Prashanth Tapse of Mehta Equities has recently shared his short-term stock recommendations, including Nestle India and Federal Bank. In a market characterized by volatility and multiple influencing factors, Tapse's insights provide valuable guidance for investors seeking opportunities in the near term.

Nestle India

Nestle India Ltd. is among Tapse's top picks for short-term investment. While recent reports suggest the stock has been under pressure due to less exciting earnings visibility, there's optimism for the FMCG sector, including Nestle, to perform better over a longer period. Factors contributing to this positive outlook include expectations of increased income in semi-urban and rural India due to good monsoons and improved agricultural productivity. Lower crude oil prices and input costs could also help improve profit margins, potentially leading to better bottom-line numbers.

However, analysts' ratings for Nestle India stock have been largely neutral. As of August 7, 2025, Nestle India Limited was trading at ₹2234.60, with near-term share price targets of ₹2209.1 on the downside and ₹2240.5 on the upside. According to 37 analysts, the mean recommendation for the stock is to "Hold". The consensus target price is ₹2,395.15, with a maximum estimate of ₹2,820.00 and a minimum of ₹2,075.00.

Federal Bank

Federal Bank Ltd. is also on Prashanth Tapse's list of stocks to buy in the short term.

Market Overview

Prashanth Tapse's recommendations come at a time when the Indian stock markets are experiencing volatility due to a combination of global and domestic factors. These include rising trade tensions between the U.S. and India, as well as substantial selling by Foreign Institutional Investors (FIIs). Tapse noted that volatility and choppiness are expected in the market amid these triggers. He also pointed out that fresh US tariffs on India, doubled to 50% by President Trump, FII outflows, a weak rupee, and uninspiring Q1FY26 earnings are contributing to the market's uncertainty.

Technically, the Nifty 50 is witnessing selling pressure and trading weak. Riyank Arora from Mehta Equities indicated that the Nifty 50 has a support level at 25,500, and if this level fails to hold, the index could decline further. Arora advises traders to adopt a sell-on-rise approach, keeping strict stop-loss levels to manage risk in this volatile phase.

Mehta Equities Ltd.

Mehta Equities Ltd. is a well-known broking firm with over 30 years of experience in the Indian Capital Markets. The firm offers diverse broking services to various clients, including domestic institutions, retail investors, family offices, corporates, and foreign institutions. Mehta Equities is recognized for its client-centric solutions and emphasizes "Rewarding Relationships". The firm also provides personalized wealth management services, guiding clients in navigating asset classes and offering diverse investment opportunities.

Disclaimer

It is important to note that these recommendations are based on the analysis and views of Prashanth Tapse of Mehta Equities. Investors should conduct their own research and analysis before making any investment decisions.