Long-Term Stock Picks: Expert Recommends 5 Shares Amid Market Volatility
The Indian stock market faces significant pressure this week. Multiple factors contribute to the current downturn. Global trade war concerns have intensified following aggressive statements from US President Donald Trump regarding Greenland. Disappointing third-quarter earnings reports from many companies add to the gloom. A consistent outflow of foreign capital further weakens market sentiment.
Market indices reflect this negative trend clearly. The Sensex has fallen more than 750 points across two consecutive trading sessions. The Nifty 50 index has dropped below the 25,450 level. Experts anticipate continued weakness in domestic markets in the near future. Global economic headwinds and caution ahead of the Union Budget 2026 are key reasons for this outlook.
Expert Analysis on Market Conditions
Prashanth Tapse, Senior Vice President of Research at Mehta Equities, shared his perspective. He noted that market sentiment remains fragile due to ongoing uncertainty. President Trump's tariff threats concerning Greenland create apprehension. The upcoming US Supreme Court decision on tariff policy adds another layer of unpredictability. Sustained selling by Foreign Institutional Investors (FIIs) increases the pressure on Indian equities.
"Volatility is expected to persist in the coming sessions," Tapse stated. "Markets will likely remain rangebound unless the Nifty decisively crosses the 25,851 mark." Given this environment of short-term turbulence, Tapse advocates a specific strategy. He recommends buying high-quality stocks with a long-term perspective.
Five Stock Recommendations for 12-18 Months
Tapse has identified five stocks for investors with a 12 to 18-month horizon. He anticipates healthy double-digit upside potential in these companies. Here is a detailed look at each pick.
Belrise Industries
Previous Close: ₹165.83 | Target Price: ₹215 | Upside Potential: 30%
Belrise Industries operates as a differentiated auto-component manufacturer. The company boasts a diversified product portfolio. It covers metal forming, polymer systems, suspension components, and mirror systems. This diversity allows for higher content per vehicle and strengthens customer relationships.
The company maintains long-standing ties with leading Original Equipment Manufacturers (OEMs). Its clients span two-wheelers, passenger vehicles, and commercial vehicles. These relationships provide strong revenue visibility and scale benefits. Structural trends like vehicle premiumization and localization support its medium-to-long-term growth.
Belrise focuses on backward integration and operational efficiency. Disciplined capital allocation supports margin stability and improves return ratios. "With ongoing capacity expansion and a robust balance sheet, the company is well-positioned for long-term earnings growth aligned with the auto-component sector," Tapse explained.
Billionbrains Garage Ventures (Groww)
Previous Close: ₹161.27 | Target Price: ₹200 | Upside Potential: 24%
Groww stands to benefit from a major structural shift in India. Household savings are increasingly moving toward financial assets. The platform enjoys strong brand recall among users. Its intuitive, digital-first interface and expanding product suite drive rapid user acquisition. Groww offers equities, mutual funds, ETFs, and credit products.
The company specifically targets younger, first-time investors. This focus provides a long runway for future monetization through cross-selling and premium services. As operating leverage improves, rising revenue per customer and cost discipline should pave a clear path to profitability.
"With scalable technology, strong execution, and favourable regulatory trends, Groww offers a compelling long-term growth story aligned with India's financialization," said Tapse.
Tenneco Clean Air India
Previous Close: ₹514.05 | Target Price: ₹635 | Upside Potential: 24%
Tenneco Clean Air India is a market leader in emission control solutions. It supplies highly engineered, technology-intensive products to Indian and global OEMs. Strong global parentage and long-standing customer relationships support its business.
The company's diversified portfolio of proprietary products positions it well. It benefits from structural trends like stricter emission norms and vehicle premiumization. A growing OEM customer base adds to its prospects. The auto components sector is expected to outpace overall auto industry growth.
Tenneco capitalizes on rising demand for SUVs, electric vehicles, and hybrid vehicles. "Its innovation-led strategy, leveraging global R&D capabilities, underpins sustained growth and improving profitability over the long term," Tapse pointed out.
Bharti Airtel
Previous Close: ₹2,010 | Target Price: ₹2,400 | Upside Potential: 19%
Bharti Airtel remains well-positioned for steady long-term earnings growth. The company holds a strong market position across India, Africa, and enterprise segments. Industry consolidation supports more rational competition and pricing discipline in the telecom sector.
Periodic and calibrated tariff hikes are expected to structurally lift Average Revenue Per User (ARPU). This should translate into sustained revenue growth and operating leverage. Continued investments in 5G, network quality, and digital platforms strengthen customer loyalty and reduce churn.
"Airtel's diversified revenue mix, improving free cash flow, and deleveraging trajectory enhance balance sheet strength. Rising data consumption and monetisation of digital services are key drivers," Tapse noted.
Mahindra and Mahindra
Previous Close: ₹3,657.40 | Target Price: ₹4,200 | Upside Potential: 15%
Mahindra and Mahindra (M&M) is poised for long-term growth. The company enjoys leadership in tractors and SUVs. Strong brand equity and deep penetration in both rural and urban markets are significant advantages.
Structural tailwinds support sustained demand. These include rising rural incomes, increased infrastructure spending, and a growing preference for utility vehicles. M&M's focus on premium SUVs and new platform launches enhances margin visibility. In the tractor business, favourable agricultural fundamentals and technology-led differentiation continue to benefit the company.
M&M's strategic push into electric vehicles through dedicated platforms and partnerships provides optionality for future growth. "A strong balance sheet, improving return ratios, and a diversified business portfolio underpin a resilient long-term investment thesis for Mahindra," Tapse concluded.
Market conditions remain dynamic. Investors should consider their own financial goals and risk tolerance. Consulting with certified financial experts before making any investment decisions is always advisable.
