MarketSmith Analyst Raja Venkatraman Identifies Five Stocks to Watch on May 29

Indian Stock Market Experiences Cautious Optimism Amid Geopolitical Uncertainty

The Indian benchmark indices extended their losses for a second consecutive session on Wednesday, 27 May, as investors remained cautious due to mixed geopolitical developments in West Asia and continued foreign fund outflows. The 30-share BSE Sensex fell 141.90 points, or 0.19%, to close at 75,867.80. During the session, the index swung 476 points between an intraday high of 76,224.68 and a low of 75,748.21.

Of the Sensex constituents, 20 stocks ended higher while 10 closed in the red. The NSE Nifty 50 slipped 6.55 points, or 0.03%, to settle at 23,907.15, following Tuesday's sharp decline of 118 points. Broader markets delivered mixed performance, with the BSE SmallCap Select index declining 0.29% and the MidCap Select index gaining 0.52%.

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Market Outlook

The Gift Nifty Live Chart shows a negative start for the Indian stock market today, trading around the 23,882.5 level, a discount of 114.2 points from the Nifty futures' previous close of 23,996.70. Decoding the impact of Gift Nifty live chart and other triggers on Dalal Street, Hariprasad K, SEBI-registered Research Analyst and Founder, Livelong Wealth, Indian equity markets are likely to begin Friday's session on a cautiously positive note despite persistent geopolitical uncertainty and elevated global volatility.

Global Sentiment

Global sentiment improved overnight after Wall Street extended its rally, with both the S&P 500 and Nasdaq Composite closing at fresh record highs. The rally was once again led by technology stocks after Snowflake's strong earnings guidance revived optimism about the global AI and enterprise technology cycle. The renewed strength in global tech continues to support risk appetite across broader equity markets.

Read also: US-Iran Tensions Spark Uptick in Oil Prices Amid Global Market Decline

Recommendations

Raja Venkatraman, Co-founder of NeoTrader, and stock research platform MarketSmith India, recommended buying five shares: IDFC First Bank Ltd, Computer Age Management Services Ltd, Indian Hotels Company Ltd, Netweb Technologies India Ltd, and Premier Energies Ltd.

IDFC First Bank Ltd

IDFC First Bank is a prominent Indian private sector universal bank headquartered in Mumbai. The stock has made a V-shaped recovery over the last few weeks, but has not been able to sustain an upward move. The consolidation at the Tenkan Sen augurs well for prices, which could now open the door to a strong possibility of upside. With the auto sector looking up, we could consider going long.

| Key Metrics | | --- | --- | | P/E | 37.54 | | 52-week high | ₹87 | | Volume | 16.57M |

Computer Age Management Services Ltd

Computer Age Management Services Limited (CAMS) is India's largest technology-driven financial infrastructure and services provider, commanding a dominant 68% market share in the mutual fund Registrar and Transfer Agent (RTA) space. After a rounding pattern formation in April 2026, the prices seemed to be on the pathway to recovery and have been forming some consolidation at the Tenkan Sen and Kijun Sen. The Relative Strength Index after taking support at neutral zone is inching higher, indicating some potential to the upside.

| Key Metrics | | --- | --- | | P/E | 44.65 | | 52-week high | ₹875 | | Volume | 1.56M |

Indian Hotels Company Ltd

The Indian Hotels Company Limited (NSE: INDHOTEL), famously known as IHCL, it owns the iconic Taj Mahal Palace in Mumbai and operates a massive portfolio of luxury, premium, and upscale hotels globally. After some profit-taking, as seen, the prices have now shown support emerging from the Tenkan Sen, signs of bottoming out. With a strong breakout on the daily charts above the recent range around 660 levels, we can now look to invest for the short term as momentum is seen picking up.

| Key Metrics | | --- | --- | | P/E Ratio | 47.19 | | 52-week high | ₹811.90 | | Volume | 1.36M |

Netweb Technologies India Ltd

Netweb Technologies India Ltd is a strong presence in high-end computing, beneficiary of AI and data centre growth, growing demand for supercomputing solutions, focus on indigenous technology solutions, strong government and enterprise opportunities, expansion in cloud and HPC segment, beneficiary of digital infrastructure growth, strong order book potential, opportunity from semiconductor ecosystem growth, high-growth technology sector exposure, increasing adoption of AI workloads, focus on innovation and R&D, strong positioning in niche market, growth in defence and research projects, and scalability in enterprise computing business.

| Key Metrics | | --- | --- | | P/E | 106.56 | | 52-week high | ₹4,492.00 | | Volume | ₹630.99 |

Premier Energies Ltd

Premier Energies Ltd is a beneficiary of solar energy boom, strong presence in solar modules & cells, government support for renewable energy, opportunity from "Make in India" push, growing domestic solar demand, expansion in manufacturing capacity, import substitution opportunity, rising demand from utility-scale projects, beneficiary of PLI scheme support, strong long-term renewable energy outlook, increasing focus on backward integration, export growth opportunities, demand from corporate green energy adoption, growth potential in energy transition sector, and improving scale efficiencies.

| Key Metrics | | --- | --- | | P/E | 30.61 | | 52-week high | ₹1,136.40 | | Volume | ₹478.91 crore |

Recommendations

Buy: IDFC First Bank Ltd above ₹72, with a target price of ₹79 (2 Months) and a stop loss of ₹67. Buy: Computer Age Management Services Ltd above ₹787, with a target price of ₹865 (2 Months) and a stop loss of ₹750. Buy: Indian Hotels Company Ltd above ₹670, with a target price of ₹750 and a stop loss of ₹645. Buy: Netweb Technologies India Ltd between ₹4,031–₹4,092, with a target price of ₹4,700 in two to three months and a stop loss of ₹3,830. Buy: Premier Energies Ltd between ₹1,036–₹1,051, with a target price of ₹1,200 in two to three months and a stop loss of ₹995.