Backed by the robust underwriting skills & prudence and the consistent track record of growth and profitability, HDFC Bank is our top pick amongst the private sector banks.
We do not expect a broad based rally (as witnessed in 2017) but select companies with improved financial performance, strong growth prospects, and sound management would outperform, Jayant Manglik said
Prakash Gaba of prakashgaba.com advises buying HUL with target at Rs 1810 and stop loss at Rs 1765
Early trends put NDA in a comfortable position to form the government that has, to an extent, already been factored by the market after exit polls
Based on the broader formation of the market, it would now be a very tough task for Nifty to cross 11,760, before the outcome of election results
Sudarshan Sukhani of s2analytics.com recommends buying Tech Mahindra with stop loss at Rs 800 and target of Rs 814, Hexaware Tech with stop loss at Rs 341 and target of Rs 350 and Hindustan Unilever with stop loss at Rs 1735 and target of Rs 1760.
For next week, Nifty has strong support at 11,650-11,580 and resistance at 11,825-11,900
Brokerages remained positive on the stock and some of them increased their price target after strong earnings by lender
We expect Axis growth and profit differential with HDFC Bank to narrow over FY19-22, driven mainly by Axis's favourable loan mix change, gains from its physical/digital network and lower credit costs, UBS said
Morgan Stanley is amongst them advising a buy on banks, especially those which bore the brunt of the latest non-performing loan cycle.
The global investment bank is of the view that going forward, the two major events that will give a new direction to the market are Q4FY19 results and the outcome of the central elections.
HSBC, which maintains a buy rating on IndusInd Bank, sees the stock rallying towards Rs 1,950 in the next 12 months
Sudarshan Sukhani of s2analytics.com recommends buying Bajaj Auto with stop loss at Rs 2998 and target of Rs 3058, HCL Tech with stop loss at Rs 1010 and target of Rs 1048 and HDFC Bank with stop loss at Rs 2238 and target of Rs 2275.
Mitessh Thakkar of mitesshthakkar.com recommends buying Bajaj Finance above Rs 2785 with stop loss of Rs 2764 and target of Rs 2840, Vodafone Idea above Rs 33 with stop loss of Rs 32.5 and target of Rs 35 and Petronet LNG with a stop loss of Rs 228 and target of Rs 245.
Morgan Stanley, which expects the Sensex at 42,000 by December 2019, said the market could start pricing in a stronger election outcome in the coming weeks causing the Nifty to break its four-month range to the upside.
Ashwani Gujral of ashwanigujral.com recommends buying Motherson Sumi Systems with a stop loss of Rs 157, target of Rs 172, ONGC with a stop loss of Rs 144, target of Rs 158 and Voltas with a stop loss of Rs 562, target of Rs 578.
Mitessh Thakkar of mitesshthakkar.com recommends selling HDFC Bank below Rs 2082 with stop loss of Rs 2096 and target of Rs 2055 and Hindustan Unilever below Rs 1730 with stop loss of Rs 1742 for target of Rs 1705.
In case of Housing Development Finance Corporation (HDFC), CLSA said housing demand is largely stable despite recent events in financial markets and the stock is among its top picks in the financial sector.
Sudarshan Sukhani of s2analytics.com recommends buying Buy HCL Tech with stop loss at Rs 1050 and target of Rs 1070, Larsen & Toubro with stop loss at Rs 1265 and target of Rs 1290 and Reliance Industries with stop loss at Rs 1220 and target of Rs 1255.
Morgan Stanley feels large banks are relatively less exposed to IL&FS, telecoms, NBFCs,and real estate.
On the technical front, 10,750-10,700 zone will provide support to market moving forward and the trend is likely to remain choppy
The stock can be bought at current levels and on dips towards Rs 2,110 and a stop loss below Rs 2,060 for a target of Rs 2,300.
Immediate resistance zone is seen at 10,960-11,020. But, last week’s high of 11,118 needs to be taken out a rally to be seen on the upside
Mitessh Thakkar of mitesshthakkar.com recommends selling UltraTech Cement with a stop loss of Rs 3525 and target of Rs 3300, Hindalco Industries with a stop loss of Rs 204.25 and target of Rs 190 and Indian Bank with a stop loss of Rs 214 and target of Rs 191.
We expect HDFC Bank to be a major gainer of the current crisis in the NBFC space as it has best-in-class liability franchises along with superior customer outreach across business segments.