Navigating the Indian stock market requires a keen understanding of prevailing trends, company performance, and global economic cues. Today, June 12, 2025, MarketSmith India has spotlighted a couple of stocks demonstrating promising potential, amidst a backdrop of cautious market sentiment.
Yesterday's trading session saw the Nifty 50 index close with a slight increase, settling at 25,141. Profit-booking in the financial and banking sectors created a cautious environment. Mixed global cues further contributed to this uncertainty. While PSU banks and FMCG experienced losses, the IT, pharma, and energy sectors showed strength, mitigating some of the negative impact. The Reserve Bank of India's (RBI) supportive stance provided some reassurance, but high valuations and subdued global trends limited significant upward movement. The smallcap and midcap indices also ended their winning streaks as profit-booking became widespread.
Amidst this backdrop, MarketSmith India's top picks include:
Saksoft Ltd. (₹ 207.56) - BUY
Saksoft Ltd. is highlighted for its expertise in digital transformation and its focus on innovation and technology. The company's key metrics include a P/E ratio of 24.86 and has reclaimed its 200-day moving average (DMA). While its 52-week high stands at ₹ 319.50, the stock currently trades at ₹207.56. The volume traded was ₹ 9.78 crore.
However, potential investors should be aware of risk factors such as economic slowdowns, currency fluctuations, and regulatory compliance risks. MarketSmith India recommends buying Saksoft at its current price of ₹ 207.5, with a target price of ₹ 238 within three months and a stop loss at ₹ 192.
Infosys Ltd. (₹ 1,630) - BUY
Infosys, a well-established name in the IT sector, is favored for its strong global client base, trusted brand, and focus on digital transformation and cloud adoption. Key metrics include a P/E ratio of 24.79. The stock has experienced a trendline breakout, signaling potential upward movement.
Infosys also carries risk factors, including attrition and talent costs, and macroeconomic headwinds. MarketSmith India suggests buying Infosys at ₹ 1,630, with a target price of ₹ 1,850 within three months and a stop loss at ₹ 1,530.
Nifty 50 Technical Analysis
On June 11th, the Nifty 50 briefly exceeded 25,200, reaching its highest point since October 15th, 2024, but closed with only marginal gains. The formation of a Doji candle indicates indecision in the market. While PSU banks, financial services, and FMCG underperformed, the IT, pharma, and energy sectors demonstrated strength. The advance-decline ratio was approximately 1:1, indicating balanced market participation.
Technically, the Nifty 50 remains above key moving averages, suggesting an underlying bullish sentiment.
Additional Stocks to Watch
Besides the two highlighted by MarketSmith India, it's worth noting some other companies that have recently shown promising characteristics, drawing parallels to successful turnarounds. Fortis Healthcare, for example, has demonstrated patient accumulation, supported by solid earnings. Federal Bank has shown steady growth and is nearing a technical pivot. Sharda Cropchem formed a cup-with-handle base, a potential precursor to explosive gains.
Disclaimer: This analysis is based on the latest available information and MarketSmith India's recommendations as of June 12, 2025. Investors should conduct their own thorough research and consider their personal risk tolerance before making any investment decisions. The stock market is inherently risky, and past performance is not indicative of future results.
