Stocks to buy or sell: Dharmesh Shah of ICICI Sec suggests buying Adani Ports, BEL shares on 1 December 2025

Stock market news: The Indian stock market remained largely unchanged on Friday, following a few days of positive global signals regarding the Russia-Ukraine ceasefire situation.

Both the Nifty 50 and Sensex opened flat and traded sideways throughout the day, ultimately closing at 26,203 and 85,707, respectively.

Experts suggest that the flat closing was mainly a result of investors adopting a cautious approach ahead of the upcoming release of India's Q2 FY26 GDP figures, with many refraining from making significant investments at record highs without new macroeconomic data. The market also processed mixed international cues and stable crude oil prices, while foreign investment remains cautious.

Market Outlook by Dharmesh Shah, Vice President, ICICI Securities

Indian equity benchmark scaled to fresh highs this week, buoyed by expectation of potential interest rate cuts in both US and India and possibility of easing of geopolitical tension. Nifty 50 gained 0.6% during the week to settle at 26,203. Midcaps outperformed the benchmark by gaining 1.3% while Smallcap settled the week on a flat note. Sectorally, pharma, metal and NBFC remained in limelight while Defense and Oil & gas lagged behind. The weekly price action formed a bull candle with lower shadow, reflecting buying demand from 20 days EMA.

The index has maintained its higher high-low formation for third week in a row that helped index to reclaim all time high after 14 months, reinforcing our positive bias. Going ahead, we expect index to sustain above 26,300 mark which would pave the way towards 26,800 in the coming month. In the process, volatility would prevail tracking global development. Hence, dips should be capitalized as incremental buying opportunity in quality stocks backed by Q2 earnings as strong support is placed at 25,600 being 61.8% retracement of Sept-Oct rally (24,588-26,104) coinciding with 50 days EMA.

Following observations validates our positive stance:

1. Following the strong up move in Bank Nifty and Midcap index, Nifty clocked a fresh all-time high, while Nifty 500 which carries 90% market cap is trading below just 2.5% from its peak. We expect, catch up activity to gradually pan out in the broader market space in coming weeks.
2. Relative outperformance of Indian market is visible as defying the global trend Nifty 50 gained 1.9% in the month of November while US and European markets recovered losses and settled the month on a flat note, while Nikkei fell about 4%.
3. December Seasonality: Historical data exhibit that seasonality favour bulls with ~70% success rate wherein average returns have been to the tune of 2.5%.
4. Sector in focus: We expect BFSI, auto to continue with its outperformance while favourable outcome of US-India trade deal could revive traction in IT, pharma, Textile.

Key Monitorable:

1. US and India Tarde Deal: Anticipation of nearing closure of the US and India trade deal continued to buoy sentiment. A favourable outcome could accelerate the positive momentumand attract renewed FII’s inflow.
2. RBI Policy
3. Monthly Auto sales date
4. Brent Crude Oil: Brent Crude: Expect Brent crude to extend decline and head towards lower band of past seven months consolidation range 75-58
5. Indian Rupee: Indian Rupee has depreciated and trading around 89.40. Further decline in rupee could temper market sentiment

Stocks To Buy This Week - Dharmesh Shah

Dharmesh Shah of ICICI Securities recommends buying Adani Ports and Special Economic Zone Ltd, and Bharat Electronics Ltd (BEL).

Buy Adani Ports shares in the range of ₹1,466-1,516. He has Adani Ports share price target of ₹1,675 with a stop loss of ₹1,377.

Buy BEL shares in the range of ₹405-415. He has BEL share price target of ₹466 with a stop loss of ₹385.

Disclaimer: The Research Analyst or his relatives or I-Sec do not have actual/beneficial ownership of 1% or more securities of the subject company, at the end of 28/11/2025 or have no other financial interest and do not have any material conflict of interest.

The views and recommendations provided in this analysis are those of individual analysts or broking companies, not Mint. We strongly advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and individual circumstances may vary.