If you are planning to invest in the stock market for the long term, several sectors offer strong growth potential.
These include pharmaceuticals, cement, banking, consumer goods, and chemicals.
Leading brokerage firms like Antique, Motilal Oswal, and Nuvama have identified stocks that could potentially deliver 12% to 36% returns.
Some of the recommended stocks are AU Small Finance Bank, Tata Consumer Products, and Gujarat Fluorochemicals.
Pharmaceuticals and Cement Stocks
Zydus Lifesciences (Pharmaceuticals)
Brokerage: Antique
Rating: Upgraded from ‘Hold’ to ‘Buy’
Target Price: ₹1,255 (previously ₹1,075)
Current Price: ₹1,035
Potential Gain: 21%
Zydus Lifesciences is growing strongly in the pharmaceutical industry, making it a promising long-term investment.
Shree Cement (Cement)
Brokerage: Antique
Rating: Buy
Target Price: ₹33,500
Current Price: ₹29,714
Potential Gain: 12%
With increasing construction activity and growing cement demand, Shree Cement’s performance is improving.
The contribution of its subsidiaries to EBITDA has increased from 2% to 6%, reflecting strong growth.
Banking and Consumer Goods Stocks
AU Small Finance Bank (Banking)
Brokerage: Motilal Oswal
Rating: Buy
Target Price: ₹875
Current Price: ₹706
Potential Gain: 23%
This small finance bank shows impressive growth, providing loans in rural areas and benefiting from digital banking adoption.
Its strong customer base and profits make it a solid long-term option.
Tata Consumer Products (Consumer Goods)
Brokerage: Motilal Oswal
Rating: Buy
Target Price: ₹1,300 (previously ₹1,270)
Current Price: ₹1,130
Potential Gain: 15%
Tata Consumer Products produces tea, coffee, and snacks found in almost every household.
With rising middle-class purchasing power, this company benefits from growing consumer spending.
Chemicals Sector Stock
Gujarat Fluorochemicals (Chemicals)
Brokerage: Nuvama
Rating: Buy
Target Price: ₹5,298
Current Price: ₹3,882
Potential Gain: 36%
This company manufactures fluorochemicals, which are essential for many industries.
With strong demand, it offers one of the highest potential returns among these recommended stocks.
