Stocks to buy: As the domestic market sentiment remains fragile, with benchmark Sensex and the Nifty remaining range-bound, experts see sector and stock-specific opportunities across segments.
For example, brokerage firm Axis Securities has shared a list of 15 stocks that can give returns of up to 40% in the medium- to long-term. Besides, the brokerage firm remains overweight on BFSI, telecom, capital goods, healthcare, auto, power and energy, while maintaining a positive view on select discretionary and retail consumption plays.
Axis Securities prefers select capex-linked cyclical stocks, which, as per it, now offer attractive valuations and reasonable growth visibility. In the IT space, the brokerage firm is selective, while preferring midcap stocks from the sector.
Top stock picks for Sept 2026
Highlighting its top stock picks for September 2026, Axis Securities has suggested names from the large, mid and small-cap segments from financials, consumer staples, consumer discretionary, communication services, materials, and healthcare sectors.
Bharti Airtel | Target price: ₹2,530 | Upside potential: 40%
Varun Beverages | Target price: ₹530 | Upside potential: 32%
CCL Products (India) | Target price: ₹1,425 | Upside potential: 32%
ICICI Bank | Target price: ₹1,800 | Upside potential: 24%
Bajaj Finance | Target price: ₹1,305 | Upside potential: 23%
Dalmia Bharat | Target price: ₹2,260 | Upside potential: 22%
City Union Bank | Target price: ₹280 | Upside potential: 22%
Kotak Mahindra Bank | Target price: ₹500 | Upside potential: 19%
Eternal | Target price: ₹390 | Upside potential: 19%
Nestle India | Target price: ₹1,765 | Upside potential: 18%
LG Electronics India | Target price: ₹1,965 | Upside potential: 16%
Minda Corporation | Target price: ₹815 | Upside potential: 14%
APL Apollo Tubes | Target price: ₹2,500 | Upside potential: 12%
Healthcare Global Enterprises | Target price: ₹820 | Upside potential: 12%
Chalet Hotels | Target price: ₹1,000 | Upside potential: 11%
Stock market outlook
Axis Securities has increased its December 2026 Nifty target to 27,360 based on an earnings upgrade of 0.3% each in Nifty EPS for FY27 and FY28.
“While geopolitical tensions, crude oil volatility and currency movements may create near-term volatility, we increase our December 2026 Nifty target to 27,360, based on 19.5 times December 2027E earnings,'” Axis Securities said.
In a bull case, the brokerage believes Nifty may rise to 28,770, while in a bear case, the index may drop to 23,155 by the end of 2026.
“We remain constructive on Indian equities, supported by strong macroeconomic fundamentals, sustained government capital expenditure, GST 2.0 reforms and an improving corporate earnings cycle,” said the brokerage firm.
Axis expects Nifty earnings to grow at 13% CAGR over FY23–FY28, underpinning healthy medium-term market returns.
However, several key risks could derail the Indian stock market’s rise.
According to Axis Securities, escalation in the US-Iran conflict, a sharp jump in crude oil prices, rupee depreciation, US Treasury yields above 4.75%, renewed FII selling, weaker-than-expected Q2FY27 results, poor monsoon, and a slowdown in private consumption are the principal risks for the market.
Elevated valuations of mid- and small-caps also increase the risk of sharp stock-specific corrections, the brokerage firm noted.
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Disclaimer: This article is for educational purposes only and does not constitute investment advice. The views and recommendations expressed are those of individual analysts or broking firms, 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.
