GRSE, NTPC, IREDA and IndusInd Bank: What Aditya Agarwal of Sanctum Wealth says about these 4 stocks

Aditya Agarwal, Head of Derivatives & Technical at Sanctum Wealth, on Thursday said the market continues to look positive and a breakout of Nifty above the 25,500 benchmark suggests a sharp potential upside move towards 25,640-25,700 levels. On the sector front, we are bullish on banking and IndusInd Bank Ltd is our top pick in the chosen space, the market expert said Business Today Television.

“The stock has been trading in a range for the last few days. We expect it may head towards Rs 1,535-1,540 levels. One can enter at current levels by keeping the stop loss at Rs 1,440,” Agarwal said. Shares of IndusInd Bank were up 0.18 per cent at Rs 1,482.30.

Asked to share his views on Garden Reach Shipbuilders & Engineers (GRSE) Ltd, “The stock may continue to consolidate in the range of Rs 1,700-1,900. Traders should not chase this stock. Let it cool down and traders can enter around Rs 1,760-1,770 with a stop loss of Rs 1,720. On the higher side, the targets are not big. Rs 1,860-1,870 will be the upper limit of this stock.”

The defence PSU secured an additional order worth USD 54 million for ships from a German firm. The GRSE stock was last trading 0.51 per cent lower at Rs 1,708.50.

In response to a question on NTPC Ltd, Agarwal said, “Structurally the stock looked positive. Need to enter at around Rs 420-424 levels to achieve immediate upside targets of Rs 455-460.”

NTPC Green Energy, a subsidiary of state-owned NTPC, has filed a draft prospectus for its initial public offering (IPO) seeking to raise Rs 10,000 crore. Last checked, NTPC was up 3.54 per cent at Rs 428.50 crore.

On a question on Indian Renewable Energy Development Agency (IREDA) Ltd, a market specialist said, “On the higher side, Rs 240-245 will be a strong resistance zone. We are seeing some positive traction on this QIP issue. However, the stock is looking slightly sideways, similar to other PSU stocks. One should not chase this stock, at least in the short term.”

IREDA said the Department of Investment and Public Asset Management (DIPAM) has approved an alternative mechanism for the public sector core fund raising application. The government will sell 7 per cent stake in the company through a qualified institutional offer (QIP). IREDA shares fell 0.44 per cent to Rs 226.50.

Apart from these aforementioned stocks, Agarwal said, “We are bullish on the IT sector. Stocks like Coforge, LTIMindtree and Mphasis could see a 5-10 per cent rally in the next few trading weeks. And we expect the Nifty IT sub-index to head towards 45,000-45,500 levels.”

Meanwhile, Indian equity indices hit fresh record highs today, led by gains in banking, financial, auto and FMCG stocks. However, broader stocks (midcap and smallcap stocks) traded lower.