Expect some more cuts in small, midcap segments; largecaps to lead next leg of rally: Amnish Aggarwal

“The next couple of years should be better for pharma companies as the pricing outlook keeps on improving and the cost pressure is moderating as well for inputs like APIs, chemicals, etc. So, generic companies or those with a good specialty portfolio, should do well in the next few years.”

Silicon Valley Bank crisis is a near term sentiment, which won't last long, say stock market experts

I am still looking at Paytm as the mover for the market. I think that should be looked at. I would like it to be a little cheaper. It has come down a little bit from Rs 800 plus. In the mid 700s, it was probably a good play. As I said, I am in and out and so I am taking it as a trading stock as well.

After a very short phase of a correction, several PSU bank stocks were the top gainers in Tuesday's trading session. Today on Wednesday they are trading with minor cuts and some of them have seen intraday recovery. This is worth noting for two reasons. First, all PSU banks are sitting with a decent amount of gains for the last five months, and even then they have not witnessed a sharp decline. Second, on Tuesday, the breadth of the market was weak. Suddenly PSU turns into an outperforming set of stocks. It signals a couple of things. First, because the banking sector is probably the best proxy play to the Indian economy. It appears the view on the street is positive on economic growth. Second, rather than taking exposure to an individual sector, taking exposure to PSU banks which are still among the lot that are available at relatively cheaper valuations is a trade on the street. But should one ignore the private banks? Probably not. They have their trajectory and just because they have not performed on the street it does not mean their core business model has some issues.. It's just another phase that shall pass.

The Indian equity market is currently oversold, offering good opportunities for long-term investors to enter, according to Naveen Kulkarni, CIO at Axis Securities. He said midcaps and smallcaps could deliver strong returns over the next 12 to 18 months, provided quality companies were chosen to invest in. Kulkarni also recommended buying into private banks, adding they were in a strong position and growth would pick up over the next few years. Finally, he said Reliance Industries stock was currently undervalued, and suggested purchasing it for potential 15% returns over a year.

Rahul Sharma says: “We have seen a dip at the beginning of the year and now Nifty is ready to propel towards the 22,000 mark. We strongly feel that there is a strong chance of a sucker's rally coming into play. We may be well towards the end of this mega up move that we have seen in the last couple of months. We can continue to party but stay close to the exit.”

“The domestic facing companies and sectors continue to be better placed in this volatile market. So, banks, industrials, automobiles, cement are some of the segments where we continue to remain positive as compared to the global cyclicals. We have to be pretty much stock specific in FY24 as a whole.”

Sanjiv Bhasin, Director at IIFL Securities, is bullish on three stocks: Reliance, AU Bank, and Tata Power. He believes that if the market is to reach 20,000, Reliance must rise above Rs 2,600. Bhasin also highlights the strong performance of AU Bank and the potential of Tata Power in the green energy sector. In addition, Bhasin suggests that the current market fear could be a good entry point for Adani Ports, as CLSA believes the recent drop in stock price is only a minor setback.