Stocks to Buy: KFin Technologies, HAL Recommended by Angel One on September 11, 2025

On September 11, 2025, Osho Krishan, Senior Analyst at Angel One, recommended buying shares of KFin Technologies Ltd and Hindustan Aeronautics Ltd (HAL) as part of his stock picks for the day. This advice comes amid a positive market sentiment driven by optimistic India-US trade negotiations, anticipated U.S. Federal Reserve interest rate cuts, and recent reductions in India's consumption tax. Despite a slight dip in IT stocks, the broader Indian equity market showed resilience, with the Sensex climbing 153.82 points to 81,578.97 and the Nifty 50 gaining 34.15 points to 25,007.25 in early trading. The Nifty 50 has risen 1.6% over the past six sessions, positioning it at a critical technical juncture, as per Krishan’s analysis.

Market Context and Nifty 50 Outlook

The Indian stock market opened on a cautiously optimistic note on Thursday, September 11, 2025. While IT stocks experienced a decline, broader market gains were supported by positive developments in India-US trade talks, which have boosted investor confidence. The Sensex and Nifty 50 indices reflected this mixed sentiment, with modest gains in early trading. Over the past six sessions, the Nifty 50 has gained 1.6%, driven by factors such as India’s consumption tax cuts, expectations of a U.S. Federal Reserve rate cut, and improved trade relations with the U.S.

Osho Krishan, in his technical analysis, highlighted that the Nifty 50 is at a pivotal point, aligning with a descending trendline formed by recent highs of 25,669 and 25,153. He anticipates that a sustained move above the 25,000 level could trigger short covering, favoring bullish momentum. Key resistance levels to watch include 25,200–25,250, while support is expected around the bullish gap of 24,900, with further technical support at the 50-day and 20-day EMA intersection of 24,800–24,770. Krishan also noted thematic outperformances, suggesting investors focus on sectors likely to surpass broader indices.

KFin Technologies: A Promising Buy

KFin Technologies Ltd, a leading financial technology company, has been identified as a strong buy by Osho Krishan. The stock is currently undergoing a correction, characterized by lower lows and lower highs on the daily chart. However, recent trading sessions show signs of recovery, with the stock gaining momentum from an oversold condition and moving above the 20-day Exponential Moving Average (EMA). A breakout from a descending trendline further supports the potential for a relief rally in the near term.

Krishan recommends buying KFin Technologies around ₹1,100, with a stop loss at ₹1,050 and a potential upside target of ₹1,180–₹1,200. This recommendation is bolstered by the company’s strong fundamentals, including a market capitalization of ₹19,185 crore as of June 2025 and a robust return on equity (ROE) of 23.62% for the year ending March 31, 2025. KFin Technologies provides comprehensive services to mutual funds, corporations, and asset managers, positioning it as a leader in India’s financial services technology sector. Its recent revenue growth of 30.89% and a healthy dividend payout of 26.2% further enhance its appeal to investors.

Hindustan Aeronautics Ltd (HAL): A Strategic Investment

Hindustan Aeronautics Ltd (HAL), a key player in India’s aerospace and defense sector, is another stock recommended by Krishan for its favorable risk-reward profile. The stock has undergone significant consolidation near its 200-day Simple Moving Average (DSMA) over recent weeks, entering an oversold condition. However, recent trading sessions indicate renewed momentum, driven by short covering and supported by positive technical indicators, with the stock surpassing all major EMAs on the daily charts.

Krishan advises buying HAL shares in the range of ₹4,520–₹4,550, with a stop loss at ₹4,360 and a target price of ₹4,850–₹4,900. HAL’s market capitalization stands at ₹297,839 crore, with a price-to-earnings (P/E) ratio of 35.84 and a price-to-book (P/B) ratio of 8.19 as of September 2025. The company reported revenue of ₹30,980.95 crore and a net profit of ₹8,323.40 crore for the fiscal year 2025, reflecting strong financial performance. HAL’s order book, valued at ₹1.89 lakh crore as of March 2025, includes significant contracts for 156 Light Combat Helicopters and 240 Sukhoi-30 aircraft engines, underscoring its robust growth prospects.

Broader Market Dynamics

The recommendations for KFin Technologies and HAL align with broader market trends favoring sectors with strong fundamentals and growth potential. The anticipated U.S. Federal Reserve rate cut, expected to be 25 basis points at the September 17, 2025, meeting, is likely to stimulate global investment, benefiting Indian companies with export-oriented businesses like HAL. Similarly, India’s consumption tax cuts have boosted investor sentiment, particularly for financial services firms like KFin Technologies, which cater to the growing digitalization needs of the financial sector.

The positive sentiment surrounding India-US trade negotiations further enhances the outlook for both companies. HAL, with its focus on defense manufacturing, benefits from government initiatives to promote indigenous production, while KFin Technologies is well-positioned to capitalize on the increasing demand for technology-driven financial services in India and abroad. These factors, combined with technical breakouts in both stocks, make them attractive short-term investment opportunities.

Technical Analysis and Investment Strategy

For KFin Technologies, the breakout above the 20-DEMA and the descending trendline signals a potential relief rally, with a target of ₹1,180–₹1,200. Investors should monitor the stop-loss level of ₹1,050 to manage risks, as a breach could indicate continued correction. HAL’s technical setup is equally compelling, with its move above major EMAs and oversold condition suggesting a short-term upside to ₹4,850–₹4,900. The stop-loss at ₹4,360 provides a safety net for investors.

Both stocks benefit from favorable risk-reward ratios, as highlighted by Krishan. Investors should also consider broader market trends, including the Nifty 50’s potential breakout above 25,000, which could drive further momentum in these stocks. However, caution is advised, as volatility in IT and defense sectors could impact short-term performance. Consulting with certified financial advisors before making investment decisions is recommended to align with individual risk profiles.

Company Fundamentals and Market Positioning

KFin Technologies, incorporated in 2017, is a mid-cap company with a strong presence in India’s financial services sector. Its services include transaction processing, customer onboarding, and data analytics for mutual funds and corporate issuers. The company’s revenue grew to ₹1,055.50 crore in 2025, with a net profit of ₹325.55 crore, reflecting a 23.24% ROE. Its debt-free status and consistent dividend payouts make it a stable investment option.

HAL, a large-cap company founded in 1963, is a cornerstone of India’s defense sector, manufacturing aircraft, helicopters, and engines for the Indian armed forces and other clients like ISRO. Its revenue of ₹30,980.95 crore and net profit of ₹8,323.40 crore in 2025, coupled with a 23.91% ROE, highlight its financial strength. The company’s recent technology transfer agreement with ISRO for the Small Satellite Launch Vehicle further enhances its growth potential.

Investor Considerations

Investors considering KFin Technologies and HAL should weigh their strong fundamentals against market volatility. KFin’s leadership in financial technology and HAL’s dominance in aerospace and defense make them compelling picks for short-term gains, as suggested by Krishan. However, monitoring technical levels and broader market developments, such as U.S. rate cuts and India-US trade talks, is crucial for informed decision-making.