Sensex Today | Stock Market Highlights: Nifty closes above 25,000; Sensex closes with gains of 450 points

Ashish Kyal, Waves Strategy Advisors
Market
If you look at the overall, broader market, I think Nifty Bank has consolidated since it formed a high around 23rd April, and then from there onwards, for almost a month, it has been consolidating in a range, which is more like a time correction rather than a price correction.

Prior to that, we saw a spectacular rise from 49,000-odd levels to 56,000 that was a very sharp move in just five days of time and a one-month correction. And that’s a very healthy sign, because in this correction, the overbought indicators have relieved their state, and we are now getting ready to again push back on the upside. For today, the index has formed a doji candle, which shows indecisiveness.

But I am optimistic that if it breaks back about that 55,870, we might be headed towards 56,500 or higher levels. The overall view for Bank Nifty is bullish. We might want to wait for some kind of positive traction from here on, and we should see 56,500 or higher levels from here on. On the downside, support is at around 55,000.
LIC
I am expecting LIC to outperform from here on; we can expect the stock to again reach the level of around ₹950 or possibly ₹1,000 from year on, from a positional perspective. But over short term, we can expect it to go towards ₹920 which is the previous peak high swing high. ₹920 is the target on the upside, outlook is bullish, and on the downside, one can maintain a stop loss of ₹845 levels.
Punjab National Bank
I think PSU sector can start contributing, especially the banking side of it, and we can expect Punjab National Bank to move towards the level of ₹108-109 on the upside. The outlook is positive. On the downside the support for the stock is around ₹98 levels over short term, and eventually, if he is looking from a medium to long term perspective, then maintain a stop loss of around ₹95. Trend is positive, expecting a target of ₹108 on the upside over near term.

Gaurang Shah of Geojit Financial Services
LIC
We have been positive on the entire life insurance pack for a pretty long period of time. The only problem is that, the sector has been not a great performer. Earnings has been on and off, good-bad, flipping here and there. But our thought process at Geojit Investments Limited is that as people’s thought process change in terms of getting themselves insured with a term insurance, not a ULIP and that momentum is catching up. That understanding is catching up at ground level. We are going to see better earnings in terms of overall run rate of premiums, and especially the new premium run rate with higher sum assured. We have been positive. I do agree that since the time this viewer investor has invested in IPO, by and large, it has been an underperformer. But I think all is not lost. Give it some more time, and I think there should be better shade and colour as far as earnings and the stock price is concerned.
Ashok Leyland
We have been positive on Ashok Leyland for a pretty long period of time. The numbers that we saw over the weekend, augurs extremely well, not only for the fourth quarter, but even for the third quarter the numbers were in line with what we had pencilled down. The management commentary post the fourth quarter earnings is extremely strong in terms of business outlook as we go into the future. I would say that now the turnaround is picking up speed, and you should see better numbers in terms of run rate. Hold on to it, my only point is the cost, the investment level of ₹351 is something that I have a doubt.
Bank of Maharashtra
The problems with banks like Bank of Maharashtra and some of the other smaller PSU bank, is the consistency in terms of earnings, and that’s where the biggest drawback is. If you are not able to deliver consistently on earnings, there is going to be volatile times for the stock price as well. We don’t have any specific coverage on bank of Maharashtra, but just in case, if the investor is looking at switching and looking at maybe another public sector bank, then possibly a Bank of Baroda or a State Bank of India or an Indian Bank, would do much better in terms of investment or in private sector banks you can look at IDFC First Bank or Federal Bank.