Indian stock market outlook

Outlook for Indian Stock Market in 2020

The stock market is going to be on the earnings recovery and budget of the companies in 2020. It will also have a positive effect on the market in which the government has taken steps for economic reforms in the second half of 2019. The momentum will also continue in the market due to the increase in flow by foreign investors. Apart from bluechip stocks, midcap and smallcap will also start momentum in the coming days. Experts believe that the way the market has remained bullish for the last 4 months and it will continue in 2020. The Sensex can touch 46000 and the Nifty 13500 at the end of 2020.

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The market will continue the momentum

According to global brokerage house UBS, there is a slowdown in the economy in 2020. According to experts, recovery is expected to be seen from the December quarter. The annual growth is expected to be 6.5 percent and 6.7 percent in the year 2020-21. CAD is also expected to be under control during this period. It may remain at 1.4 percent and 1.6 percent of GDP during this period.

The stock market is expected to continue in 2020 according to Senior Analyst of Trading Bells Santosh Meena. Currently, Select stocks are giving a strong performance so, the market remains at upper levels. But with the subsequent recovery, other stocks with better fundamentals will also gain momentum. Earnings are expected to improve from the second half of 2020. At this time, the NPA resolution process and low base will also benefit.

At this time, the Sensex will get strong support at the bottom of 39500 and the Nifty at 11700 levels. But according to Santosh Meena, if the Sensex touches the level of 46000 and Nifty 13500 in the coming days then there will be no surprise in this. According to global brokerage house Morgan Stanley, at the end of the year, the Sensex can touch 45000 levels.

Which Sector Will Earn

There will be a good performance in the banking and financial sector in 2020 according to experts. These sectors will benefit from low-interest rates and the NPA resolution process. The trade tension is expected to decrease, which may lead to a recovery in the metal sector. Long-standing pressure in the pharma sector is expected to reduce. The IT sector may also see pressure in 2020. If there are signs of improvement in the economy, one can get good returns in infra investment and capital goods. The government is focusing on increasing the income of farmers, so Agri shares can also be monitored.

There will not be much returned in 2020

  • Mumbai

According to Brokerage firms, in the year 2020, only moderate returns will be generated from the stock market. He says the rate of the shares has significantly very high so, the economic slowdown is expected to continue and the scope. for this reason, these aspects can have an impact on the market. Maybank Kim Ang has given a neutral stance on the stock market in 2020. According to him, It has given an estimate of 11600 points for the Nifty. The Nifty will be at 13,100 points in December 2020, according to ICICI. He said that on the return front in 2020, due to the rapid growth seen in the market has come down.

  • BNP Paribas

According to the firm, the country’s GDP growth estimate may decline further. The scope for the government to provide fiscal relief by raising spending or by reducing taxes further is also limited. Private investment is also unlikely to rise soon and the asset quality pressure remains on the finances. The brokerage has maintained an overweight stance on India despite macro-economic challenges. He said that India remains attractive due to the variety of sectors to invest in and the ease in choosing shares. Private investment, insurance companies, and leading IT companies are among its investment picks.

17 Strong Shares to Invest in 2020

  • V-Mart

Current Price: Rs 1652

Target: Rs 2150

Estimated Return: 30%

  • KNR Construction

Current Price: Rs 255

Target: Rs 378

Estimated Return: 48%

  • Bajaj Auto

Current Price: Rs 3204

Target: Rs 3530

Estimated Return: 10%

  • SBI Life Insurance

Current Price: Rs 970

Target: Rs 1230

Estimated Return: 27%

  • Alchem Lab

Current Price: Rs 2024

Target: Rs 2400

Estimated Return: 19%

  • JK Cement

Current Price: Rs 1164

Target: Rs 1523

Estimated Return: 31%

  • Jubilant Food

Current Price: Rs 1657

Target: Rs 2184

Estimated Return: 32%

  • Container Corporation

Current Price: Rs 578

Target: Rs 640

Estimated Return: 11%

  • Sonata Software

Current Price: Rs 308

Target: Rs 405

Estimated Return: 31%

  • Axis Bank

Current Price: Rs 762

Target: Rs 958

Estimated Return: 26%

  • City Union Bank

Current Price: Rs 234

Target: Rs 261

Estimated Return: 12%

  • Torrent Pharma

Current Price: Rs 1847

Target: Rs 2100

Estimated Return: 14%

  • L&T Infotech

Current Price: Rs 1750

Target: Rs 2100

Estimated Return: 20%

  • State Bank of India

Current Price: Rs 334

Target: Rs 425

Estimated Return: 26%

  • Bandhan Bank

Current Price: Rs 510

Target: Rs 700

Estimated Return: 36%

  • RIL

Current Price: Rs 1516

Target: Rs 2000

Estimated Return: 32%

  • PNC Infratech

Current Price: Rs 191

Target: Rs 240

Estimated Return: 24%

Disclaimer:

This information is taken from the news but if you going to invest in any field then you should take the right advice from right investor experts.