Top Short-Term Stocks To Buy In 2023
If you are an investor who does not like to hold their investments for a long period, this article is for you. Your investment is short-term if you keep it for less than 12 months. After selling it, you make short-term capital gains. One can reinvest these gains in stocks from the NIFTY 100 companies list. Even though the stocks from the NSE 100 stock list or the NIFTY fifty stock list are considered to be risky forms of short-term investment, according to some financial experts, you may gain a good return. Since the stock market is volatile, tools like technical analysis can help you with short-term investments. A few stocks in the NIFTY 100 companies list may give you good short-term and long-term returns. You can detect these stocks with proper research and make your short-term returns stand out.
What Sectors to Consider for Short-Term Investment?
A few sectors whose stocks from the NIFTY fifty stock list or NSE 100 stock list may prove to be an excellent short-term investment are:
- Pharmaceutical Sector: There are many factors supporting the growth of pharmaceutical sector companies from the NIFTY 100 companies list. The industry is trying to develop its system with unique features like early detection of illnesses, better diagnosis, etc. It all aims to create a healthy environment for the population of India.
- Banking Sector: The banking sector of our country has seen influential growth in the past few years. They have undergone a lot of changes and brought a lot of advancement. Many banks from the NIFTY 100 companies list make good revenue and are a choice of many investors. Historically, many banking stocks have performed well during bad economic conditions. This is one of the reasons why many investors think of opting for these stocks. For example, SBI stocks have an annual net profit margin of 11.49%, and HDFC Bank stocks have a net profit margin of 22.96%.
- Technology Sector: This sector has been growing with the rapid technological takeover. With the evolution of new technologies and inventions, these industries have been increasing their impact on our daily lives a lot more than we think. Few stocks from this sector’s NIFTY 100 companies list may also show up as good short-term investments. Tata Consultancy Services’ stocks have a net profit margin of 23.81%, and Wipro has a net profit margin of 32.75%.
Top Stocks To Buy for Short-Term Investment
The NSE 100 stock list and the NIFTY fifty stock list have many shares with great potential. However, not all of them are good for the short term. Here are certain stocks that you can invest in for the short term in 2023.
- Brightcom Group: The Brightcom Group comprises Ad-tech, IoT, and New Media-based businesses worldwide. Clients include some of the best blue-chip advertisers like Airtel, British Airways, Hyundai Motors, Coca-Cola, ITC, ICICI Bank, Maruti Suzuki, Qatar Airways, Samsung, Star India, Unilever, and Viacom among others. Some of their publishers include LinkedIn, Meta, Twitter, MSN, and Yahoo. As of 10th May 2023, Brightcom Group stock price has seen a 52-week high of INR 102.40 and a 52-week low of INR 12.
- Geojit Financial Services: Geojit Financial Services is one of India’s leading investment services companies that’s been in the market for over 30 years. With over 500 branches and 12.8 lakh customers, they hold a strong presence in India as well as the Gulf Cooperation Council countries. The company mainly aims at innovating and making markets accessible to investors worldwide. As of 10th May 2023, Geojit Financial Services stock price has seen a 52-week high of INR 71.90 and a 52-week low of INR 39.15.
- ONGC: The Oil and Natural Gas Corporation Limited (ONGC) is India’s largest crude oil and natural gas company with its headquarters located in Dehradun. Crude oil is the raw material used by companies like BPCL, HPCL, IOC, and MRPL to produce petroleum products such as Petrol, Kerosene, Diesel, Cooking Gas, etc. As of 10th May 2023, the ONGC stock price has seen a 52-week high of INR 179.80 and a 52-week low of INR 119.85.
How To Get Started With Short-Term Investments?
You can follow these steps to get started with short-term investing in stocks from the NSE 100 stock list:
- Decide The Type of Trader You Want to Be: Based on the time horizon and your risk appetite, choose if you want to be a day trader, swing trader, or scalper. You will be a day trader if you extend your trade to a day, a swing trader if you invest for weeks or months, and a scalper if you choose to finish your investment in a few seconds or minutes.
- Do Proper Research: Carry out an adequate amount of research on the stocks of the NIFTY 100 companies list or other lists and decide which one is suitable for you. Your choice of stocks would depend on several factors, including the type of trader you choose to be.
- Open A Trading Account and Start Investing: After choosing the stocks you want to invest in, open a trading account and start your investment activities. You can always take the help of financial advisers in case you need help at any step.
Short-term investments can be risky, but also profitable. Look at the transaction charges before choosing a broker to open your trading account. Do your technical analysis well and check the current economic conditions. Short-term investing depends on market volatility as the investments are not held for a very long time.
If you need better assistance with short-term investments, visit Piramal Finance. This online platform is what you need to learn everything about relevant developments in the world of finance. For information on financial matters or about personal loans, credit cards, and financial management, check out the blogs on our website.
Also Read: Top Long-Term Stocks to Buy In 2023
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