Diwali stock picks aiming for 15-20% returns around IT names are buzzing as Diwali approaches. The big question: can these bets survive AI narratives and lofty valuations into 2025? The chatter centers on high-return targets and names like Infosys and TCS, with a warning that large caps may be fairly valued and alpha could be scarce [1].
What the chatter says • Nifty IT bottom identified; AI advancements have plateaued, suggesting a slower near-term run for some IT bets [1]. • The conversation includes how to pick IT stocks in times of AI, with hands-on discussants like Kaynes and others weighing fundamentals against hype [2].
Caution and counterpoints • A stance that bets on the Indian stock market as a whole can be an anti-AI play, underscoring that Indian markets aren’t a pure proxy for Indian tech firms, and that heavyweight names in IT aren’t guaranteed outsized gains [3].
A practical risk-reward framework - Valuation sanity vs AI hype: even suggested large caps such as Infosys and TCS are described as fairly valued, which limits near-term alpha [1]. - Diversification away from IT-only bets helps manage tech-cycle risk and aligns with the “markets ≠ tech” caution [3]. - Stock-picking across names like Transrail Lightning, Skipper, JK Tyre, Bharat Electronics Ltd, Borosil Renewables, and Prostram can broaden setup, but requires discipline [1]. - Time horizon matters: Diwali-to-Diwali targets imply a tight window where risk controls are critical [1].
Bottom line: sustainable IT bets in 2025 hinge on grounded valuations, clear catalysts beyond AI hype, and disciplined risk checks.
References
User seeks Diwali stock picks with 15-20% return; suggests specific Indian names; discusses IT giants and others
View sourceInvested in Kaynes; bullish on it and others; asks method for picking IT stocks during AI era
View sourceUser argues betting Indian stocks is misguided; distinguishes Indian markets from IT; references NIFTY50 and Buffett; sarcastic post.
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