The Indian stock market has been in a correction phase for the past five months, and if you’ve been following the trends, you know it hasn’t been easy. However, despite this, several midcap stocks are outperforming the broader market and showing breakout signals on technical charts. If you’re looking for opportunities to invest, this might be the right time to consider quality midcap stocks. Market expert Mehul Kothari has recommended three midcap stocks for short-term, positional, and long-term investors: Prataap Snacks, Nazara Technologies, and Narayana Hrudayalaya. Let’s take a closer look at why these stocks could be great additions to your portfolio.
Prataap Snacks: Best Pick for Short-Term Investors
Prataap Snacks is currently trading around ₹1,084, and if you’re a short-term investor, this stock could be a great bet. Experts suggest that the stock could reach ₹1,200 in the next 1-3 months, with a stop loss at ₹1,010.
Why should you consider it?
- The stock has already outperformed the broader market, which means it’s showing resilience even in tough times.
- It’s finding strong support at the 200 DMA (Daily Moving Average), which is a good sign for stability.
- If you’re watching the Daily RSI (Relative Strength Index), a trendline breakout could trigger strong momentum, making it a potentially rewarding pick.
Nazara Technologies: Ideal for Positional Investors
If you’re a positional investor looking for steady growth, Nazara Technologies might be the stock for you. It’s currently trading around ₹930, and experts predict it could rise to ₹1,040 in the next 3-6 months, with a stop loss at ₹875.
Why does it stand out?
- The stock has already shown super outperformance, which means it has a track record of beating market expectations.
- Multiple bottoms are forming near the 200 DMA, indicating strong support levels.
- If you’re aiming for higher targets, it has the potential to retest its all-time high of ₹1,100, making it a promising choice.
Narayana Hrudayalaya: Top Pick for Long-Term Investors
For long-term investors, Narayana Hrudayalaya is a stock worth considering. It’s currently trading around ₹1,438, and experts recommend buying at current levels, with a target of ₹1,600 and a stop loss at ₹1,310.
Why is it a strong contender?
- Despite the market correction, the stock is trading close to its all-time high, which shows its strength.
- If you’ve been tracking it, you’ll notice it has been consolidating in the ₹1,200-1,400 range for several months. A breakout here could push it to ₹1,600-1,700.
- A breakout on the Daily RSI could trigger strong momentum, making it a solid long-term bet.
What Should You Do Next?
If you’re thinking about investing in these stocks, now might be the right time. Whether you’re a short-term trader, a positional investor, or someone looking for long-term growth, these midcap stocks can add value to your portfolio. However, always remember to assess your risk profile and consult a financial advisor before making any decisions.