Stocks to buy before Election Results: Analysts recommend buying these 2 stocks, check targets and stop loss

On Wednesday, May 29, the Sensex fell 667 points on mixed global cues while the Nifty declined to 22,704. The 30-share BSE Sensex declined 0.89 per cent to settle at 74,502.90. 

The banking index Nifty Bank also fell by more than 1 per cent to close at 48,501, down 640 points or 1.30 per cent.

The midcap and smallcap stocks performed better compared to the large caps during the session on Wednesday.

However, analysts have suggested two stocks despite the market closed in red due to the anxiety of Lok Sabha election results and other global hues.

Sunny Agrawal of SBI Securities has chosen AB Capital and Nilesh Shah of Centrum Broking has chosen CIE Automotive to buy before the result of Lok Sabha Election 2024 scheduled on June 4.

Let's take a look at analysts' views on these stocks and their target price.

Aditya Birla Capital Ltd

Sunny Agrawal from SBI Securities has advised to buy Aditya Birla Capital Ltd (AB Capital) for one year. The target price will be Rs 300. The company belongs to the financial services sector. 

According to Agrawal, the asset quality of the company has improved over the last several quarters. Its portfolio is shifting towards the SME segment. 

"The company's risky portfolio is decreasing, due to which the asset quality will be maintained in the future. If interest rates are reduced in the coming time, then NBFCs will benefit in the coming time," said Agrawal.

On Wednesday, May 29, Aditya Birla Capital's stock closed at Rs 225.8 apiece, down 0.62 per cent on BSE.

CIE Automotive

Nilesh Shah of Centrum Broking has suggested buying CIE Automotive, a company in the automotive industry. The target price will be Rs 590 and Rs 650. A stop loss of Rs 510 should be kept, as per Shah.

"The stock has broken out of a six-month consolidation. The stock looks good on the technical chart. Momentum will be seen coming in the stock from here," Shah added.

On Wednesday, May 29, CIE Automotive's stock closed at Rs 539.2 each, down 0.45 per cent on BSE.