Buy HAL, BEL shares on dips; IT sector has bottomed out, says Avinash Gorakshakar
On IT stocks, he noted that large players like Infosys, TCS and Accenture are accelerating their work on AI solutions tailored for the Indian market. "This is going to be one of the most important turning points for the sector. Generative AI and conversational AI will generate strong interest and business for companies well-positioned early. Infosys has already done a lot of work," he said.
- Sep 16, 2025,
- Updated Sep 16, 2025 10:49 AM IST
Market expert Avinash Gorakshakar on Tuesday said Indian equities are likely to maintain their positive momentum, aided by supportive global cues from the US. "I think there could be a very good near-term solution for the tariff issue and something concrete could happen maybe in the month of October or November-end. If that happens, then the market would clearly give it a thumbs up. On the level-specific front, 25,150 is a very crucial level for Nifty50. Once the market convincingly crosses that level, we can see continuous buying," Gorakshakar told Business Today.
On the broader outlook, he highlighted that the IPO market has been strong, drawing liquidity away from the secondary market. "That pressure is also going to keep the market on its toes. There could be some sell-off in secondary market stocks. Although one good part is that SIP flows have been very robust," he added.
Sharing his sectoral preferences, Gorakshakar said, "It's a good time to look at quality companies with strong businesses. The second quarter could give a better kind of indication. Capital goods, hospitality, hotels and cement are sectors that look promising if available at reasonable valuations. The second half is definitely going to be better for these companies. Until IPO flows ease, we may not see a runaway rally."
On IT stocks, he noted that large players like Infosys, TCS and Accenture are accelerating their work on AI solutions tailored for the Indian market. "This is going to be one of the most important turning points for the sector. Generative AI and conversational AI will generate strong interest and business for companies well-positioned early. Infosys has already done a lot of work," he said.
He further stated, "Over the next three to six months, the IT sector looks attractive. Long-term investors can consider TCS, Infosys, KPIT or Persistent Systems. Clearly, the worst seems to have bottomed out and from the next financial year, things could be much better."
On the defence space, Gorakshakar was bullish, urging investors not to miss the rally. "Companies like Bharat Electronics Ltd (BEL) or Hindustan Aeronautics Ltd (HAL), if somebody has a 12- to 18-month time frame, any dip could be used as a buying opportunity. If you want to build a portfolio, they should be a part of it because alpha creation still continues. As long as order books remain strong and execution is on track, these companies offer a decent risk-reward even at current levels."
Market expert Avinash Gorakshakar on Tuesday said Indian equities are likely to maintain their positive momentum, aided by supportive global cues from the US. "I think there could be a very good near-term solution for the tariff issue and something concrete could happen maybe in the month of October or November-end. If that happens, then the market would clearly give it a thumbs up. On the level-specific front, 25,150 is a very crucial level for Nifty50. Once the market convincingly crosses that level, we can see continuous buying," Gorakshakar told Business Today.
On the broader outlook, he highlighted that the IPO market has been strong, drawing liquidity away from the secondary market. "That pressure is also going to keep the market on its toes. There could be some sell-off in secondary market stocks. Although one good part is that SIP flows have been very robust," he added.
Sharing his sectoral preferences, Gorakshakar said, "It's a good time to look at quality companies with strong businesses. The second quarter could give a better kind of indication. Capital goods, hospitality, hotels and cement are sectors that look promising if available at reasonable valuations. The second half is definitely going to be better for these companies. Until IPO flows ease, we may not see a runaway rally."
On IT stocks, he noted that large players like Infosys, TCS and Accenture are accelerating their work on AI solutions tailored for the Indian market. "This is going to be one of the most important turning points for the sector. Generative AI and conversational AI will generate strong interest and business for companies well-positioned early. Infosys has already done a lot of work," he said.
He further stated, "Over the next three to six months, the IT sector looks attractive. Long-term investors can consider TCS, Infosys, KPIT or Persistent Systems. Clearly, the worst seems to have bottomed out and from the next financial year, things could be much better."
On the defence space, Gorakshakar was bullish, urging investors not to miss the rally. "Companies like Bharat Electronics Ltd (BEL) or Hindustan Aeronautics Ltd (HAL), if somebody has a 12- to 18-month time frame, any dip could be used as a buying opportunity. If you want to build a portfolio, they should be a part of it because alpha creation still continues. As long as order books remain strong and execution is on track, these companies offer a decent risk-reward even at current levels."