Anshul Saigal of Saigal Capital suggests the market is consolidating after a strong rally. Fourth-quarter results exceeded expectations, leading to market gains. The Russia-Ukraine war's impact is now minimal, with markets largely desensitized. Peace efforts are underway. Saigal anticipates a range-bound market in the near term. Markets are expected to digest recent gains before the next move.
Reliance Power shares: Reliance Power's recent gains follow its May 28 announcement that subsidiary Reliance NU Energies received a Letter of Award from SJVN for a 350 MW ISTS-connected solar project, along with a 175 MW/700 MWh battery storage system.
Rajesh Palviya of Axis Securities sees potential Bank Nifty breakout above 55,800. This could lead to new highs, fueled by PSU bank accumulation. Nifty and Bank Nifty rollovers are high. A Nifty breakout above 24,900 could trigger a rally to 25,200. BSE, IndiGo, and Bharti Hexacom are strong. BSE could reach 2800-2900. IndiGo may hit new highs above 5400-5450.
The Q4 earnings season concluded with positive results. Many companies exceeded market expectations. Cement, FMCG, construction, and engineering sectors performed well. Defence companies like Mazagon Dock disappointed due to valuation concerns. Suzlon, a wind energy company, showed strong performance. UltraTech Cement's results were better than expected. Bharat Electronics is expected to have a re-rating soon.
Niva Bupa shares: ETNOW had reported that Fettle Tone LLP, an investment arm of True North, was likely to offload up to 122 million shares, representing about 6.7% of Niva Bupas equity. Additionally, CEO Krishnan Ramachandran was expected to sell around 10 million shares, or 0.5% of the companys stake. The shares were priced at 82 each, valuing the total deal at approximately 1,082 crore.
Smallcap stocks are experiencing a resurgence, mirroring the gains seen in 2024, with the BSE Smallcap Index significantly outperforming the Nifty. While economic recovery and liquidity inflows fuel this rally, experts caution about stretched valuations and the need for selective stock picking based on strong fundamentals.
