05 Aug Buy or Sell: 3 Stocks For This Week 7th Aug

The market next week: Sumeet Bagadia’s 3 Stock Recommendations

Market Performance Last Week:

• After three consecutive sessions of decline on weak global market sentiments, the Indian stock market rebounded and closed higher on Friday.
• NSE Nifty added 135 points to close at 19,517 levels, and BSE Sensex rose by 480 points to finish at 65,721.
• The Bank Nifty index also performed well, shooting up 366 points to end at 44,879.
• In the broader market, the small-cap index went up by 0.66 per cent, while the mid-cap index surged by 0.65 per cent.

Stock Market Strategy for Next Week:

• Sumeet Bagadia, Executive Director at Choice Broking, suggests that Nifty today has strong support at 19,250 levels and faces resistance at 19,600 to 19,650 levels.
• Bagadia advises investors to adopt a “buy on dips” strategy and maintain strict stop-loss levels while taking any positions.
• The market trend might turn bullish or bearish based on a significant break above or below the mentioned range, respectively.
• As the Q1 results for 2023 are currently underway, Bagadia recommends investors to focus on a stock-specific strategy in response to any strong cues in the market.

Also Read: IRFC @ 52 Week High: Buy, Sell, Hold: What Analysts Say?

Business in the Week Ahead (August 7-11, 2023)

Monday, August 7:

Corporate Results: Godrej Consumer Products, Gland Pharma, Indigo Paints, Krishna Institute of Medical Sciences, Max Healthcare Institute, PB Fintech, Rainbow Childrens Medicare, Rategain Travel Technologies, Tata Chemicals, Whirlpool of India, Emami, Eris Lifesciences, Gokaldas Exports, Indo Count Industries, The India Cements, Bayer Cropscience

IPO Listing: Shares of Yatharth Hospital and Trauma Care Services may list on the stock exchanges. The IPO received a good response from investors.

Bank of Japan Summary of Opinions: The Bank of Japan will release the summary of opinions of the monetary policy meeting held on July 27 and 28. The central bank surprised investors tweaking the long-standing yield curve control policy in July meeting.

Tuesday, August 8:

Corporate Results: Hindalco Industries, Coal India, Adani Ports and Special Economic, Happiest Minds Technologies, EIH, Hester Biosciences, Jet Airways, Mishra Dhatu Nigam, NMDC, Oil India, Siemens

Board Meeting: The board of Maruti Suzuki India will meet to discuss the mode of consideration for the acquisition of Suzuki Motor Gujarat from Suzuki Motor Corp.

China Export, Imports: China’s trade surplus is projected to soften in July on easing exports. Both exports and imports declined in June.

US Trade Balance: The trade gap of the US is projected to narrow further in June on stable exports. The trade gap has reduced slightly in May.

Wednesday, August 9:

Corporate Results: Zee Entertainment Enterprises, Bharat Forge, PI Industries, Tata Power Co, Trent, Bata India, IRCTC, JB Chemicals & Pharma, Kalyan Jewellers India, Max Financial Services, Gujarat Pipavav Port

India Money Supply: The Reserve Bank of India will release the money supply data for the fortnight ending July 28. The M3 money supply rose 10.7 percent in the period ending July 14.

China Inflation: The inflation in China continue to decelerate in July amid falling non-food prices and subdued demand. Prices were little changed in June from the year ago period.

Thursday, August 10:

India Interest Rate Decision: The Reserve Bank of India is projected to leave its policy rate unchanged. The central bank left its repo at 6.5 percent in the June meeting.

Corporate Results: Life Insurance Corporation of India, Hero MotoCorp, Pidilite Industries, Container Corporation of India, Apollo Tyres, Page Industries, IPCA Laboratories, Biocon, Steel Authority of India, Sanofi India

IPO: The public issue of TVS Supply Chain Solutions will open for subscription. The company plans to raise around Rs 600 crore from the fresh issue of equity shares.

US Inflation, Jobless Claims: Prices may continue to soften in July. The annual inflation rate slowed to 3 percent in June from the year ago period. Jobless claims data for the week ending August 5 will also be released.

OPEC Monthly Report: The OPEC will release its monthly oil market report. In its July report, the OPEC forecast the world oil demand to grow by a healthy 2.2 million barrels per day in 2024.

Friday, August 11:

Corporate Results: Apollo Hospitals Enterprise, Voltas, ABB India, Glenmark Pharmaceuticals, Hindustan Aeronautics, FSN E-Commerce Ventures, Oil & Natural Gas Corporation, NHPC, Info Edge (India)

India Deposits, Bank Loan Growth: The Reserve Bank of India will release the deposits and bank loan growth data for the fortnight ending July 28. Both bank loans and deposits grew at a healthy pace in the earlier period.

India Inflation, Industrial Production: Consumer price inflation rose to 4.81 percent in June from the year ago period. Data for July will be released. Industrial production data for June will also be updated.

UK GDP: The UK will release the preliminary GDP data for June 2023 quarter. The GDP grew at the weakest pace in two years in 2023 calendar year first quarter.

US Consumer Sentiments: Consumer sentiments may ease a bit in August. The University of Michigan consumer sentiment index rose to the highest level in more than a year in July 2023 amid easing inflation.

Saturday, August 12:

Corporate Results: Aurobindo Pharma, Amara Raja Batteries

Also Read: Defense stocks having ‘Buy’ Recommendations with an upside potential of up to 25%
 

Stocks to Buy:

Sumeet Bagadia recommends three stocks to buy on Monday for this week:

1. BEL (Bharat Electronics Limited):

• Buy at Rs 127.60,
• Target: Rs 133.25,
• Stop loss: Rs 123.65.

Company Information: Bharat Electronics Limited (BEL) is a leading Indian government-owned aerospace and defense company. Established in 1954, it is headquartered in Bengaluru, India. BEL is a Navratna company, making it one of the highest-ranked public sector enterprises in India.

Business Overview: BEL is primarily engaged in the design, development, manufacture, and supply of advanced defense electronics and communication systems. The company caters to the needs of the Indian Defense Forces and various other customers in the domestic and international markets.

Product Overview: BEL’s product portfolio includes a wide range of defense and electronic equipment such as

-radars, electronic warfare systems, communication systems, sonars, and naval systems.

It also offers civilian products like solar-powered traffic signal systems and electronic voting machines.

Also Read: “These banking stocks may give up to 30% returns