Stock to buy in short term: Choice Broking's Sumeet Bagadia recommends this PSU stock as his Navratri Pick

Stock to buy: Indian Renewable Energy Development Agency (IREDA)shares traded flat but in the red on Monday. The PSU stock has given 8 per cent returns in the past one month, but has fallen 3.5 per cent in three months and over 30 per cent in one year.

However, analysts believe the IREDA stock is technically poised to see a decent upward momentum. Sumeet Bagadia, Executive Director at Choice Broking, has recommended the IREDA shares as his Navratri Pick.

Sumeet Bagadia’s Navratri stock recommendation:

Buy IREDA at ₹160.10 and up to ₹156| Target Price: ₹186-200

IREDA shares are currently trading at ₹159.25 apiece. The large-cap stock is down nearly 34 per cent from its 52-week high of ₹239.95, hit in October 2024. Meanwhile, it touched its 52-week low of ₹137 in March 2025.

After an extended consolidation phase near its lower levels, IREDA has shown signs of a strong recovery, currently trading around ₹160.10. Technical analyst Sumeet Bagadia observed that the stock has given a breakout above a downward-sloping trendline on the weekly chart, signalling a shift in sentiment from neutral to bullish.

Bagadia’s Outlook on IREDA

Bagadia highlighted that IREDA is consolidating above a crucial base. “The stock has managed to sustain above its key support, which indicates that investors are finding value at current levels,” he said.

On the resistance front, Bagadia pointed out that a decisive move could unlock further gains. “If IREDA sustains above ₹160 and manages to break above the 200 EMA resistance at ₹166, it is likely to build momentum towards ₹186–200 in the near term,” he explained.

Momentum indicators are also showing strength, according to Bagadia. “The rising trend in RSI supports the outlook of strengthening bullish momentum,” he added.

Bagadia recommended initiating a buy position at the current market price of ₹160.10 and adding on dips towards ₹156. On the downside, ₹145 would act as a strong support zone, and a breach below this level could temporarily weaken the positive structure, warranting caution.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.