While most Asian markets are trading in a mixed manner and Dow futures are currently trading slightly in the green on Friday, the Indian stock market continued to rise on Thursday for the sixth day in a row, helped by gains in a few blue-chip companies as well as buying interest in pharmaceutical and healthcare stocks.
Nifty Outlook Today
“Nifty immediate support is at 24900 then 24800 zones while resistance at 25150 then 25250 zones. . Now it has to hold above 25000 zones for an up move towards 25150 then 25250 zones while supports can be seen at 24900 then 24800 zones,” commented Chandan Taparia of Motilal Oswal Securities.
Bank Nifty Outlook Today
“Bank Nifty support is at 55555 then 55250 zones while resistance at 56000 then 56250 zones. Now it has to hold above 55555 zones for an up move towards 56000 then 56250 levels while on the downside support is seen at 55555 then 55250 zones,” said Chandan Taparia.
Stocks To Buy Today
On Friday, August 22, Chandan Taparia of Motilal Oswal Securities suggested buying or selling these stocks.
Cummins India
Recommendation: Buy, CMP: Rs 3886, Stop-loss: Rs 3735, Target: Rs 4185, Duration: Weekly
- Bullish “Pole & Flag” Pattern.
- Strong bullish candle.
- Respecting 20 DEMA support zones.
- Rising volumes visible.
- ADX line suggesting the uptrend has strength.
- We recommend to buy the stock at CMP Rs 3886 with a SL of Rs 3735 and a TGT of Rs 4185.
Dixon
CMP Rs 16725, TP: Rs 22300, 33% Upside, Buy
- We revise our estimates to factor in higher mobile volumes and higher minority interest, and expect a CAGR of 36%/41%/46% in revenue/EBITDA/PAT over FY25-28.
- With commissioning of display facility by 1QFY27 and completion of Q-tech stake acquisition, we expect EBITDA margin of 3.8%/4.1%/4.4% for FY26/FY27/FY28. Along with this, we also incorporate higher minority interest for JVs that will be in place over the said period. This will result in a PAT CAGR of 46% over FY25- FY28E.
- The stock is currently trading at 60.8x/46.2x P/E on FY27/28E earnings. We also incorporate the value of stake in Aditya Infotech. We reiterate our BUY rating on the stock with a revised DCF-based TP of INR22,300 (earlier INR22,100).
Max Health
CMP: Rs 1250, TP: Rs 1450, 16% Upside, Buy
- The Nifty 50 benchmark index is likely to go through a potential reshuffle on August 22, with Max Healthcare and InterGlobe Aviation likely candidates that may be included.
- MAXH has continued to post a consistent 25% YoY growth in revenue for 16 quarters, with an average EBITDA margin of 27%.
- We believe that MAXH is well-positioned to sustain its earnings growth trajectory, supported by improving operations at existing hospitals, scaling up of recently added/new hospitals, and bed additions (largely through the brownfield route). Even the diagnostics and home care businesses are scaling up at a healthy pace by expanding into new cities and deepening their presence in existing cities. We expect 21%/22%/26% revenue/EBITDA/PAT CAGR over FY25-27. Reiterate BUY.
Quant Intraday Sell Ideas For Today
TATACOMM (Sell): Close Price: 1589, SL (1%) 1605, TP (1%) 1573
NHPC (Sell): Close Price 82, SL (1%) 83, TP (1%) 81