HAL, Paras Defence, Max Health, Sagility: Top 9 Diwali stock picks of Aditya Birla Money
Indian equity markets posted slight gains in Samvat 2081, with Nifty 50 up 3.6% and Sensex 2.8% from Diwali 2024 to October 2025. Small-cap indices underperformed while robust SIP and DII inflows supported recovery amid volatility.
- Oct 15, 2025,
- Updated Oct 15, 2025 12:49 PM IST
Indian equity markets underwent significant volatility throughout Samvat 2081, marked by corrections in benchmark indices such as the Nifty 50 and Sensex, which recovered from lows reached in February 2025 but ended below the peaks of September 2024.
The first half of Samvat 2081 was characterised by a sharp downturn, influenced by global economic headwinds, currency depreciation, and sustained selling from foreign portfolio investors (FPIs). FPIs withdrew an estimated Rs 4.29 lakh crore from the market, while the second half saw recovery buoyed by robust domestic inflows, said Aditya Birla Capital (AB Capital).
Domestic institutional investors (DIIs) supported the market with injections totalling about Rs 7.65 lakh crore during the year. The Nifty traded at a price-to-earnings ratio of 18.6x one-year forward earnings, a level aligned with historical averages and indicating that overall market valuations remain moderate rather than stretched. Policy developments, including GST 2.0 with reduced and exempted slabs, and income tax relief in the 2025 Union Budget, provided an additional boost to domestic sentiment, note the brokerage firm.
It observe that the correction and underperformance of the Indian market has created an attractive accumulation zone for medium- to long-term investors. Despite global headwinds, the outlook remains constructive, with domestic reforms and improved liquidity expected to foster market stability. Caution is advised in SMID segments, which still trade at a slight premium, but opportunities remain in high-growth sectors such as artificial intelligence, green energy, and defence. Here's are top picks by AB Capital for Samvat 2082:
Cohance Life Science | Target Price: Rs 1,050 Cohance (formerly known as Suven Pharma) is a technology-driven CDMO with strong positions in high-growth niches like ADCs and oligonucleotides. The company has recently merged with Advent’s Cohance Pharma (earlier standalone entity) & now hosts strong integrated CDMO platform driven by strategic M&A adding to niche capabilities like Oligonucleotides & ADCs. Cohance has recently acquired NJ Bio, setting a footprint in US and establishing end-to-end ADC platform which a fast-growing market. The company expects to grow at 20-25% CAGR for next 5 years targeting $1bn revenue by 2030. The primary growth drivers being the shift from China+1 & the new ADC platform. Further, the company aims to add capabilities in segments like mRNA, peptides & flow chemistry by way of organic & inorganic routes.
Hindustan Aeronautics | Target Price: 5,600 Hindustan Aeronautics (HAL) is the oldest and largest manufacturers in the aerospace and defence sector, primary serving the Indian armed forces and focusing on indigenous development under the Ministry of Defence. The company is engaged in the design, manufacture and assembly of a wide range of aerospace products. The company believes that the Indian defence market will continue to be a prime revenue source for HAL due to projects like LCA Mk1A, LCH, LUH and HTT-40. HAL has undertaken various initiatives to make systems more agile, effective, cost-efficient and competitive. It boasts a strong order book of INR1.8t as of 31 Mar'25, along with a promising prospect pipeline of INR6t, which is likely to be awarded over the next few years. RoH will continue to anchor topline growth, while incremental upside will come from the recently awarded order of 12 Su-30 MKIs, with production beginning in FY27 and extending through FY29.
Juniper Hotels | Target Price: Rs 350 Juniper Hotels is a leading hospitality asset developer and owns the highest share of Hyatt-affiliated keys in India, operating 1,895 keys across 7 premium properties in major metro and Tier 1 cities across categories. In addition to operating hotels, Juniper has 5 hotels and 1,600 keys under expansion, including 2 ROFO assets. It is the only hotel company in India to have an investment by Hyatt Hotels Corporation, holding 39% stake. Juniper is expected to regain its growth momentum as it aggressively plans to expand its portfolio over the next 3 years through organic and inorganic acquisitions. Management has guided to double its portfolio to 4,000+ rooms by FY29 while also looking to 2x/ 3x its revenue and EBITDA by FY27/ FY29 respectively. Juniper is expected to be a strong re-rating candidate owing to its experienced management, focused expansion plans, strong promoter pedigree and affiliation with Hyatt and ramping-up of existing assets.
Max Healthcare Institute | Target Price: Rs 1,325 Max Health is one of India’s largest hospital chains with a capacity of 5,200+ beds across its 22 healthcare facilities with a target of doubling the bed capacity in next 5 years. In addition to its core hospital business, Max also operates 2 SBUs - Max@Home and Max Labs. Max@Home is a platform that provides health and wellness services at home and Max Lab offers diagnostic services to patients outside its network. It stands out amongst peers given its best in class operating metrics having an industry leading occupancy of 76% and ARPOB of Rs. 78,000 as on Q1FY26. It trades at a premium to its peers but the premium valuations could sustain owing to its concentrated cluster-based approach and industry-high margins and RoCE through a maturing network of hospitals and operational efficiency.
Paras Defence and Space Technologies | Target Price: Rs 900 Paras Defence is engaged in developing and delivering cutting edge products and technologies for defence and space applications. Its flagship products are submarine periscopes, optical systems for armoured platform, camera systems for drones and UAVs, anti-drone systems, and EMP protection solutions, among others. Current order book stands at Rs 928 crore, which is executable within 6-18 months, it expects order inflows of Rs 10 billion within 3-4 months. Recently the company bagged an order worth Rs 42.05 crore from Opto Electronics Factory, a unit of India Optel Ltd under the Ministry of Defence. The order involves the supply of five types of electronic control sub-systems for Thermal Imaging Fire Control Systems (TIFCS), which will be delivered to the Indian Armed Forces executable within 24 months.
Phoenix Mills | Target Price: 1,900 Phoenix Mills is one of the leading mall developer and operator in India with 12 operational malls (11 msf) across 8 cities and 3 msf of mall space under development. It is also into commercial leasing business with an existing portfolio of 3 msf and another 4 msf under development. In addition, PML is also into residential business and manages 2 operational hotels with another hotel under development. PML has a vision of adding 1 msf of retail space per year going forward. Co. has consistently shown strong growth in consumption levels and footfalls across its malls even when the peers were feeling the pinch of slowdown in consumption growth. The co. is expected to keep the strong consumption growth momentum intact with the recent GST rate cut announcement. Acquisition of land parcels in Thane, Coimbatore and Chandigarh creates visibility till 2030. Co. also announced acquiring 49% stake of CPP in ISMDPL which should also assist in its growth going forward.
Sagility | Target Price: Rs 60 Sagility is a US healthcare-focused BPM (Business Process Management) company with over 24 years of operational experience, formed through a carve-out from HGS in 2022. It brings a legacy of deep domain expertise, serving 75 client groups (including Brodpath clients). It serves 6 of the top 10 US Payers, 3 of the top 6 PBMs, and multiple large Providers like IDNs, labs, DME, and radiology firms. Sagility operates within a $200bn core operations market (Payers + Providers), of which only ~20% is currently outsourced, a $45bn opportunity. As outsourcing penetration deepens, especially in mid-market payers and endto-end offerings, Sagility is well-positioned to expand its market share. Sagility’s focused M&A strategy has proven effective in enhancing domain capabilities, accelerating GenAI integration and broadening its client base particularly in the underpenetrated mid-market segment. Recent acquisitions like Devlin consulting (payment integrity), BirchAI (GenAIdriven automation) and BroadPath (mid-market client access and remote work tech) have significantly bolstered Sagility’s service portfolio, reduced client concentration and unlocked new growth levers.
Sky Gold & Diamonds | Target Price: 430 Sky Gold specialises in design, production, and promotion of gold jewellery, operating on an asset-light, B2B model, distributing its products to corporate gold retailers, mid-range jewellers and boutique stores. Based out of Mumbai and operating since 2005, its top clients include Malabar Gold, Joyalukkas, Kalyan Jewellers and Senco Gold. Co. keeps on expanding its client base and added new clients over the past few quarters that includes Caratlane and Aditya Birla Novel Jewels. Sky Gold is also strengthening its exports to Middle East by incorporating a new entity in Middle East. sales office. Co caters to the unique preferences of its customers given its strong understanding of the local and regional market. Its product range includes necklaces, rings, pendants, bracelets, earrings, bangles, and customised jewellery based on customer demand. Skygold has a vision to reach a revenue of Rs 7,600 crore, capacity utilization of 900 kgs per month, PAT margin of 4.5% and ROCE in the range of 30-35%.
Uno Minda | Target Price: Rs 1,475 Uno Minda is a leading global Tier-1 manufacturer and supplier of innovative automotive solutions and systems to OEMs. They design and manufacture over 25 categories of components and systems for vehicles across segments and powertrains. It has a leadership position in India in almost all the products it manufactures and has consistently outperformed the industry through its superior execution capabilities and technological collaborations. Company has made itself future proof by having its presence across all types of powertrains, giving a long term visibility. The company is one of the biggest beneficiary of the recent turnaround in the overall Auto sector demand post the GST cut announcement. We expect Uno Minda to continue its stellar growth momentum.
Indian equity markets underwent significant volatility throughout Samvat 2081, marked by corrections in benchmark indices such as the Nifty 50 and Sensex, which recovered from lows reached in February 2025 but ended below the peaks of September 2024.
The first half of Samvat 2081 was characterised by a sharp downturn, influenced by global economic headwinds, currency depreciation, and sustained selling from foreign portfolio investors (FPIs). FPIs withdrew an estimated Rs 4.29 lakh crore from the market, while the second half saw recovery buoyed by robust domestic inflows, said Aditya Birla Capital (AB Capital).
Domestic institutional investors (DIIs) supported the market with injections totalling about Rs 7.65 lakh crore during the year. The Nifty traded at a price-to-earnings ratio of 18.6x one-year forward earnings, a level aligned with historical averages and indicating that overall market valuations remain moderate rather than stretched. Policy developments, including GST 2.0 with reduced and exempted slabs, and income tax relief in the 2025 Union Budget, provided an additional boost to domestic sentiment, note the brokerage firm.
It observe that the correction and underperformance of the Indian market has created an attractive accumulation zone for medium- to long-term investors. Despite global headwinds, the outlook remains constructive, with domestic reforms and improved liquidity expected to foster market stability. Caution is advised in SMID segments, which still trade at a slight premium, but opportunities remain in high-growth sectors such as artificial intelligence, green energy, and defence. Here's are top picks by AB Capital for Samvat 2082:
Cohance Life Science | Target Price: Rs 1,050 Cohance (formerly known as Suven Pharma) is a technology-driven CDMO with strong positions in high-growth niches like ADCs and oligonucleotides. The company has recently merged with Advent’s Cohance Pharma (earlier standalone entity) & now hosts strong integrated CDMO platform driven by strategic M&A adding to niche capabilities like Oligonucleotides & ADCs. Cohance has recently acquired NJ Bio, setting a footprint in US and establishing end-to-end ADC platform which a fast-growing market. The company expects to grow at 20-25% CAGR for next 5 years targeting $1bn revenue by 2030. The primary growth drivers being the shift from China+1 & the new ADC platform. Further, the company aims to add capabilities in segments like mRNA, peptides & flow chemistry by way of organic & inorganic routes.
Hindustan Aeronautics | Target Price: 5,600 Hindustan Aeronautics (HAL) is the oldest and largest manufacturers in the aerospace and defence sector, primary serving the Indian armed forces and focusing on indigenous development under the Ministry of Defence. The company is engaged in the design, manufacture and assembly of a wide range of aerospace products. The company believes that the Indian defence market will continue to be a prime revenue source for HAL due to projects like LCA Mk1A, LCH, LUH and HTT-40. HAL has undertaken various initiatives to make systems more agile, effective, cost-efficient and competitive. It boasts a strong order book of INR1.8t as of 31 Mar'25, along with a promising prospect pipeline of INR6t, which is likely to be awarded over the next few years. RoH will continue to anchor topline growth, while incremental upside will come from the recently awarded order of 12 Su-30 MKIs, with production beginning in FY27 and extending through FY29.
Juniper Hotels | Target Price: Rs 350 Juniper Hotels is a leading hospitality asset developer and owns the highest share of Hyatt-affiliated keys in India, operating 1,895 keys across 7 premium properties in major metro and Tier 1 cities across categories. In addition to operating hotels, Juniper has 5 hotels and 1,600 keys under expansion, including 2 ROFO assets. It is the only hotel company in India to have an investment by Hyatt Hotels Corporation, holding 39% stake. Juniper is expected to regain its growth momentum as it aggressively plans to expand its portfolio over the next 3 years through organic and inorganic acquisitions. Management has guided to double its portfolio to 4,000+ rooms by FY29 while also looking to 2x/ 3x its revenue and EBITDA by FY27/ FY29 respectively. Juniper is expected to be a strong re-rating candidate owing to its experienced management, focused expansion plans, strong promoter pedigree and affiliation with Hyatt and ramping-up of existing assets.
Max Healthcare Institute | Target Price: Rs 1,325 Max Health is one of India’s largest hospital chains with a capacity of 5,200+ beds across its 22 healthcare facilities with a target of doubling the bed capacity in next 5 years. In addition to its core hospital business, Max also operates 2 SBUs - Max@Home and Max Labs. Max@Home is a platform that provides health and wellness services at home and Max Lab offers diagnostic services to patients outside its network. It stands out amongst peers given its best in class operating metrics having an industry leading occupancy of 76% and ARPOB of Rs. 78,000 as on Q1FY26. It trades at a premium to its peers but the premium valuations could sustain owing to its concentrated cluster-based approach and industry-high margins and RoCE through a maturing network of hospitals and operational efficiency.
Paras Defence and Space Technologies | Target Price: Rs 900 Paras Defence is engaged in developing and delivering cutting edge products and technologies for defence and space applications. Its flagship products are submarine periscopes, optical systems for armoured platform, camera systems for drones and UAVs, anti-drone systems, and EMP protection solutions, among others. Current order book stands at Rs 928 crore, which is executable within 6-18 months, it expects order inflows of Rs 10 billion within 3-4 months. Recently the company bagged an order worth Rs 42.05 crore from Opto Electronics Factory, a unit of India Optel Ltd under the Ministry of Defence. The order involves the supply of five types of electronic control sub-systems for Thermal Imaging Fire Control Systems (TIFCS), which will be delivered to the Indian Armed Forces executable within 24 months.
Phoenix Mills | Target Price: 1,900 Phoenix Mills is one of the leading mall developer and operator in India with 12 operational malls (11 msf) across 8 cities and 3 msf of mall space under development. It is also into commercial leasing business with an existing portfolio of 3 msf and another 4 msf under development. In addition, PML is also into residential business and manages 2 operational hotels with another hotel under development. PML has a vision of adding 1 msf of retail space per year going forward. Co. has consistently shown strong growth in consumption levels and footfalls across its malls even when the peers were feeling the pinch of slowdown in consumption growth. The co. is expected to keep the strong consumption growth momentum intact with the recent GST rate cut announcement. Acquisition of land parcels in Thane, Coimbatore and Chandigarh creates visibility till 2030. Co. also announced acquiring 49% stake of CPP in ISMDPL which should also assist in its growth going forward.
Sagility | Target Price: Rs 60 Sagility is a US healthcare-focused BPM (Business Process Management) company with over 24 years of operational experience, formed through a carve-out from HGS in 2022. It brings a legacy of deep domain expertise, serving 75 client groups (including Brodpath clients). It serves 6 of the top 10 US Payers, 3 of the top 6 PBMs, and multiple large Providers like IDNs, labs, DME, and radiology firms. Sagility operates within a $200bn core operations market (Payers + Providers), of which only ~20% is currently outsourced, a $45bn opportunity. As outsourcing penetration deepens, especially in mid-market payers and endto-end offerings, Sagility is well-positioned to expand its market share. Sagility’s focused M&A strategy has proven effective in enhancing domain capabilities, accelerating GenAI integration and broadening its client base particularly in the underpenetrated mid-market segment. Recent acquisitions like Devlin consulting (payment integrity), BirchAI (GenAIdriven automation) and BroadPath (mid-market client access and remote work tech) have significantly bolstered Sagility’s service portfolio, reduced client concentration and unlocked new growth levers.
Sky Gold & Diamonds | Target Price: 430 Sky Gold specialises in design, production, and promotion of gold jewellery, operating on an asset-light, B2B model, distributing its products to corporate gold retailers, mid-range jewellers and boutique stores. Based out of Mumbai and operating since 2005, its top clients include Malabar Gold, Joyalukkas, Kalyan Jewellers and Senco Gold. Co. keeps on expanding its client base and added new clients over the past few quarters that includes Caratlane and Aditya Birla Novel Jewels. Sky Gold is also strengthening its exports to Middle East by incorporating a new entity in Middle East. sales office. Co caters to the unique preferences of its customers given its strong understanding of the local and regional market. Its product range includes necklaces, rings, pendants, bracelets, earrings, bangles, and customised jewellery based on customer demand. Skygold has a vision to reach a revenue of Rs 7,600 crore, capacity utilization of 900 kgs per month, PAT margin of 4.5% and ROCE in the range of 30-35%.
Uno Minda | Target Price: Rs 1,475 Uno Minda is a leading global Tier-1 manufacturer and supplier of innovative automotive solutions and systems to OEMs. They design and manufacture over 25 categories of components and systems for vehicles across segments and powertrains. It has a leadership position in India in almost all the products it manufactures and has consistently outperformed the industry through its superior execution capabilities and technological collaborations. Company has made itself future proof by having its presence across all types of powertrains, giving a long term visibility. The company is one of the biggest beneficiary of the recent turnaround in the overall Auto sector demand post the GST cut announcement. We expect Uno Minda to continue its stellar growth momentum.