Outlook 2025: Nifty 50 target at 28,700 as bulls likely to dominate; Laurus Labs, HUDCO, among 5 technical stock picks

The Indian stock market benchmark indices Sensex and Nifty 50 saw a sharp rebound on Monday after crashing nearly 5% last week. The Nifty 50 index tested its long-term 200-day EMA (Exponential Moving Average) for the first time since June 2024.

Historical data suggests that investing in a staggered manner during periods when the 200-day EMA is tested typically yields strong returns for investors over the long term, according to Bajaj Broking.

Looking ahead to CY25, the brokerage firm expects the Indian stock market to maintain its upward momentum, targeting Nifty 50 at 28,700 level. However, this upward movement is anticipated to be gradual and non-linear, with healthy corrections expected along the way which will make the overall trend healthy.

“Key support levels are identified between 22,500 - 21,700, which we do not foresee being “breached. These levels represent important retracements of the previous major rally over the last three years, presence of 7 quarter EMA and equality with previous major correction since COVID-19 low of 7,511,” Bajaj Broking said in a note.

It noted that the Nifty 50 index constituents commanding 70% weightage (Total of 29 stocks) indicate positive momentum and are expected to see further upsides in CY25, thus supporting the positive view in the market. While 14 stocks with a weightage of 25% are expected to perform in line with the market. Hence, market constituents strongly support the bullish tone in the market.

Moreover, the “buy on dips” strategy has been effective in the Indian stock market in recent years, and the brokerage firm recommends continuing this approach by selectively accumulating quality stocks. The current corrective phase over the past two months presents a healthy opportunity to gradually build a long-term portfolio through staggered investments in high-quality stocks.

Bajaj Broking has recommended five stocks to buy in 2025 as their technical charts indicate an upward momentum. It expects these five stock picks to deliver up to 30% returns and suggests buying for a time horizon of 12 months.

These stocks to buy include Prestige Estates Projects, Housing & Urban Development Corporation (HUDCO), Laurus Labs, Himadri Speciality Chemical (HSCL) and ITD Cementation India.

Here are stocks to buy in 2025:

Prestige Estates Projects | Buying Range: ₹1,810 - 1,880 | Target Price: ₹2,290

Prestige Estates Projects share price is at the cusp of breakout above the bullish flag formation signaling continuation of the up move and offers fresh entry opportunity. Bajaj Broking expects Prestige Estates stock to head towards ₹2,290 levels in the coming year being the 138.2% external retracement of the last decline (2074-1506).

HUDCO | Buying Range: ₹238 - 249 | Target Price: ₹314

Housing & Urban Development Corporation stock price has generated a breakout above the falling channel signaling resumption of the up move and offers fresh entry opportunity. The stock has recently rebounded taking support at the long term 12 months EMA (Exponential Moving Average). We expect HUCDO stock to head higher towards ₹314 levels in the coming quarters being the 80% retracement of the last decline (353-192), said the brokerage firm.

Laurus Labs | Buying Range: ₹555 - 575 | Target Price: ₹710

Laurus Labs share price is at the cusp of breaking above the rounding formation signaling resumption of the up move and offers fresh entry opportunity. Bajaj Broking expects the stock to accelerate its up move post breaking above the neckline of the rounding formation and head higher towards the all time high ₹710 levels in the coming quarters.

HSCL | Buying Range: ₹525 - 545 | Target Price: ₹687

Himadri Speciality Chemical share price has generated a breakout above the supply line joining highs of CY07 and CY18 highlighting strength and extension of the up move thus offering fresh entry opportunity. We expect HSCL stock to extend its up move and head higher towards the all time high ₹687 levels in the coming year, Bajaj Broking said.

ITD Cementation India | Buying Range: ₹498 - 518 | Target Price: ₹670

ITD Cementation shares have generated a breakout above the bullish Cup & Handle pattern in the long-term chart highlighting acceleration of the up move thus offering fresh entry opportunity. The broking firm expects the stock to rally higher and head towards the ₹687 levels in the coming quarters being the measuring implication of the bullish breakout area.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.