A brokerage firm recommends five Indian stocks—REC, Sircar SGs, Tata Consumer, LT Foods, and HDFC Bank—for potential gains despite market downturns. Each company is highlighted for strong financial performance, growth prospects, and target prices set by experts.

Early monsoon and unseasonal rainfall in India have impacted beverage sales for major companies like Coca-Cola, PepsiCo, and Tata Consumer Products, affecting both cola and milk-based drinks. Factors such as early monsoons, geopolitical conflicts, and local brand competition have contributed to reduced sales and growth challenges.

Nestle India, Tata Consumer, and Colgate reported weak Q1FY26 results, with declining margins and sales, contributing to a 4% drop in the NIFTY FMCG index. The sector faces investor pessimism as key players like Hindustan Unilever and ITC also saw corrections. Companies cited higher operational costs, commodity price pressures, and competitive headwinds as challenges, though some expect recovery in the second half of the year.

The Indian stock market showed a positive movement, recovering from recent losses as several companies reported profit growth. Tata Consumer, Dr Reddy's, Bajaj Housing Finance, and Infosys saw increased net profits, while Inox Wind and IndusInd Bank announced significant financial initiatives.

Meesho Mall has partnered with Tata Consumer Products and Kenvue India to expand access to daily essentials in Tier-2+ cities across India, offering products like Tata Tea, Johnson’s Baby, and Stayfree to a growing digital-first consumer base.