Centrum Broking bullish on these IT, banking, metal stocks; should you invest?

Nilesh Jain of Centrum Broking believes that banking should be the preferred sector for this week. Besides, the domestic equity market may see positive momentum in other sectors including realty, IT, FMCG and metal stocks. He further added that investors adopt a stock-specific approach amid the ongoing rally in the equity market. The benchmark NSE Nifty index traded 54 points, or 0.33%, higher at 16292 at around 10.40 am (IST). Nifty Bank was up 201 points, or 0.56%, at 36,011. “Investors should focus on PSU banking space. In the private sector, we like HDFC Bank, ICICI Bank, Kotak Mahindra Bank,” he added. For the short-term Jain suggested that he likes KPIT Technologies with a target price of Rs 330-350. One should keep a stock loss at Rs 309. In the banking space, he advised investors to buy IndusInd Bank with a price target of Rs 1,070 and stop loss at Rs 1,020. He is suggested to buy Jindal Steel and Power (JSPL) with a target price of Rs 445 and stop loss at Rs 412. Sharing his thought on the metal sector which has outperformed other major indices. He told Money9.com that there may be some sort of profit booking is due. However, looking at the global metal price this momentum is likely to continue. “One should buy selective stocks like Tata Steel, Jindal Steel and Power, Steel Authority of India (SAIL) and Nalco,” he added. The BSE Metal index has gained over 80% on a year-to-date basis till August 9. Shares of SAIL traded over 1% down at Rs 138.65. The steel major on Friday reported a consolidated net profit of Rs 3,897.4 crore in Q1FY22 as against net loss of Rs 1,226.5 crore in Q1FY21. Total income jumped to Rs 20,754.75 crore from Rs 9346.21 crore YoY.