Analyst Gautam Shah sets Nifty target at 25,500, favoring smallcaps and pharma. Adani group also in focus. AlphaScala scores HDFC, Infosys, Wipro at Mixed to Moderate.
Market analyst Gautam Shah expects the Nifty to rally to 25,500, a view he shared on ETMarkets. He is betting on smallcaps and pharma, with a special mention of Adani group equities.
Shah's target sits above the index's recent consolidation zone, where the Nifty has been trading after a strong run earlier this year. Smallcaps have underperformed the large-cap benchmark in recent months, and pharmaceutical stocks have drawn defensive flows. By calling for both to lead, Shah is positioning for a rotation out of the narrow leadership that has characterised the market.
Adding Adani group stocks to the mix introduces high-beta exposure. Adani shares have been volatile since early 2023, when a short-seller report triggered a selloff and subsequent regulatory scrutiny. A sustained rally in those names would require clearing governance overhangs and showing consistent earnings delivery. Shah appears to be betting that the worst of that episode is behind them.
Among the stocks Shah referenced, HDFC Bank and Infosys are trending on ETMarkets; Wipro also features as a top trending name. AlphaScala's proprietary scoring assigns HDFC Bank a 40/100 (Mixed), Infosys 57/100 (Moderate), and Wipro 46/100 (Mixed). These scores indicate neutral-to-moderate conviction – neither outright bullish nor bearish. Investors tracking those names can find detailed analysis on their respective HDB stock page, INFY stock page, and WIT stock page.
For Shah's 25,500 target to materialise, the Nifty needs to hold support above 24,000 and show sustained buying breadth in smallcaps and pharma. A break below that level would weaken the case. Scheduled events such as the RBI's monetary policy decision and global central bank meetings could shift the macro backdrop.
The main risk to the bullish call is an earnings disappointment in pharma, where valuations have already re-rated. Adani stocks remain sensitive to news flow around debt levels and regulatory developments. Any adverse trigger in those names could spill into the broader market, contradicting Shah's optimistic scenario.
Shah's view represents one analyst's conviction. The market will test it against actual earnings and policy outcomes in the coming weeks. No date has been set for his next update.
Prepared with AlphaScala research tooling and grounded in primary market data: live prices, fundamentals, SEC filings, hedge-fund holdings, and insider activity. Each story is checked against AlphaScala publishing rules before release. Educational coverage, not personalized advice.