank.
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Published April 7th 2025, 18:19 IST