Best stocks to trade today: Expert Raja Venkatraman's recommendations for 13 June

In this article, we shall showcase some hidden gems that we can take advantage of as the market is currently undergoing some active buying, combined with the Q4 result season underway. The aim is to consider multiple factors that we can combine to give some meaningful returns in the next few weeks. The factors that we have considered are as mentioned below:

Analyse fundamentals: Look for companies with strong financial metrics, such as consistent revenue growth, high profit margins, low debt-to-equity ratios, and a healthy return on equity (RoE). These indicators reflect a company's financial health and operational efficiency.

Explore emerging sectors: Focus on industries with high growth potential, such as renewable energy, biotechnology, or artificial intelligence. Companies in these sectors often have untapped opportunities.

Also Read: Gold is back under pressure after a stunning surge. What’s driving the dip?

Study management and innovation: Assess the company's leadership, business model, and innovation capabilities. Strong management and unique products or services often drive long-term success.

Here are two stocks to buy as recommended by Raja Venkatraman of NeoTrader for Friday, 13 June

Nelco Ltd (NELCO Cmp 1,054.50)

Buy CMP and dips to ₹970 | Stop ₹940 | Target ₹1,185-1,250

NELCO Ltd, part of the Tata group, stands as a niche player in India's expanding digital infrastructure landscape, specialising in satellite communication and managed network services. The company’s positioning aligns well with India’s growing demand for remote and enterprise connectivity, but its Q4 FY25 financial performance has raised some concerns.

However, the prices started bottoming out in February this year, and the prices slipped into consolidation and started generating some demand for the last few months. The steady buying at lower levels and the higher highs that formed indicate that the upward traction in the counter can continue. The last few months have been quite volatile as the stock price trends have been facing bearish momentum right from July 2024.

The prices hit some major supports around 800 levels, where it began to show some strength and started producing a positive divergence. The divergence was followed by some strong tailwind that has now emerged in the form of a breakout. Now with some fresh momentum infused and also supported by robust volumes not seen in the last few days the future augurs well for the prices. Considering a low-risk scenario, we can consider this counter as a good play from a short-term investment perspective.

Strategically, Nelco has made efforts to expand through integrated service offerings, cybersecurity solutions, and managed connectivity, but this quarter’s poor financial performance highlights an apparent gap between vision and execution. However, an early entrant into the satellite services and its affiliation with the Tata group, providing both credibility and potential synergies with related entities.

For investors, Nelco may represent a high-risk, high-reward proposition. It could appeal to those seeking thematic exposure to digital infrastructure and satellite technologies. Future quarters will be pivotal—Nelco must demonstrate operational turnaround, improved cost control, and the ability to exploit sector momentum to reassert its investment appeal.

Also Read: GE Vernova's impressive turnaround has stretched the stock's valuation

As negative concerns seem to be getting absorbed, we can now look for some upward bias to unfold. Look to go long above ₹1,130 and dips to ₹970 with a stop at ₹940 for a target of ₹1,185 and ₹1,250.

DCM Shriram Ltd (DCMSHRIRAM Cmp 1,125.10)

Buy CMP and dips to ₹1,090 | Stop ₹1,060 | Target ₹1,225-1,295

DCM Shriram Ltd, a diversified conglomerate with interests spanning chemicals, agri-inputs, sugar, ethanol, and building systems, continues to demonstrate resilience amid a volatile macroeconomic environment. The company’s Q4 FY25 results reflect a healthy year-on-year performance, though sequentially, there are signs of margin pressure. For the quarter ended March 2025, DCM Shriram reported total revenue of ₹3,019.32 crore, marking a 19.28% increase year-on-year. Operating profit stood at ₹291.06 crore, up 57.36% on-year, while net profit rose 51.88% to ₹178.91 crore. However, on a quarter-on-quarter basis, both revenue and profitability declined, indicating near-term headwinds in certain segments.

Strategically, DCM Shriram is well-positioned in emerging sectors like green energy and ethanol blending. Its ethanol capacity, supported by multi-feedstock distilleries, aligns with India’s biofuel policy and offers long-term growth potential. The chemicals segment, particularly caustic soda and hydrogen peroxide, benefits from industrial demand and backward integration.

The charts clearly demonstrate that over the last few weeks, there has been some steady improvement in volumes and got the boost last week from the positive Q4, which came out of its narrow range that had kept the prices suppressed. We can note that on higher time frames, the selling intensity had begun to wear off, and now the Relative Strength Index (RSI) has moved above 40, indicating that momentum is calling for a rebound from lower levels. Considering the setup and encouraging news flow, we can look at a buying opportunity.

As we look into the future from an investment perspective, DCM Shriram offers a balanced mix of stability and growth. It may appeal to those seeking exposure to India’s rural economy, green energy transition, and industrial manufacturing. While not a high-beta stock, it provides consistent returns with a strong dividend track record and prudent capital allocation. In conclusion, DCM Shriram’s Q4 FY25 results reinforce its position as a fundamentally sound and strategically diversified enterprise.

Also Read: As India switches gears to renewable energy, these five switchgear stocks may benefit

With a positive outlook unfolding, we can look at how to participate on the long side by initiating a long at CMP and dips to ₹1,070, stop ₹1,050, target ₹ ₹1,225-1,295.

Raja Venkatraman is co-founder, NeoTrader. His Sebi-registered research analyst registration no. is INH000016223.

Investments in securities are subject to market risks. Read all the related documents carefully before investing. Registration granted by Sebi and certification from NISM in no way guarantees performance of the intermediary or provide any assurance of returns to investors.

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 making any investment decisions.