Neeraj Dewan recommends selective midcaps for investment

Market expert Neeraj Dewan recommends being selective in the stock market, particularly favoring certain midcap and largecap stocks that now have attractive valuations. He highlights stocks like Mazagon Dock, Garware Hi-Tech Films, and Surya Roshni due to their promising growth and strong financial performance. Dewan notes that while some companies had decent results in the third quarter, many stocks continue to see price corrections. He emphasizes that despite a recent bounce back in Nifty, uncertainties remain, especially with ongoing foreign investment selling. He suggests looking for good opportunities in midcap stocks since they present better potential returns for long-term investors. In the oil and chemical sectors, Dewan sees potential for oil marketing companies like HPCL and BPCL due to possible fuel price cuts. He also mentions the chemical industry as a selective opportunity worth exploring. Recently, he has added stocks such as Mazagon Dock and Garware Hi-Tech Films to his portfolio. On the pharmaceutical front, Dewan is cautious, although he recognizes the potential of stocks like Divi’s Labs and Senores. He advises being selective in this sector, considering possible short-term challenges. Dewan also expresses optimism about the power sector, particularly renewable energy companies like JSW Energy and Tata Power, which he believes could offer good returns in the coming years. He encourages investors to focus on midcap opportunities and emphasizes the importance of valuation when selecting stocks.