💥 Diwali Picks 2025: Top 11 Stocks for Multi-Bag Returns Based on Fundamental & Technical Analysis
As we step into the festive season of Diwali 2025, market sentiment is turning positive, supported by improving earnings visibility, policy tailwinds, and a resilient domestic economy.
Our “Diwali Picks 2025” portfolio features 11 fundamentally strong and technically bullish stocks that combine value, growth, and momentum — ideal for wealth creation over the next 6–18 months.
Each stock has been shortlisted after detailed fundamental research, quarterly earnings analysis, sector positioning, and technical chart confirmation (RSI strength, breakout zones, MACD trends).
📊 Top Diwali Picks 2025 – Equity Research Table
| No. | Stock Name | Sector | CMP (₹) | Target (₹) | Upside (%) | Key Highlights |
|---|---|---|---|---|---|---|
| 1️⃣ | HDFC Bank | Banking / Finance | 960 | 1,200 | 25% | Loan book growth improving post-merger; attractive valuation |
| 2️⃣ | ICICI Bank | Banking / Finance | 1,360 | 1,650 | 21% | Retail growth, superior ROE/ROA, stable NIMs |
| 3️⃣ | Yes Bank | Banking / Turnaround | 21.8 | 26 | 19% | Balance sheet clean-up; profitability revival in FY26 |
| 4️⃣ | Tata Motors | Auto / EV / JLR | 715 | 900 | 26% | EV leadership, JLR margin expansion, robust order book |
| 5️⃣ | Mahindra & Mahindra (M&M) | Auto / Tractor / SUV | 3,460 | 3,800 | 10% | Strong SUV pipeline; EV subsidiary gaining traction |
| 6️⃣ | Hyundai Motor India | Auto / EV / IPO | 2,500 | 3,200 | 28% | IPO re-rating potential; export and EV growth |
| 7️⃣ | Bharat Electronics (BEL) | Defence / Electronics | 410 | 480 | 17% | Record defence orders; Make-in-India catalyst |
| 8️⃣ | Trent Ltd | Retail / Consumer | 4,810 | 5,700 | 19% | Zudio & Westside rapid expansion; strong same-store growth |
| 9️⃣ | Reliance Industries | Conglomerate / Energy / Retail | 1,360 | 1,700 | 25% | Retail, Jio & New Energy driving FY26 growth |
| 🔟 | Infosys | IT / Digital Services | 1,440 | 2,000 | 39% | Margin recovery, AI-led deal pipeline strong |
| 1️⃣1️⃣ | TCS | IT / Technology | 2,900 | 3,700 | 28% | Stable margins, AI/automation opportunity |
Diwali 2025 Market Outlook
🔹 1. Banking & Financials
Credit growth continues at 14–16% YoY; retail lending and housing loan demand steady.
HDFC Bank and ICICI Bank offer sector leadership with attractive valuations.
Yes Bank remains a turnaround opportunity for high-risk investors.
Technical view: All three banks showing breakout structures with RSI above 60; ICICI consolidating before next upmove.
🔹 2. Automobile & EV Segment
EV penetration expected to double by FY26; global chip availability improving.
Tata Motors, M&M, and Hyundai Motor India are key festive beneficiaries with high visibility in EV and export growth.
Technical view: Tata Motors forming Cup & Handle pattern near ₹720; M&M consolidating in bullish range; Hyundai showing pre-IPO re-rating traction.
🔹 3. Defence & Manufacturing
Defence budget expansion + PSU order inflows support BEL’s earnings visibility.
BEL likely to maintain 15–18% CAGR growth backed by radar and avionics demand.
Technical view: BEL has given fresh breakout above ₹400 with volumes; trend remains strongly bullish.
🔹 4. Consumer & Retail Growth
Rising urban disposable income and premiumization trends support Trent Ltd’s growth.
Westside & Zudio to expand across Tier-II/III cities — strong festive tailwinds.
Technical view: Trent remains in long-term uptrend channel; any dip near ₹4700 seen as buying opportunity.
🔹 5. Conglomerates & New Energy
Reliance Industries expected to benefit from new-energy (solar, hydrogen) and Jio IPO triggers in FY26.
Energy integration + digital ecosystem = multi-year compounding story.
Technical view: Reliance has retested breakout zone near ₹1350; potential to move toward ₹1700 in medium term.
🔹 6. Information Technology (IT & Digital)
Margin recovery trend visible post cost optimization.
Infosys & TCS remain top large-cap IT picks for FY26, with AI/automation being new growth drivers.
Technical view: Infosys shows inverse head-and-shoulder breakout; TCS near 52-week high consolidation zone.
⚙️ Technical Indicators Summary
| Indicator | Observation |
|---|---|
| RSI | 60–70 range for majority of stocks — strong momentum zone |
| MACD | Bullish crossover visible on weekly charts |
| Volume Pattern | Accumulation phase in Banks, Autos, IT |
| Support/Resistance | Key supports: Nifty 21,800 / BankNifty 47,000; Festive breakout above 23,000 likely |
📚 FAQs – Sector-Wise Diwali 2025 Stock Recommendations
💰 Banking & Finance: Which banks are best positioned for Diwali 2025 rally? +
🚗 Automobile & EV Sector: Which auto stocks should investors accumulate this Diwali? +
🛡️ Defence & Manufacturing: What makes BEL a Diwali 2025 favourite? +
🛍️ Consumer & Retail: Why is Trent Ltd on the Diwali pick list? +
⚡ Energy & Conglomerates: Is Reliance still a good festive buy in 2025? +
💻 IT & Digital Services: Which IT stocks can outperform post-Diwali? +
📈 Conclusion
The Diwali 2025 portfolio balances blue-chip stability with high-growth themes like EVs, defence, and digital transformation. With 20–40% potential upside, these stocks are positioned to outperform Nifty in FY26, supported by both fundamental strength and technical confirmation.
“Investing during Diwali is not about luck — it’s about logic, leadership, and long-term conviction.”
⚠️ Disclaimer: This report is for educational and informational purposes only. It does not constitute financial advice. Please consult a SEBI-registered advisor before investing.
