Stocks to buy for the long term: The Indian stock market is under pressure due to concerns over a global trade war after US President Donald Trump’s aggressive stance on Greenland, unimpressive Q3 earnings, and relentless foreign capital outflow.
The Sensex has declined over 750 points in two consecutive sessions, including today, while the Nifty 50 has dropped below 25,450.
Experts expect domestic market sentiment to remain weak in the near term due to global headwinds and caution ahead of the Union Budget 2026.
Prashanth Tapse, Senior VP (Research), Mehta Equities, pointed out that sentiment remains fragile amid uncertainty over President Donald Trump’s tariff threats regarding Greenland and ahead of the US Supreme Court’s decision on the tariff policy, with sustained FII selling adding to the pressure.
“Volatility is expected to persist, with markets likely to remain rangebound unless Nifty decisively crosses the 25,851 mark,” said Tapse.
Tapse recommends buying high-quality stocks for the long term, given the market’s short-term volatility.
He recommends the following five stocks for a 12-18 month timeframe, anticipating healthy double-digit upside potential in them. Take a look:
Stock picks for the long term
Belrise Industries | Previous close: ₹165.83 | Target price: ₹215 | Upside potential: 30%
Belrise Industries is a differentiated auto-component manufacturer with a diversified product portfolio spanning metal forming, polymer, suspension, and mirror systems, enabling higher content per vehicle and customer stickiness.
The company enjoys long-standing relationships with leading OEMs across two-wheelers, passenger vehicles, and commercial vehicles, providing revenue visibility and scale benefits.
Structural tailwinds from vehicle premiumization, localisation, and increasing regulatory complexity support medium-to-long-term growth.
Belrise’s focus on backward integration, operational efficiencies, and disciplined capital allocation underpins margin stability and improves return ratios.
“With ongoing capacity expansion and a strong balance sheet, the company is well positioned to compound earnings in line with the auto-component sector’s structural growth over the long term,” said Tapse.
Billionbrains Garage Ventures (Groww) | Previous close: ₹161.27 | Target price: ₹200 | Upside potential: 24%
Groww is well-positioned to benefit from the structural shift in India’s household savings toward financial assets.
The platform’s strong brand recall, intuitive digital-first interface, and expanding product suite across equities, mutual funds, ETFs, and credit drive rapid user acquisition and rising engagement.
Groww’s focus on younger, first-time investors provides a long runway for monetisation through cross-selling and premium offerings.
As operating leverage plays out, improving revenue per customer and cost discipline should support a clear path to profitability.
“With scalable technology, strong execution, and favourable regulatory tailwinds supporting capital market participation, Groww offers a compelling long-term growth opportunity aligned with India’s deepening financialization trend,” said Tapse.
Tenneco Clean Air India | Previous close: ₹514.05 | Target price: ₹635 | Upside potential: 24%
Tapse pointed out that Tenneco Clean is a market-leading supplier of highly engineered, technology-intensive emission control solutions to Indian and global OEMs, supported by strong global parentage and long-standing customer relationships.
The company’s diversified portfolio of proprietary products positions it well to benefit from structural tailwinds such as stricter emission norms, vehicle premiumisation, and a growing OEM customer base.
With the auto components sector expected to outpace overall auto industry growth, Tenneco is capitalising on rising demand for SUVs, EVs, and hybrid vehicles.
“Its innovation-led strategy, leveraging the Tenneco Group’s global R&D capabilities, underpins sustained growth, improving profitability, and efficient capital utilisation over the long term,” said Tapse.
Bharti Airtel | Previous close: ₹2,010 | Target price: ₹2,400 | Upside potential: 19%
According to Tapse, Bharti Airtel remains well-positioned to deliver steady earnings growth over the long term.
The healthy outlook is driven by its strong market position across India, Africa, and enterprise segments.
The company is benefiting from industry consolidation, which supports rational competition and pricing discipline.
Periodic and calibrated tariff hikes are expected to structurally lift ARPU, translating into sustained revenue growth and operating leverage.
Continued investments in 5G, network quality, and digital platforms strengthen customer stickiness and reduce churn.
“Airtel’s diversified revenue mix, improving free cash flow generation, and deleveraging trajectory enhance balance sheet strength. With rising data consumption and monetisation of digital services,” said Tapse.
Mahindra and Mahindra | Previous close: ₹3,657.40 | Target price: ₹4,200 | Upside potential: 15%
Tapse said Mahindra and Mahindra is well-positioned for long-term growth, backed by leadership in tractors and SUVs, strong brand equity, and deep rural and urban market penetration.
Structural tailwinds from rising rural incomes, infrastructure spending, and preference for utility vehicles support sustained demand.
The company’s focus on premium SUVs, new platform launches, and disciplined capital allocation enhances margin visibility.
In tractors, M&M continues to benefit from favourable agri fundamentals and technology-led differentiation.
Its strategic push into electric vehicles through dedicated platforms and partnerships provides optionality for future growth.
“A strong balance sheet, improving return ratios, and diversified business portfolio underpin a resilient long-term investment thesis,” said Tapse.
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Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of the expert, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
