Top Stocks on May 5: Wockhardt, Tata Tech, Gabriel India, Dabur, Adani Green Energy Post Significant Gains

Indian Stocks Turn Volatile Amid US-Iran Tensions and Earnings Assessment

Indian stocks experienced a volatile session on Tuesday, May 5, as renewed tensions between the US and Iranian forces dragged the benchmarks lower. Investors also assessed the latest batch of March-quarter corporate earnings, leading to a mixed performance across various sectors.

The Nifty 50 index ended the session up 0.36% at 24,032, staging a strong intraday recovery from the day's low of 23,822. The S&P BSE Sensex also recouped most of its intraday losses to settle with a modest decline of 0.33% at 77,179. However, the broader market outperformed the headline indices, with the Nifty Midcap 100 and Nifty Smallcap 100 each closing with gains of over 0.26%.

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The escalation of tensions in the Middle East, following the exchange of fire between the US and Iran in the Strait of Hormuz, raised uncertainty over the durability of the four-week ceasefire. The rising oil prices, which surged to an intraday high of $115.3 a barrel on Monday, are negative for India, the world's third-largest importer of crude, as they add to inflationary pressures and weigh on economic growth as well as corporate earnings.

Sectoral performance remained mixed, with Nifty Auto, Nifty Pharma, Nifty FMCG, and Nifty Chemicals closing higher, while Nifty Realty, Nifty Consumer Durables, and Nifty PSU Bank ended the session in the red.

Earnings optimism and renewed buying drove sharp gains in select counters. Buying momentum in CreditAccess Grameen further accelerated as the shares closed 15.4% higher at ₹1,523 apiece, extending their winning run to the seventh straight session. Computer Age Management Services witnessed renewed buying, with the stock ending the day with a robust 9% gain at ₹797. Following its turnaround performance in the March quarter, Wockhardt surged 9% to ₹1,550, while Titagarh Rail Systems posted a similar gain of 9%. Netweb Technologies India reversed its recent losses, jumping 6.4% to ₹4,189 apiece.

Demand for Tata Technologies strengthened after its Q4 results, driving the stock 5.6% higher to ₹627.50 apiece. Other stocks that posted similar gains included Poly Medicure, Garden Reach Shipbuilders & Engineers, Gabriel India, Finolex Cables, Aavas Financiers, Aditya Birla Capital, and Aadhar Housing Finance, all of which ended 4% to 6% higher. Both Mahindra & Mahindra and Dabur India closed with gains of 3.7% as investors reacted positively to their March quarter figures. Remaining higher for the second straight day, Vedanta advanced another 3.14% to ₹305 apiece, while KFin Technologies resumed its upward move with a 4% gain after two sessions of losses.

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However, profit booking dragged recent outperformers lower. Among the top losers, Meesho shares fell 6% to ₹203 as investors booked profits in the counter following the sustained rally that had lifted the stock to a five-month high. CESC, Emcure Pharmaceuticals, Syngene International, Voltas, and Ola Electric Mobility also came under pressure, with each falling over 5%. Godrej Properties dropped 5% to ₹1,811, even as brokerages remained positive on the stock following its March quarter numbers. Other major laggards included Cemindia Projects, Sapphire Foods India, Urban Company, Kajaria Ceramics, IIFL Finance, Cohance Lifesciences, PhysicsWallah, and Transformers & Rectifiers, all of which closed with losses of over 4%.