The Indian stock market has underperformed its global peers this year, with benchmark indices Sensex and Nifty 50 remaining largely flat over the past 12 months. The subdued performance has been attributed to a confluence of global and domestic headwinds, including escalating trade tensions, higher US tariffs, geopolitical uncertainties, muted corporate earnings, and sustained foreign capital outflows.
However, analysts expect the second half of FY26 to offer a brighter outlook for equities. Key drivers include improving corporate earnings growth, a low interest rate environment, easing geopolitical concerns, and progress on trade and tariff resolutions. In addition, the ongoing festive season, aided by the recent GST rate cut and the possibility of a US-India trade deal, could provide a boost to consumer demand across categories.
Since last Diwali in October 2024, the Nifty 50 has delivered negligible returns. Against this backdrop, brokerage firm JM Financial has announced its Muhurat trading picks for Diwali 2025.
These stocks to buy include Maruti Suzuki India, Fiem Industries, Axis Bank, L&T Finance, Apollo Hospitals Enterprise, Lloyds Metals & Energy, among others. Here are Diwali picks for 2025.
Muhurat picks for Diwali 2025
Maruti Suzuki | Buy | Target Price: ₹19,000
Maruti Suzuki is expected to post strong Revenue and PAT CAGR of 18% and 23% over FY25-27E along with improvement in its RoCE and RoE to 17.7% and 18.4% in FY27. Maruti Suzuki share price valuation of 24x FY27E EPS seems reasonable considering expectation of robust earnings growth, JM Financial said. Maruti Suzuki is its top pick in the auto space and it has a ‘Buy’ rating on the stock, with Maruti Suzuki share price target of ₹19,000 apiece, valued at 28x FY27E EPS.
Fiem Industries | Buy | Target Price: ₹2,400
JM Financial recommends a ‘Buy’ on Fiem Industries shares with a target price of ₹2,400 as valuation of 16x FY27E EPS seems attractive given its earning is expected to clock a robust 20-22% CAGR over FY25- 27E along with RoE of 21%.
Axis Bank | Buy | Target Price: ₹1330
Axis Bank’s loan CAGR is estimated to be ~12% during FY25 – FY27E with average RoE of ~14% during FY26 and FY27E. Axis Bank share price trades at a relatively inexpensive valuation of ~1.4x FY27E BVPS. JM Financial maintains a ‘Buy’ rating on Axis Bank shares with a target price of ₹1,330, valuing the core bank at 1.7x FY27E BVPS.
IIFL Finance | Buy | Target Price: ₹600
Valuation comfort and earnings recovery would drive re-rating and make risk reward favourable. Continuous momentum in gold prices could result in upward revision of earnings estimates and quality of loan portfolio. It has a ‘buy’ call on IIFL Finance shares with a target price of ₹600 per share.
L&T Finance | Buy | Target Price: ₹300
L&T Finance is expected to sustain its growth momentum with healthy traction in Q2, followed by a strong acceleration in 2H, supported by festive season demand. The brokerage firm models a CAGR of 17% in the retail loan book over FY25-FY27E, and expects ROAs to structurally move above 2.7% due to better metrics of retail business. It values L&T Finance at 2.2x FY28E P/BV, giving it a target price of ₹300 per share.
Apollo Hospitals Enterprise | Buy | Target Price: ₹9,000
Apollo Hospitals Enterprise stock price is valued on a sum-of-the-parts (SOTP) basis, with a target price of ₹9,000 per share.
Lloyds Metals & Energy | Buy | Target Price: ₹1,680
JM Financial reiterates a ‘Buy’ call on Lloyds Metals shares with a target price of ₹1,680, based on 6.5x FY28E EBITDA for core iron ore + MDO business valued at 7x FY28E EV/EBITDA + CWIP of ₹11,000 crore.
Ratnamani Metals & Tubes | Buy | Target Price: ₹2,900
With a strong balance sheet and a diversified product offering in steel tubes and pipes, the company is well-positioned to take advantage of medium-term to long-term growth opportunities in the oil & gas and water sectors. JM Financial recommends ‘Buy’ on Ratnamani Metals shares with a target price of ₹2,900 apiece, valued at 25x FY28E EPS.
Brainbees Solutions | Buy | Target Price: ₹460
The brokerage firm assigns a ‘Buy’ rating to Brainbees Solutions shares with a target price of ₹460, valuing India Multichannel/ GlobalBees Brands/Others at 35x/30x/20x FY27E Pre-Ind AS adjusted EBITDA, respectively, while applying a 1.5x FY27E sales multiple to the International segment.
Anant Raj | Buy | Target Price: ₹844
The company plans to expand data center capacity from 28 MW to 63 MW by FY27 and 307 MW by FY32, targeting ₹1,200 crore and Rs.9,000 crore revenue, driven by digital growth and supportive policies.
Eureka Forbes | Buy | Target Price: ₹715
Eureka Forbes is expected to clock a PAT CAGR of 36% over FY2025-2027E. The stock trades at 36x FY2027 EPS. Eureka Forbes share price target is ₹715 apiece.
Astral | Buy | Target Price: ₹1,600
Astral is expected to clock a Revenue and PAT CAGR of 13% and 18% over FY25-28E. The brokerage firm values the business at 55x Sep’27E EPS to arrive at a price target of ₹1,600.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
