Paytm, 13 other Nifty 500 stocks shine amid market selloff, gain up to 38% in a month

While selling pressure was seen across the market in recent weeks, a few stocks have weathered the recent correction and managed to surge, adding some gains to investors' portfolios. According to Trendlyne data, 14 out of the Nifty 500 constituents have risen 10% to 38% in a month, with most of them receiving a boost after reporting healthy Q2 results.

Syrma SGS Technology led the pack, with a 38% gain as the stock climbed from ₹407 to ₹559.40 during the said period. The company, which reported strong Q2 results in late October, saw a sharp uptick in its share price, further boosted by target price hikes from domestic brokerage firms.

The stock ended October with a 22% gain, marking its biggest monthly increase since May 2023. The rally continued into November, with an additional 8% gain. Despite this stellar performance, the stock still trades 21% below its all-time high of ₹705.20.

Another stock that weathered the recent correction well is Deepak Fertilisers & Petrochemicals Corporation, which began its rally after reporting a more than three-fold surge in Q2 profit to ₹214 crore, driven by strong sales growth across its business segments.

Following the results announcement on October 28, the stock surged 11% in the following 16 trading sessions, resulting in a 25% gain over the month. The robust performance has also led the stock to record a fresh all-time high of ₹1,405 on November 7, marking a 152% gain in less than eight months.

Despite posting a net loss in Q2 FY25, ITI benefited from a series of order wins, fueling a 22% rise in its shares in a month. The company recently secured a contract worth ₹950 million from the Directorate of Geology and Mining, Uttarakhand, and also bagged a ₹15.37 billion contract for the BharatNet broadband project in partnership with a consortium.

Meanwhile, Kirloskar Brothers delivered a strong performance in the quarter ended September 2024, reporting a 90% YoY increase in net profits. This robust performance prompted domestic brokerage Axis Securities to raise its target price for the stock to ₹2,100 from ₹1,977 while maintaining a 'buy' rating. The shares gained 17.8% in a month, climbing to ₹2,187.

Other stocks, including Aegis Logistics, Amber Enterprises India, and Coforge, also reacted positively to their Q2 results, with gains ranging from 12.6% to 16% in a month.

Paytm shares up over 12%

Paytm shares have surged 12.3% to ₹814.3 apiece following multiple positive developments, including the approval from the National Payments Corporation of India (NPCI) to resume onboarding new UPI customers, which removed a key regulatory overhang.

This progress also prompted brokerage firms to revise their target prices upward for the stock. Citi upgraded its rating to 'buy' from 'sell' and doubled the price target to ₹900.

The company reported a net profit of ₹928 crore, its first ever since listing in 2021. However, this was primarily driven by a ₹1,345 crore gain from the sale of its ticketing business to food delivery company Zomato.

Six other stocks—Crisil, Piramal Pharma, Redington, BSE, City Union Bank, and Rainbow Children’s Medicare— recorded gains ranging from 10.3% to 12.1% in a month. 

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 taking any investment decisions.