Investing for the long term is never about chasing noise—it’s about spotting strength before the crowd does. Despite short-term volatility, India’s equity story remains resilient, hopeful, and full of opportunity. Therefore, if you’re looking to build real wealth over the coming years, now may be the right time to focus on quality stocks with solid fundamentals.
Although the Indian stock market recently struggled to hold on to gains—even after a pro-growth Union Budget 2026 and a positive India–US trade deal—the bigger picture still inspires confidence. More importantly, experts believe the current phase rewards stock pickers, not index chasers.
So, which stocks truly deserve a place in your long-term portfolio? Let’s break it down.
Why the Indian Market Turned Volatile—Yet Hopeful
At first glance, the market reaction puzzled many investors. After all, the Union Budget 2026 clearly avoided populism and stayed focused on growth, infrastructure spending, and fiscal discipline.
However, a sudden increase in Securities Transaction Tax (STT) on F&O trades triggered a sharp selloff. As a result, panic briefly overshadowed policy positives.
Nevertheless, calm returned quickly.
In the following session, markets rebounded as investors reassessed the Budget’s long-term benefits. Meanwhile, on February 3, indices surged after the announcement of the India–US trade deal. Even though the next session saw muted movement, the message was clear: fundamentals matter more than headlines.
Consequently, experts now advise investors to shift focus toward earnings visibility, balance sheet strength, and valuation comfort.
Long-Term Investing Strategy: Quality Over Crowd
Rather than expecting a broad-based rally, market veterans recommend a smarter approach. Pick fundamentally strong companies across sectors and stay invested. Over time, this strategy has historically delivered superior returns.
Keeping this philosophy in mind, let’s explore the top long-term stock recommendations from leading market experts.
Rahul Ghose’s Top Long-Term Stock Picks (10 High-Conviction Ideas)
Rahul Ghose, Founder & CEO of Octanom Tech and Hedged.in, shares his long-term outlook.
1. City Union Bank Ltd – Consistent Growth, Strong Margins
- CMP: ₹292 | Target: ₹350 | Upside: ~20%
City Union Bank continues to deliver stable performance. While net interest income jumped 28% YoY, margins expanded to 3.89%. Moreover, loan and deposit growth remain healthy at 21%. Although provisions rose due to balance-sheet strengthening, the long-term outlook stays positive.
2. KEC International Ltd – Infrastructure Play With Strong Order Book
- CMP: ₹631.20 | Target: ₹830 | Upside: ~32%
Although Q3 numbers were modest, the transmission and distribution business stayed robust. More importantly, a ₹41,000 crore order book provides strong revenue visibility. Therefore, management’s 15% FY26 growth guidance appears achievable.
3. Affle 3i Ltd – Digital Advertising Growth Engine
- CMP: ₹1,650.30 | Target: ₹2,100 | Upside: ~27%
Affle continues to benefit from rising digital adoption. While emerging markets drive growth, deeper engagement in developed markets adds stability. Consequently, management expects strong organic revenue and EBITDA growth in the medium term.
4. Intellect Design Arena – Short-Term Pain, Long-Term Gain
- CMP: ₹797 | Target: ₹965 | Upside: ~21%
Although margins dipped due to front-loaded investments, these initiatives aim to build sustainable global revenue streams. Therefore, margins should gradually recover as expansion stabilizes.
5. Nestlé India – FMCG Giant With Volume Momentum
- CMP: ₹1,295.10 | Target: ₹1,500 | Upside: ~16%
Nestlé delivered strong volume-led growth. Even though margins softened due to higher investments, easing raw material costs and GST benefits should support profitability going forward.
6. Cholamandalam Investment & Finance – Reliable NBFC Growth
- CMP: ₹1,730 | Target: ₹1,900 | Upside: ~10%
Healthy AUM growth and improving cost of funds continue to support earnings. As a result, Chola remains a dependable long-term NBFC pick.
7. Blue Star Ltd – Cooling Demand With Margin Upside
- CMP: ₹1,884 | Target: ₹2,100 | Upside: ~12%
Despite weather-related headwinds, margin improvement is encouraging. Moreover, planned price hikes should offset rising input costs.
8. Bank of Baroda – PSU Bank With Stable Asset Quality
- CMP: ₹289.50 | Target: ₹320 | Upside: ~11%
While NIMs moderated slightly, lower provisions supported profit growth. Therefore, stable asset quality and credit growth keep the outlook constructive.
9. Dixon Technologies – Electronics Manufacturing Opportunity
- CMP: ₹11,680 | Target: ₹14,500 | Upside: ~24%
Short-term volume pressure exists; however, cost optimization and upcoming joint ventures strengthen long-term earnings potential.
Motilal Oswal’s High-Conviction Long-Term Stock Picks (5 Ideas)
Nandish Shah, AVP – PCG Research, Motilal Oswal Financial Services
10. Varun Beverages (VBL) – Refreshing Growth Ahead
- CMP: ₹439.05 | Target: ₹570 | Upside: ~30%
Although 2025 faced weather disruptions, capacity expansion and international scaling should revive growth. Consequently, earnings momentum may accelerate from 2026.
11. Bharat Electronics (BEL) – Defence Orders Fuel Visibility
- CMP: ₹429.65 | Target: ₹520 | Upside: ~21%
With a strong defence pipeline and export ambitions, BEL offers long-term stability and growth backed by government spending.
12. CAMS – Cash-Rich Fintech With Market Dominance
- CMP: ₹722.40 | Target: ₹840 | Upside: ~16%
Despite near-term pricing pressure, profitability rebounded strongly. Meanwhile, non-MF revenue growth adds diversification and resilience.
13. Syrma SGS Technology – High-Margin EMS Player
- CMP: ₹868.60 | Target: ₹1,000 | Upside: ~15%
Rising margins, a growing order book, and expansion into defence and automotive segments strengthen its long-term trajectory.
14. UltraTech Cement – Infrastructure-Led Growth Story
- CMP: ₹12,722 | Target: ₹14,200 | Upside: ~12%
With strong demand visibility, high capacity utilization, and controlled debt, UltraTech remains a core long-term infrastructure bet.
Final Thoughts: Is This the Right Time to Invest for the Long Term?
In conclusion, market volatility often creates opportunity. While near-term risks like geopolitical uncertainty and uneven earnings persist, India’s structural growth story remains intact.
Therefore, instead of timing the market, consider buying quality stocks on dips and holding them patiently. Over time, this disciplined approach can turn uncertainty into meaningful wealth creation.
📌 Disclaimer: This article is for informational purposes only and not investment advice. Please consult a certified financial advisor before making investment decisions.
Frequently Asked Questions: Long-Term Stocks to Buy in India
1. Why are Long-Term Stocks to Buy in India still attractive despite recent market volatility?
Long-Term Stocks to Buy in India remain attractive because short-term volatility rarely changes long-term fundamentals. While events like STT hikes or global uncertainty may shake markets temporarily, India’s strong economic growth, improving infrastructure, and rising consumption continue to support long-term wealth creation. Therefore, patient investors often benefit when they stay focused on fundamentals rather than fear.
2. How did Union Budget 2026 impact Long-Term Stocks to Buy in India?
Union Budget 2026 strengthened the outlook for Long-Term Stocks to Buy in India by prioritizing growth, capital expenditure, and fiscal discipline. Although the market reacted negatively to the STT hike on F&O initially, confidence returned as investors recognized the Budget’s long-term pro-growth intent. As a result, quality stocks regained attention.
3. Are Long-Term Stocks to Buy in India still worth considering after the India–US trade deal rally faded?
Yes, Long-Term Stocks to Buy in India remain compelling even after the post–trade deal rally cooled. While short-term excitement faded quickly, the agreement reinforced India’s global trade position. Consequently, companies with strong earnings visibility and global exposure stand to benefit steadily over time.
4. Why do experts recommend focusing on quality Long-Term Stocks to Buy in India instead of expecting a broad rally?
Experts advise focusing on quality Long-Term Stocks to Buy in India because markets are becoming more selective. Instead of all stocks rising together, companies with strong balance sheets, clear growth strategies, and consistent cash flows are likely to outperform. Hence, stock selection now matters more than market timing.
5. Which sectors dominate the best Long-Term Stocks to Buy in India right now?
The most promising Long-Term Stocks to Buy in India span banking, infrastructure, FMCG, defence, digital advertising, electronics manufacturing, and cement. This diversification reflects India’s broad-based economic growth. Moreover, sectoral balance helps investors manage risk while capturing multiple growth drivers.
6. How safe are banking and NBFC Long-Term Stocks to Buy in India in the current environment?
Banking and NBFC Long-Term Stocks to Buy in India appear relatively stable due to improving asset quality and controlled credit risk. Although margins may fluctuate, healthy loan growth and lower provisioning support earnings stability. Therefore, well-managed financial institutions remain strong long-term candidates.
7. Why are FMCG Long-Term Stocks to Buy in India still appealing despite margin pressure?
FMCG Long-Term Stocks to Buy in India remain attractive because volume growth, brand loyalty, and pricing power drive long-term returns. While margins may face temporary pressure from costs or investments, easing raw material prices and steady demand often restore profitability over time.
8. How do infrastructure and capital goods Long-Term Stocks to Buy in India benefit from government spending?
Infrastructure and capital goods Long-Term Stocks to Buy in India benefit directly from sustained government investment in roads, railways, defence, housing, and energy. As project pipelines expand, order books strengthen. Consequently, revenue visibility improves, making these stocks attractive for patient investors.
9. Are technology and digital-focused Long-Term Stocks to Buy in India suitable for conservative investors?
Technology and digital-focused Long-Term Stocks to Buy in India can suit conservative investors when chosen carefully. Companies with recurring revenues, strong client retention, and global exposure offer growth with relative stability. Therefore, they can complement traditional sectors in a balanced portfolio.
10. Why do experts suggest buying Long-Term Stocks to Buy in India during market dips?
Buying Long-Term Stocks to Buy in India during market dips allows investors to enter strong companies at better valuations. Although volatility can feel uncomfortable, it often creates opportunities. Over time, disciplined investing during corrections has historically delivered superior returns.
