Bull run! 26 BSE500 stocks offered double-digit weekly returns to investors

During the week, as many as 26 BSE500 stocks have delivered double digit returns with Brightcom Group topping the charts by offering 27% returns. It was followed by Wockhardt with 26% returns.

Nearly 24 stocks including Tanla Platforms, Kalyan Jewellers, Sheela Foam, HEG, Poly Medicure, IDFC First Bank among others delivered 10-20% returns (please refer to the table below).

Among the smallcap pack, 76 stocks have returned in double digits, with two of them (Jay Bharat Maruti and Mishtann Foods) offering over 25%. About 6 stocks in the smallcap space rose anywhere between 20-25% during the reporting week.

Most of the Sensex had a positive ending to the week, with Tata Steel leading the gains at 4.91%, followed by Asian Paints (4.24%), Nestle India (4.01%) and Reliance Industries (3.77%).

The domestic CPI inflation data has shown moderation, moving closer to the target set by the RBI increased the likelihood of a rate cut before the year ends.

“The headline indices were outperformed by mid- and small-caps, with the Nifty Mid-cap index trading at an all-time high. Although concerns arose in the global market due to the Fed’s comments regarding a potential future rate hike increasing their year-end rate projection, these worries were short-lived,” said Vinod Nair, Head of Research at Geojit Financial services.

What should investors do?

Analysts expect the positive momentum in equity markets to continue during the next week as well.

“On the upside the target would be the all-time high of 18888 and beyond that 19000. In terms of levels, 18670 – 18650 shall act as a crucial support zone while 18888 – 18900 is the immediate hurdle zone,” said Jatin Gedia, Technical Research Analyst, Sharekhan by BNP Paribas

“We expect the overall structure to remain positive with major events now behind us. All eyes would be on PM Modi’s visit to the US next week, as it would bring in cross-border agreements with a key focus on Defence. Sectors like Pharma, Healthcare, and Insurance companies would remain in focus after recovery was seen in monthly industry data,” said Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services.

(With data inputs from Ritesh Presswala)

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)