Stock Picks for 2025: HUDCO to Prestige Estates — Bajaj Broking suggests THESE five stocks to buy for long-term | Stock Market News

Stocks picks for 2025: The Indian stock market continued to show momentum even though the indices experienced significant volatility in the calendar year 2024 due to geopolitical tensions around the world, global economic weakness, or elevated interest rates, among several other factors.

The markets witnessed support from the steady buying from Indian investors and the rise of the retail investor segment in the public market. At its current level enough although the index is witnessing a gradual recovery from its December losses, stock market experts remain cautiously optimistic about the Indian markets. 

Indian market outlook

On the Outlook of the Indian stock market, analysts from the brokerage firm Bajaj Broking said that the “buy on dips” strategy has proven effective in the Indian markets in recent years.

“The ‘buy on dips’ strategy has been effective in the Indian market in recent years, and we recommend continuing this approach by selectively accumulating quality stocks. The current corrective phase over the past two months presents a healthy opportunity to gradually build a long-term portfolio through staggered investments in high-quality stocks,” said the stock market analysts in a report. 

The brokerage also highlighted that sectors like IT and Realty performed really well this year. The IT sector returns crossed over 23 per cent, and the Realty returns surged 35 per cent. Adding to the overall market gains within the small-cap and mid-cap segments were infrastructure, healthcare, and real estate companies delivering good returns.

Looking ahead towards 2025, Bajaj Broking recommends — Banking, IT, Realty, Infrastructure, Healthcare, Building Materials (Cables, Wires, Tiles and Plywood), and the Tourism industry.

Bajaj Broking Stock Picks for 2025

Let’s take a look at the top five stocks for the New Year by the domestic brokerage Bajaj Broking for a 12-month period.

1. Prestige Estates Projects Ltd. (PRESTIGE): Current market price (CMP) at ₹1,697.45; Buy at ₹1,810 – ₹1,880; Target at ₹2,290; Potential Upside – 24 per cent.

The company’s management has projected approximately ₹24,000 crore in pre-sales for the financial year. In the first half of the financial year 2025, the company achieved presales of around ₹8,000 crore.

According to the brokerage, the management is confident in meeting their target and plans to launch major projects in the remaining quarters. These projects include Prestige Southern Star, Prestige City-Indirapuram, and Pallava Gardens.

The upcoming launches for the company are expected to have a Gross Development Value (GDV) of ₹52,000 crore, potentially resulting in pre-sales of around ₹20,000 to ₹22,000 crore. This aligns with the management’s pre-sale guidance and is likely to surpass levels during the current fiscal.

“The share price of Prestige Estate is at the cusp of breakout above the bullish flag formation signaling continuation of the up move and offers fresh entry opportunity,” said Bajaj Broking. 

2. Housing & Urban Development Corporation Ltd. (HUDCO): Current market price (CMP) at ₹234.75; Buy at ₹238 – ₹249; Target at ₹314; Potential Upside – 29 per cent.

Tailwinds are emerging from the recent PMAY-2 Housing Scheme, which would translate into disbursements of ₹750 billion to ₹1 trillion in the next three years alongside robust urban infra financing opportunities from NHAI projects announced by states recently alongside existing sanctions pipeline.

Bajaj Broking also highlighted the structural drivers of growth arising from vigorous leadership with further strengthening of human capital, incremental loan mix tilting towards high growth, high-yielding urban infra assets, and strong association with state agencies, leading to information asymmetry, according to the brokerage report.

“The stock has generated a breakout above the falling channel signaling resumption of the up move and offers fresh entry opportunity,” said the brokerage. 

3. Laurus Lab Ltd. (LAURUSLABS): Current market price (CMP) at ₹602.35; Buy at ₹555 – ₹575; Target at ₹710; Potential Upside – 26 per cent.

The brokerage firm said that the lab’s oncology sales were impacted by the high competition. However, the company expects a return to growth in this segment compared to the previous year.

The company’s management expects the growth in the FDF sales to be driven by increasing market share of existing products in the North American region, particularly those approved in the last two to three quarters, as per the report.

The second half of the year is expected to be driven by a strong order book and the delivery of anticipated projects.

“The share price of Laurus Lab is at the cusp of breaking above the rounding formation signaling resumption of the up move and offers fresh entry opportunity,” said Bajaj Broking. 

4. Himadri Speciality Chemical Ltd. (HSCL): Current market price (CMP) at ₹584.95; Buy at ₹525 – ₹545; Target at ₹687; Potential Upside – 28 per cent.

The company has acquired a 40 per cent stake in Invati Creations for a consideration of ₹45.16 crore. Invati is known for its expertise in engineering Lithium-ion electrode materials aimed at enhancing energy storage efficiency, increasing energy density, and prolonging battery life, all achieved through cutting-edge nanotechnology.

Additionally, the company is actively involved in research and development across multiple disciplines, including life sciences, where it tackles challenges and designs solutions using innovative molecule and nanotechnology approaches.

“The stock has generated a breakout above the supply line joining highs of CY07 and CY18 highlighting strength and extension of the up move thus offers fresh entry opportunity,” said the brokerage firm. 

5. ITD Cementation India Ltd. (ITDCEM): Current market price (CMP) at ₹584.95; Buy at ₹525 – ₹545; Target at ₹687; Potential Upside – 28 per cent.

The company has a pipeline of nearly ₹30,000 crore in projects at various stages, with ₹12,000 – ₹13,000 crore in bids already submitted. ITD Cementation also expects to secure new orders worth approximately ₹10,000 by the end of the financial year 2025. 

Order inflow for the six-month period and October stands at ₹3,850 crores, according to the brokerage report. The company management remains confident in achieving a revenue growth rate of 20 per cent to 25 per cent in the coming years. 

“The stock has generated a breakout above the bullish Cup & handle pattern in the long-term chart highlighting acceleration of the up move thus offers fresh entry opportunity,” said Bajaj Broking. 

Disclaimer: The views and recommendations provided in this analysis are those of individual analysts or broking companies, not Mint. We strongly advise investors to consult with certified experts, consider individual risk tolerance, and conduct thorough research before making investment decisions, as market conditions can change rapidly, and individual circumstances may vary.