As investors enter Samvat 2083, SBI Securities is betting on companies positioned to benefit from India’s infrastructure and manufacturing push, rising commodity-market participation and expanding domestic demand. Its Diwali stock picks span 11 companies across sectors, with key investment themes including capacity additions, strong order books, operating leverage, and improving margins.
The brokerage sees opportunities in established names such as Tata Steel and Indian Hotels, as well as smaller companies operating in defence electronics, smart metering and industrial automation. Here are its stock recommendations and target prices.
Tata Steel’s integrated operations and captive access to iron ore and part of its coal requirements provide a cost advantage. The company plans to increase its Indian steel capacity from 27.4 million tonnes in FY26 to 40 million tonnes by FY31. SBI Securities also expects higher domestic steel prices to offset rising input costs, supporting earnings. Revenue, EBITDA and profit are estimated to grow at CAGRs of 8.3 percent, 17.6 percent and 36 percent, respectively, over FY26–28.
SBI Securities sees Indian Hotels benefiting from its strong brands, premium room rates and expansion plans under its Accelerate 2030 strategy. The company aims to operate more than 700 hotels and generate consolidated revenue of over Rs 15,000 crore by 2030. Strong Q2FY27 performance, higher occupancy and an upward revision in FY27 revenue growth guidance to 15–17 percent further support the outlook.
MCX’s dominant position in commodity derivatives, with around 99 percent market share, is its key advantage. SBI Securities expects rising retail participation and sustained activity in bullion and energy contracts to support trading volumes. Its in-house trading platform has also helped improve operating leverage, with EBITDA margins expanding to around 72 percent in FY26. The brokerage expects revenue and profit to grow at around 24 percent and 25 percent CAGR, respectively, over FY26–28.