Why This LIC Backed Stock Is Raksha Bandhan Pick For Sumeet Bagadia of Choice Broking?

In Wednesday's opening session, the broad Nifty index gained 85.40 points to 19,428.10, while the Sensex gained 296.51 points to 65,372.33. On the Nifty during the opening session, the top notable gainers were Hindalco Industries, Tech Mahindra, HCL Technologies, UPL, and Cipla, while notable losers were BPCL, Power Grid Corp, Apollo Hospitals, HUL, and Asian Paints.

Commenting on Nifty outlook today, Anand James, Chief Market Strategist at Geojit Financial Services said "Instead of the swings anticipated on either sides of 19311, Nifty stayed afloat this level through the day, prompting us to remain positive of seeing 19540, despite the repeated failure to breach the 19370 mark, which was pencilled in as an upside confirmation point. Downside markers could continue to be at 19250 or 19170, but aggressive traders may use 19311 as well."

Commenting on Nifty derivative outlook for today, Anand James said "Nifty weekly contract has highest open interest at 19500 for Calls and 19300 for Puts while monthly contracts have highest open interest at 19500 for Calls and 19300 for Puts. Highest new OI addition was seen at 19400 for Calls and 19250 for Puts in weekly and at 19400 for Calls and 19250 for Puts in monthly contracts. FIIs increased their future index long position holdings by 17.50%, increased future index shorts by 7.00% and in index options by 20.73% in Call longs, 2.75% in Call short, 13.54% in Put longs and -8.37% in Put shorts."

Sumeet Bagadia, Executive Director of Choice Broking has recommended to buy TVS Motors as its Raksha Bandhan pick for 2023. The analyst has suggested to buy the stock @ Rs 1368 and up to Rs 1335 for the target of Rs 1510/1575.

TVS Motors Share Price Target

At its current market price of 1368, TVS MOTOR has displayed a commendable performance by maintaining a consolidated trading range of 1385-1300 over the last two months. Notably, the stock is positioned favourably by trading above key moving averages, including the 20-50-100-200 Exponential Moving Averages (EMA), indicating a robust technical stance. Reinforcing its positive momentum, the Relative Strength Index (RSI) stands at 60 and has recently exhibited a constructive crossover. The stock has minor resistance around 1380-1400. Once these levels are broken and sustained, we can witness a sharp up move. So based on the above technical structure, we are recommending a buy position in the stock for the medium to long term, said Sumeet Bagadia.

TVS Motors Shareholding

During Q1FY24, the company recorded promoters shareholding of 50.27%, FIIs stake of 18.13%, DIIs stake of 23.41% and public stake of 8.19%. As per the shareholding pattern of TVS Motors for the April to June 2023 quarter, insurance giant LIC held 86,98,668 shares which was 1.83 percent of the total paid-up capital of the auto company.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.