Nifty can deliver up to 10% return in 2025; SBI, Bharti Airtel among top stock picks

In its 2025 market outlook, global brokerage firm Jefferies has projected a Nifty target of 26,000, indicating a potential 10% return over the course of CY25, highlighting ICICI Bank, Bharti Airtel and SBI among others as its top picks.

However, it may also be noted that the target price given by the foreign brokerage firm is still below Nifty’s all-time high mark of 26,277.35 made on September 23, 2024, but implies a significant upside from the current levels.

Stating that it prefers largecap stocks over smallcap stocks, Jefferies's top stock picks for 2025 reflect a balanced approach across sectors. Banking heavyweights like ICICI Bank, Axis Bank, and State Bank of India (SBI), alongside Bharti Airtel in telecommunications and JSW Energy in the power sector.


Other notable recommendations include TVS Motors, Coal India, Godrej Properties, and Sun Pharma.

“At a forward price-to-earnings (PE) ratio of 20.5x for Nifty, the valuation is approximately 6% above the five-year historical average,” said Jefferies in its note.

Additionally, the analysts at the global brokerage firm also expect the Reserve Bank of India (RBI) to continue its accommodative stance, with a further 50 basis points (bps) rate cut anticipated, a move that could provide significant support for growth-oriented sectors like banking and infrastructure.

Jefferies has reiterated its conviction in Indian banks, maintaining an overweight stance on the sector as economic activity picks up.

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In the last one year, Nifty has given returns of 16.25% and 4.21% in the last 6 months. However, the index has shown a decline of 4.27% in the last 3 months, according to the Trendlyne data.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)