Motilal Oswal’s Top 8 Stock Picks for 2025: Brokerage sees up to 79% return potential for long-term investors

The stocks picked by Motilal Oswal for investors include Lodha Developers, Bharat Electronics, DLF, Coromandel International, Gravita India, LT Foods, Equitas Small Finance Bank, and Restaurant Brands Asia.

 

Defence PSU Bharat Electronics Ltd (BEL) delivered a stronger-than-expected performance in the second quarter, surpassing brokerage estimates on revenue, EBITDA, and PAT, driven by robust execution and better-than-anticipated margins. So far, the company has received 11 emergency procurement orders worth around Rs 1,300–1,500 crore, while additional orders worth nearly Rs 2,000 crore are in the advanced approval stage. At present, BEL (BHE) is trading at 51.2x / 43.2x / 37.2x its estimated FY26E/FY27E/FY28E EPS, respectively. Target price: Rs 500 with an upside potential of 17 per cent. 

 

Equitas Small Finance Bank (EQUITASB) returned to profitability in the second quarter of FY26 after reporting a loss in the previous quarter. While margins came under pressure due to a higher mix of microfinance (MFI) loans, the bank expects its net interest margin (NIM) to improve in the third and fourth quarters of the fiscal year. The brokerage has made minor revisions to its earnings estimates and now projects the bank’s return on assets (RoA) to reach 1.0 per cent and return on equity (RoE) to rise to 10.5 per cent by FY27E. Target price is Rs 70 with an upside potential of 23 per cent.

 

LT Foods reported a strong performance in the first half of FY26 (1HFY26), supported by robust growth in both domestic and international markets. The company expects this momentum to continue, driven by four key factors — strong demand in India, rising global consumption, expansion through new production facilities and partnerships, and the growing global acceptance of basmati rice. According to company estimates, revenue, EBITDA, and adjusted PAT are projected to grow at a CAGR of 16 per cent, 19 per cent, and 22 per cent, respectively, during FY25–FY28. Target price is Rs 550 with an upside potential of 31 per cent.

 

Housing demand in Gurugram has remained strong, supported by rising interest in premium residential options for both ownership and rental purposes. Quarterly sales were largely driven by the launch in Mumbai and additional bookings from the Dahlias project, which together contributed about 37–40 per cent of total pre-sales, with Mumbai alone accounting for nearly 50 per cent. Collections saw a slight dip due to delays in construction milestones, but the company expects momentum to pick up again in the second half of FY26 as key project milestones are achieved. Target price: Rs 1,002 with an upside potential of 33 per cent.

 

The brokerage believes that Coromandel International is well-positioned to sustain its growth momentum through FY26, supported by favourable market conditions and rising demand for NPK fertilizers as part of balanced nutrient management. The company has also witnessed strong growth in its crop protection segment, aided by synergies from the NACL consolidation. Coromandel continues to strengthen its export portfolio through capacity expansion and the development of new molecules, which are expected to drive future earnings. Target price is Rs 2,800 with an upside potential of 32 per cent.

 

Gravita India, a leading player in India’s fast-growing recycling industry, is well-positioned to deliver strong earnings growth over the medium term. The brokerage highlights three key drivers behind this outlook — strategic capacity expansion across verticals and geographies, an increasing focus on value-added products, and a rise in the availability of domestic scrap. The combination of these factors is expected to help Gravita sustain steady and robust financial performance in the coming years. Target price: Rs 2,200 | Upside potential: 32 per cent

 

 

 

 

Lodha Developers has maintained consistent performance across its key operational metrics. Positioned to leverage growth and consolidation opportunities, the company is expected to sustain operational strength and steady momentum in the coming quarters. At its flagship Palava project, Lodha holds a development potential of around 600 million sq ft, part of which is expected to be monetised through industrial land sales. The company also plans to monetise about 250 million sq ft of residential land over the next three decades, with an estimated value of approximately Rs 63,700 crore. Target price: Rs 1,888 | Upside potential: 58 per cent.

 

Restaurant Brands Asia (RBA) reported a 16 per cent year-on-year revenue growth from its India business, in line with expectations. The growth was primarily driven by a 15 per cent expansion in store count, along with a 2.8 per cent rise in same-store sales, supported by strong demand across sales channels and value-driven offerings. The company’s performance in October was particularly strong, aided by the GST rate reduction and robust festive-season demand. Management remains confident that RBA will sustain its growth momentum and deliver another solid quarter in Q3FY26. Target price: Rs 78 | Upside potential: 79 per cent