Top 3 stocks to buy today, 16 April: Raja Venkatraman recommends

The aim is to consider multiple factors that can be combined with the aim of generating some meaningful returns over the next few weeks.

Three stocks to buy today, recommended by NeoTrader’s Raja Venkatraman

Here are three stocks to buy as recommended by Raja Venkatraman of NeoTrader for Wednesday, 16 April.

• Intellect Design Arena Ltd: Buy at current market price, and dips to near ₹725, stop loss ₹705, target ₹795-815

• Data Patterns (India) Ltd: Buy above ₹1,885, and dips to ₹1,850, stop ₹1,830 , target ₹2,025-2,125

• Deepak Fertilisers and Petrochemicals Ltd: Buy above ₹1,265 and dips to ₹1,230, stop loss ₹1,220, target ₹1,350-1,400

Raja Venkatraman recommends stocks based on the following factors:

Analyze Fundamentals: Prioritize companies with strong financial metrics, including consistent revenue growth, high profit margins, low debt-to-equity ratios, and a healthy return on equity (ROE). These indicators reflect a company's financial health and operational efficiency.

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Explore Emerging Sectors: Focus on high-growth industries like renewable energy, biotechnology, and artificial intelligence (AI), where companies may have significant untapped opportunities.

Study Management and Innovation: Evaluate the company's leadership, business model, and innovation potential. Strong management and unique products or services are key drivers of long-term success.

Three stocks to buy, recommended by NeoTrader’s Raja Venkatraman:

• Buy Intellect Design Arena (current price ₹681.65)

Buy at: CMP and dips to near ₹725

Target: ₹795-815

Stop loss: ₹705

Intellect Design Arena has demonstrated impressive growth in the financial technology sector, particularly in digital and transaction banking solutions. Its global presence has expanded across key regions such as MEA, APAC, and Canada, bolstered by strategic partnerships that strengthen its market position.

Diversification remains central to the company’s strategy, with innovations like AI-driven underwriting underscoring its commitment to product evolution. With pioneering advancements such as eMACH.ai, Intellect showcases its ability to drive industry change through experimentation.

Although operational efficiency faces some hurdles, the company’s strategic alliances and focused management offer potential for improvement. Despite occasional fluctuations, its success in securing major deals highlights financial resilience and the potential for a performance turnaround.

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Post a drop of more than 40% since its December highs, the stock has started stabilizing and the steady rise seen over the last few days highlights a potential reversal in progress. As evidence of genuine buying emerges at lower levels, we can conclude that price action reversal is taking effect. The last few days have been a testing time and with momentum rising sharply, we can consider some long opportunities here.

The long-bodied candle above the trendline resistance suggests positive momentum for prices. With steady volume building, it's likely that the rebound from lower levels will continue. The strong surge in momentum and positive outlook indicate that prices are showing a clear intent to rise. This presents a good opportunity to go long at current levels.

• Buy Data Patterns (current price ₹1,681.95)

Buy above: ₹1,885 and dips to ₹1,850

Target: ₹2,025-2,125

Stop loss: ₹1,830

Data Patterns (India) has shown consistent growth in the defence and aerospace electronics sector, driven by a focus on indigenously developed products. The company excels across multiple platforms—space, air, land, and sea—positioning itself well in a dynamic market.

Its strategic expansion has resulted in a diverse product portfolio, including processors, RF equipment, and embedded software, ensuring a competitive edge. Innovation remains at the core of its strategy, with in-house development driving technological advancements.

Operational efficiency is evident in strong profit margins and minimal debt, reflecting prudent financial management. Consistent profit growth highlights Data Patterns' solid financial trajectory.

The stock has seen steady buying interest following a period of decline due to profit booking throughout much of 2025. After forming a double bottom, the stock has steadily moved higher. Consolidation at the resistance zone suggests a solid base is being built, with rounding patterns forming at lower levels.

This sets the stage for a potential rebound. A positive breakout above the key resistance zone around ₹1,800 could trigger further upward movement. Given the steady resolve in the price action, it presents a good opportunity to go long. The recent long-bodied candle indicates continued buying interest and positive sentiment, with momentum suggesting further upside potential.

• Buy Deepak Fertilisers and Petrochemicals (current price ₹1,263.70)

Buy above: ₹1,265 and dips to ₹1,230

Target price: ₹1,350-1,400

Stop loss: ₹1,220

Deepak Fertilisers stands out in the chemicals and fertilizers sector, focusing on specialty products to drive targeted growth. Its adaptability is evident in its expanding international presence and commitment to providing holistic solutions.

Key to its success is a strategic shift from commodity products to specialized offerings, enabling significant differentiation. Innovation plays a central role, with developments like medical-grade ammonium nitrate and specialty fertilizers highlighting its forward-thinking approach. The company’s improved operational margins and reduced debt reflect a strong focus on efficiency, while record profits and revenue growth demonstrate a remarkable financial turnaround.

Select chemical stocks are showing strong recovery, with the stock consolidating since March, indicating pent-up momentum. Despite a gap down following the Trump tariff news, prices quickly recovered, suggesting an encouraging trend ahead.

Although it has moved slowly, the stock appears poised for action as its chart pattern and performance metrics look increasingly attractive. With an ROE of 16%, an EPS of 16 (slightly below the industry average), and a notable margin improvement in recent quarters, the fundamentals are strengthening.

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The long-term chart reveals a slow build-up, forming a rounding pattern from 2017 to 2022, followed by a breakout and a pullback. Using the breakout area as support, the stock is gaining fresh volume, indicating potential for a rise toward ₹1,400. After a sharp pullback, the stock is finding support at the 2024 breakout level near 985. Given the potential for further upward momentum and the bullish trends, this could be an ideal opportunity to go long.

Raja Venkatraman is co-founder, NeoTrader. His Sebi-registered research analyst registration no. is INH000016223.

Investments in securities are subject to market risks. Read all the related documents carefully before investing. Registration granted by Sebi and certification from NISM in no way guarantees performance of the intermediary or provide any assurance of returns to investors.

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before making any investment decisions.