Speaking to ET Now, Baliga said the key question every investor must ask right now is how long the current conflict will last. “If your view is that it may not last too long, India would be in a much better position than what it was before,” he said, adding that any impact from rising oil and gas prices would likely be short-lived.
“I have been buying and I have been suggesting to my subscribers and clients to keep buying at every crack,” Baliga stated, signalling strong conviction in his outlook despite near-term turbulence.
“This could be a very good time to keep buying and cherry pick — especially when everything has fallen so much.”
Where Baliga is putting his money
Baliga’s buying interest spans a wide range of sectors. His current list includes auto and auto ancillaries, metals, pharma, specialty chemicals, FMCG, white goods, and infrastructure — reflecting a broad-based conviction that the Indian economy remains fundamentally sound.
On the metals front, he is particularly bullish on steel and aluminium. Tata Steel and Hindalco are top picks, with NALCO also on his buy list for investors with a slightly longer time horizon. However, he sounded a note of caution on Vedanta, Hindustan Zinc, and Hindustan Copper, suggesting these counters may have already peaked. “Anyone holding these stocks should look at booking profits on any 5–7% up move,” he said.
ETMarkets.comBiocon: The pharma breakout play
In the pharma space, Baliga singled out Biocon as his top pick, calling it one of the biggest beneficiaries in the sector going forward. The stock has a well-established technical barrier at ₹400, and Baliga believes a sustained breakout above that level could unleash significant upside. “Once it crosses ₹400, we should see a very good move higher,” he said.
Mastek: AI tailwind + order win
On the IT side, Baliga sees midcap companies as best-positioned to harness the AI opportunity — large enough to invest, nimble enough to move fast. Mastek fits this profile. The stock has fallen roughly 40% in six months, significantly underperforming peers. A fresh order win worth ₹1,000 crore — about 25% of its annual revenue — has injected fresh momentum.Baliga estimates the order win could take Mastek to ₹1,750–1,800, though he acknowledges a return to its earlier highs of ₹2,000–2,200 will take more time and execution. “It is quite natural that you will see a bounce back,” he noted, framing it as a tactical entry rather than a long-term rerate story just yet.
Why he is avoiding defence — for now
Despite the geopolitical backdrop creating a seemingly strong narrative for defence stocks, Baliga is keeping his distance — at least from an investment standpoint. He warns that sentiment-driven rallies in defence names could sharply reverse once a ceasefire or negotiations materialize. “Once we have a ceasefire, you will see a correction in defence,” he cautioned. For now, he treats the sector as a short-term trading bet, not a core portfolio holding.