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Indian equity benchmarks ended slightly lower on Friday but recorded a third consecutive monthly gain, buoyed by steady institutional inflows and strong corporate earnings, despite global trade and geopolitical concerns. The Nifty 50 rose 1.7% and the Sensex gained 1.5% in May. Amid this positive backdrop, analysts have identified five technical picks that could deliver gains of up to 20% in the near term.
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Anshul Saigal of Saigal Capital suggests metal stocks are poised for growth due to cyclical lows, attractive valuations, and rising global demand. While auto sector growth is modest, excitement stems from increased profitability in SUVs and anticipated commercial vehicle volume growth. Saigal views promoter buying as a stronger indicator than selling, attributing sales to various factors like parental debt.
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Nomura observed that, despite overall earnings estimate reductions, Indias Q4 season saw more companies outperform than underperform. Since March 2025, consensus earnings estimates for FY26 and FY27 have been lowered by 2.3% and 1.4%, respectively.
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