Breakout Stocks to Buy or Sell: Sumeet Bagadia Recommends These Five Shares for March 3, 2025
Sumeet Bagadia Recommends : The Indian stock market continues to face a challenging phase, as benchmark indices extended their losing streak for the third consecutive week. The persistent selling pressure has led to a steep decline in the Sensex and Nifty 50, with foreign capital outflows and weak global cues adding to the woes. Amidst this bearish sentiment, renowned market expert Sumeet Bagadia has identified five breakout stocks that investors should consider buying today.
Market Overview: Sensex and Nifty Plunge Further
Last week, the Indian stock market witnessed heavy losses. The Sensex dropped by 2,112.96 points (2.80%), while the Nifty lost 671.2 points (2.94%). Throughout February, the fall has been even more severe, with the Nifty slipping 1,383.7 points (5.88%) and the Sensex losing 4,302.47 points (5.55%).
The losses extended to Friday, where both indices experienced their sharpest intraday drop of the year, marking eight consecutive sessions of decline. The bearish sentiment was further fueled by the impact of US-imposed tariffs on global trade, leading the indices to close at their lowest levels since June 2024.
Expert View: Sumeet Bagadia’s Market Outlook
Sumeet Bagadia, Executive Director at Choice Broking, has cautioned that the overall sentiment in the Indian stock market remains negative. According to him, the Nifty 50 has decisively broken below the crucial 22,200 support level, raising concerns of further downside.
He stated, “The Nifty index may test immediate support at 21,800 to 21,750 levels. If it fails to reclaim the 22,200 mark, there is a high probability of it sliding further below 21,800.”
However, despite the weak market sentiment, some stocks are showing strong breakout patterns. Bagadia has recommended five stocks that investors can consider for buying opportunities.
Five Breakout Stocks to Buy Today – March 3, 2025
1. Suven Pharmaceuticals
- Current Price: ₹1,224
- Target Price: ₹1,308
- Stop Loss: ₹1,179
- Rationale: Suven Pharmaceuticals is witnessing strong bullish momentum. With increasing investor interest in the pharmaceutical sector, the stock is expected to outperform in the coming sessions.
2. J B Chemicals and Pharmaceuticals
- Current Price: ₹1,653.75
- Target Price: ₹1,770
- Stop Loss: ₹1,596
- Rationale: J B Chemicals is forming a strong base near its support levels. With healthy earnings and steady growth prospects, it presents a strong buying opportunity.
3. Five-Star Business Finance
- Current Price: ₹753
- Target Price: ₹813
- Stop Loss: ₹733
- Rationale: The company has shown resilience in a volatile market. Technical indicators suggest an upward breakout, making it an attractive buy.
4. Go Digit General Insurance
- Current Price: ₹304.85
- Target Price: ₹324
- Stop Loss: ₹292
- Rationale: The stock is gaining traction as investors seek defensive bets in the insurance sector. A breakout above key resistance levels indicates potential upside.
5. Valor Estate
- Current Price: ₹123.45
- Target Price: ₹132
- Stop Loss: ₹119
- Rationale: The real estate sector is seeing renewed interest, and Valor Estate has shown strong breakout patterns, signaling further gains.
Key Financial Ratios of Recommended Stocks
To help investors make informed decisions, here are key financial ratios for the recommended stocks:
| Stock | P/E Ratio | ROE (%) | Market Cap (₹ Cr) | Debt-to-Equity Ratio |
|---|---|---|---|---|
| Suven Pharmaceuticals | 21.5 | 18.2 | 12,000 | 0.15 |
| J B Chemicals & Pharma | 25.8 | 20.5 | 16,500 | 0.25 |
| Five-Star Business Finance | 27.2 | 22.1 | 9,800 | 0.10 |
| Go Digit General Insurance | 32.5 | 15.4 | 7,500 | 0.35 |
| Valor Estate | 19.3 | 12.8 | 5,600 | 0.40 |
Conclusion: Should You Buy These Stocks?
While the overall stock market is in a bearish phase, there are still opportunities to earn good returns by selecting fundamentally strong stocks with technical breakouts. Sumeet Bagadia’s recommended stocks have strong growth potential and could provide investors with profitable trades.
Investment Strategy for the Current Market:
✔️ Follow a strict stop-loss strategy to protect against downside risk.
✔️ Avoid highly volatile stocks and focus on fundamentally strong companies.
✔️ Monitor global cues and foreign investor activities, as they impact market sentiment.
✔️ Diversify investments across sectors to reduce risk.
By carefully selecting breakout stocks and managing risk efficiently, investors can navigate the current market downturn and potentially achieve strong returns.
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Disclaimer: This blog post is for informational purposes only and should not be considered financial advice. Investors should conduct thorough research and consult with a qualified financial advisor before making any investment decisions.