Cochin Shipyard, Mazagon, BEL attractive; Nifty seen near 26,000: Ambareesh Baliga

Market expert Ambareesh Baliga has highlighted opportunities for investors in the defence sector, stating that select counters remain attractive even at current levels.

"We have seen a decent correction in defense over the last one to one-and-a-half years. Quite a few of them have come down to decent levels where the valuations are decently attractive and could be a good time to again start buying because clearly there is focus on India manufacturing and that applies majorly to defence also," he told Business Today on Monday.

Baliga pointed out that Cochin Shipyard Ltd, Mazagon Dock Shipbuilders Ltd and Bharat Electronics Ltd (BEL) are among the stocks worth considering.

The market veteran also expressed optimism about the broader market's trajectory in the near term. Despite several adverse developments, he believes the indices have displayed resilience and could move higher in the run-up to Diwali.

"Despite the sort of adverse news which we had in the recent past, such as US H-1B visa issue, Chabahar Port sanction waiver and Pakistan-Saudi Arabia defence pact, the indices have shown resilience," he noted.

According to him, the current momentum in foreign and domestic flows could push the benchmark Nifty index closer to the 26,000 mark in the coming weeks.

"So, I'll not be surprised if we see Nifty closer to 26,000 level over the next possibly a week or two," Baliga added.