Stocks to Buy: M&M, HUL, and Indian Hotels Among 7 Picks Set to Rise 8-15% in Coming Weeks

In a market characterized by uncertainty, several experts have identified seven stocks that may rise between 8% to 15% over the next three to four weeks. This article explores these recommendations and provides insights into the underlying factors driving these bullish forecasts.

Nifty and Sensex Overview

The Indian stock market benchmarks, Nifty 50 and Sensex, have been experiencing volatility due to a mix of economic pressures. On November 11, both indices showed decent gains, supported by select banking and IT heavyweights like HDFC Bank, ICICI Bank, Infosys, and TCS. However, the mood remains cautious due to several factors:

• Sustained Foreign Capital Outflows: Continued selling by foreign institutional investors (FIIs) has contributed to market uncertainty.
• Earnings Downgrades: Weaker-than-expected Q2 earnings have prompted analysts to downgrade earnings forecasts for FY25, negatively impacting stock prices.
• Interest Rate Concerns: Uncertainty regarding future interest rates adds to the bearish sentiment.

V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, notes that while current conditions favor bearish trends, attractive valuations may eventually reverse the trend in the near future. Additionally, weakness in Chinese stocks could create opportunities for Indian equities as investors seek alternatives.

Stocks to Buy or Sell: Recommendations

The following seven stocks have been identified as potential gainers based on technical analysis and market conditions.

Mahindra & Mahindra (M&M) – Buy Recommendation

Shiju Koothupalakkal, Technical Research Analyst at PL-CAPITAL – Prabhudas Lilladher, recommends Mahindra & Mahindra due to its recent price stabilization near strong support levels. The stock has shown signs of a potential reversal after a correction, moving past the important 50-day Exponential Moving Average (EMA).

• Current Market Price (CMP): ₹2,974.90
• Buying Range: ₹2,900 – ₹3,000
• Target Price: ₹3,400
• Stop Loss: ₹2,770
• Upside Potential: 14%

Hindustan Unilever (HUL) – Buy Recommendation

Shiju Koothupalakkal also highlights Hindustan Unilever as a stock poised for recovery. After experiencing a significant decline from its peak, HUL’s technical indicators suggest a trend reversal is imminent, particularly if it breaches the 200-period moving average.

• Current Market Price (CMP): ₹2,507.70
• Buying Range: ₹2,500 – ₹2,570
• Target Price: ₹2,780
• Stop Loss: ₹2,380
• Upside Potential: 11%

Taj GVK Hotels & Resorts – Buy Recommendation

Shiju Koothupalakkal recommends Taj GVK Hotels & Resorts as it has shown signs of recovery after hitting a low. The stock has moved past key moving averages with increased trading volume, indicating positive momentum.

• Current Market Price (CMP): ₹338.55
• Buying Range: ₹336 – ₹346
• Target Price: ₹380
• Stop Loss: ₹314
• Upside Potential: 12%

Ashok Leyland – Buy Recommendation

Mandar Bhojane, Equity Research Analyst at Choice Broking, suggests Ashok Leyland as a strong buy following its breakout from a falling trendline. The increase in trading volume supports the bullish outlook for this stock.

• Current Market Price (CMP): ₹221.89
• Buying Price: ₹221.93
• Target Prices: ₹240 and ₹245
• Stop Loss: ₹210
• Upside Potential: 10%

Indian Hotels Company – Buy Recommendation

Mandar Bhojane also recommends Indian Hotels Company due to its breakout from a triple bottom pattern on the daily chart. This consolidation suggests strong bullish momentum ahead.

• Current Market Price (CMP): ₹732.90
• Buying Price: ₹732.90
• Target Prices: ₹820 and ₹840
• Stop Loss: ₹680
• Upside Potential: 15%

Alkem Laboratories – Buy Recommendation

Vishnu Kant Upadhyay, AVP – Research and Advisory at Master Capital Services, points to Alkem Laboratories as a stock nearing a critical support zone. This positioning suggests a potential halt in its recent downtrend.

• Current Market Price (CMP): ₹5,706.50
• Buying Price: ₹5,700
• Target Prices: ₹6,095 and ₹6,200
• Stop Loss: ₹5,400
• Upside Potential: 9%

Welspun Corp – Buy Recommendation

Vishnu Kant Upadhyay also highlights Welspun Corp as it has decisively broken above the upper boundary of a symmetrical triangle pattern. This indicates strong buying interest and an upward trajectory.

• Current Market Price (CMP): ₹774.90
• Buying Price: ₹772
• Target Price: ₹839
• Stop Loss: ₹720
• Upside Potential: 8%

Conclusion

For investors looking to navigate the current market landscape, these seven stocks present potential opportunities for growth in the coming weeks. However, it is essential to conduct thorough research and consider individual risk tolerance before making investment decisions.

Disclaimer: This article is intended for informational purposes only and does not constitute financial advice. Investors should seek professional guidance or conduct their own research before making investment decisions.