Stocks to buy: Raja Venkatraman's top midcap picks for 17 October
Market expert Raja Venkatraman shares his top three stocks to buy today, 17 October. Discover his exclusive picks and analysis to inform your investment strategy.
Midcap stocks showed resilience in September, with Nifty Midcap 150 gaining steadily amid valuation concerns. Investors should focus on fundamentals, governance quality, and sectoral momentum, balancing optimism with caution as elevated multiples hint at selective opportunities over broad exposure.
Trend revival is encouraging
Over the past three months, the NSE Midcap segment has remained resilient despite global volatility and mixed Q2 FY2026 earnings. The Nifty Midcap 150 Index has traded in a range of 21,600–22,100, showing a marginal gain of about 1.5% between July and October 2025, indicating consolidation after a strong run in Q1 FY2026. The broader Nifty Midcap 50 rose around 1.2–1.5% over the same period, with select sectors like financials, auto ancillaries, and healthcare outperforming others.
Earnings momentum in the ongoing Q2 FY2026 results season has been constructive. Companies across chemicals, capital goods, and auto components have delivered steady revenue expansion of 6–9% YoY, reflecting robust domestic demand.
Valuations remain moderately elevated, but stable operating margins and improving return ratios suggest investor confidence remains intact. Analysts expect the midcap universe to benefit from strong domestic capex trends, government infrastructure spending, and rising retail inflows into midcap-oriented mutual funds. Overall, the midcap index continues to outpace large caps in earnings growth, even as near-term volatility persists amid ongoing global macro uncertainties.
Three stocks to trade, recommended by NeoTrader’s Raja Venkatraman:
ENDURANCE (Cmp ₹2932.50)
ENDURANCE: Buy above 2940, stop ₹2860 target ₹3100 (Multiday)
- Why it’s recommended: Endurance Technologies Limited is a leading Indian manufacturer of automotive components for two- and three-wheelers, with a significant presence in the European four-wheeler market. After testing the cloud support region, the prices are seen reviving. Also, the bounce in RSI from neutral zone augurs well for the prices. With the long body bullish candle seen in the last few sessions we can consider going long.
- Key metrics:
- P/E: 60.94,
- 52-week high: ₹3078.95,
- Volume: 351.35K
- Technical analysis: Support at ₹2700, resistance at ₹3200.
- Risk factors: Automotive market's cyclicality, the ongoing transition to electric vehicles (EVs), and exposure to international market risks.
- Buy: above 2940.
- Target price: ₹3100 in 2 months.
- Stop loss: ₹2860.
BHARATFORG (Cmp 1265.20)
BHARATFORG: Buy above 1270, stop ₹1245 target ₹1308 (Intraday)
- Why it’s recommended: Bharat Forge Limited is an Indian multinational company and the flagship company of the Kalyani Group, is one of the world's largest forging companies and a leading provider of critical components and solutions across diverse sectors. After the recent reaction the prices are seen holding at the TS & KS bands and producing a revival. With the momentum showing a rebound from the neutral zones in the last few days are now seen holding indicating a possibility of some upward bounce as a rounding pattern is seen forming with volumes. Can look to go long.
- Key metrics:
- P/E: 43.43,
- 52-week high: ₹1495
- Volume: 1.7M
- Technical analysis: Support at ₹1175, resistance at ₹1325.
- Risk factors: High dependency on the Indian government for defence contracts. Other major risk factors include potential project delays, supply chain vulnerabilities
- Buy : above 1270.
- Target price: ₹1308.
- Stop loss: ₹1245.
ESCORTS (Cmp 3782.40)
ESCORTS: Buy above 3790, stop ₹3735 target ₹3870 (Intraday)
- Why it’s recommended: Escorts Kubota Limited is an Indian multinational engineering conglomerate that manufactures agricultural machinery, construction equipment, and railway components.The counter has been consolidating for a while steadily moving higher forming higher high and higher lows for the past few days. With Auto sector continuing to show some promise the long body candle is looking to inch higher. The run up above RSI 60 levels we can look for some upside to emerge in the turnaround. Look to buy.
- Key metrics:
- P/E: 34.10,
- 52-week high: ₹4171.35,
- volume: 200.46K.
- Technical analysis: Support at ₹3400, resistance at ₹4100.
- Risk factors: Cyclical agricultural market, intense competition, and exposure to raw material price volatility.
- Buy : above 3790
- Target price: ₹3850.
- Stop loss: ₹3760.
Outlook
The midcap sector continues to display robust momentum on the NSE, supported by improved liquidity, lower GST rates, and broad-based earnings growth that could fuel some steady participation in FY26, though investors should monitor margin trends and sector-specific growth rates in coming quarters.
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.
topics
