What are the best stocks to buy in 2025 in India?

P. Laurore updated on 5 May 2025

Table of Contents

Top Indian Stocks to Watch in 2025
Dividend Focus: 10 High-Yield Indian Stocks for 2025
🌏 <b>Geographic Focus: Where to Invest in 2025?
Our guides

As 2025 unfolds against a rapidly evolving global economic backdrop — shaped by ongoing monetary tightening, signs of recovery in key regions, and transformative technological shifts — stock markets worldwide, including in India, are experiencing significant changes. For Indian investors navigating this dynamic environment, one critical question arises: which stocks should take priority this year to capture growth while balancing risk?

From North American tech giants staging a strong comeback, to industrial stocks benefiting from global reshoring and the clean energy push, and innovators driving advancements in artificial intelligence and precision healthcare — 2025 presents Indian investors with opportunities that could shape the future of their portfolios. The real challenge lies not just in identifying where to invest, but understanding why those opportunities matter for India’s market and global position.

Discover the stocks to watch, high-yield dividend opportunities, and long-term growth plays across both Indian and international markets — and make informed decisions to secure your financial future.

Top Indian Stocks to Watch in 2025

💡 Tata Power (TATAPOWER.NS) — Powering India's Green Ambitions

With India’s aggressive push towards renewable energy and decarbonisation, Tata Power stands to benefit from major investments in solar, EV charging infrastructure, and grid modernisation. Its diversified portfolio adds resilience amid market volatility.

🎯 End-2025 Price Target: ₹495
(currently around ₹380)

📉 Key Risks: Regulatory hurdles and fluctuations in input costs.

🛒 Avenue Supermarts (DMART.NS) — Resilient Retail Growth

DMart continues to dominate India’s organised retail with its low-cost model, efficient supply chain, and strong brand loyalty. Its defensive nature makes it appealing amid inflationary pressures.

🎯 End-2025 Price Target: ₹5,100
(currently around ₹3,850)

📉 Key Risks: Competitive pressures and rising operational costs.

🏥 Dr. Reddy's Laboratories (DRREDDY.NS) — Leading Innovation in Pharmaceuticals

A leader in generic and specialty medicines, Dr. Reddy’s is well-placed to grow through global markets and new drug pipelines, including biosimilars and oncology products.

🎯 End-2025 Price Target: ₹7,930
(currently around ₹6,100)

📉 Key Risks: Regulatory challenges and pricing pressures in export markets.

🏦 ICICI Bank (ICICIBANK.NS) — India's Banking Powerhouse

ICICI Bank’s strong retail and corporate lending franchise, digital edge, and improving asset quality make it a key proxy for India’s growth story.

🎯 End-2025 Price Target: ₹1,560
(currently around ₹1,200)

📉 Key Risks: Economic slowdown and rising NPAs.

🛢️ Reliance Industries (RELIANCE.NS) — Diversification Driving Growth

Reliance remains a cash-generating leader across energy, telecom, and retail while investing heavily in green energy and digital transformation.

🎯 End-2025 Price Target: ₹3,660
(currently around ₹2,800)

📉 Key Risks: Regulatory challenges and capex-heavy expansion.

📦 Zomato (ZOMATO.NS) — Tech-Driven Growth in Food Delivery

Zomato is emerging as a leader in India’s fast-growing online food delivery sector, with strong brand recognition and focus on profitability.

🎯 End-2025 Price Target: ₹228
(currently around ₹175)

📉 Key Risks: Intense competition and thin margins.

✈️ InterGlobe Aviation (INDIGO.NS) — Soaring with India’s Air Travel Boom

IndiGo is riding the surge in domestic and international travel, with fleet expansion and market leadership bolstering its long-term outlook.

🎯 End-2025 Price Target: ₹4,160
(currently around ₹3,200)

📉 Key Risks: Fuel price volatility and operational disruptions.

🔋 NTPC Limited (NTPC.NS) — Powering Ahead with Renewables

India’s largest power producer is pivoting towards clean energy with aggressive investments in solar, wind, and hydrogen projects.

🎯 End-2025 Price Target: ₹412
(currently around ₹315)

📉 Key Risks: Policy shifts and execution delays in renewables.

💳 Paytm (PAYTM.NS) — Fintech Transformation in Motion

Paytm is evolving beyond payments into financial services and lending, aiming to turn scale into sustainable profitability.

🎯 End-2025 Price Target: ₹680
(currently around ₹525)

📉 Key Risks: Regulatory scrutiny and heavy competition.

🎮 Nazara Technologies (NAZARA.NS) — Gaming for India's Young Demographic

Nazara is tapping into India's booming gaming and e-sports market with a diversified portfolio across gaming, gamified learning, and sports media.

🎯 End-2025 Price Target: ₹1,320
(currently around ₹1,020)

📉 Key Risks: Monetisation challenges and content performance.

Dividend Focus: 10 High-Yield Indian Stocks for 2025

For Indian investors seeking steady passive income, the following companies listed on the National Stock Exchange (NSE) offer attractive dividend yields for 2025. These stocks span stable, income-generating sectors critical to India’s growth story.

Company	Sector	Estimated 2025 Dividend (₹)	Approximate Yield	Notes
Coal India (COALINDIA.NS)	Mining & Energy	₹32	~8.8%	Strong cash flows from coal demand, despite ESG headwinds
Oil & Natural Gas Corporation (ONGC.NS)	Oil & Gas	₹15	~8.2%	High dividend driven by global crude prices
Power Finance Corporation (PFC.NS)	Financial Services (NBFC)	₹24	~8.9%	Consistent payouts supported by robust power sector lending
REC Limited (RECLTD.NS)	Financial Services (NBFC)	₹20	~9.0%	Rising demand for infra finance, stable dividend
Indian Oil Corporation (IOC.NS)	Oil & Gas (Downstream)	₹14	~7.7%	Strong dividend policy, though impacted by crude price volatility
Hindustan Zinc (HINDZINC.NS)	Mining (Zinc, Silver)	₹25	~7.3%	Regular special dividends, global leader in zinc
ITC Limited (ITC.NS)	FMCG & Tobacco	₹18	~3.6%	Lower yield but very stable and defensive income play
Vedanta Limited (VEDL.NS)	Mining & Commodities	₹28	~10.0%	Among highest dividend payers, volatile earnings
NTPC Limited (NTPC.NS)	Power Generation	₹9.5	~4.3%	Dividend supported by regulated business and renewables push
GAIL India (GAIL.NS)	Natural Gas Distribution	₹7	~5.9%	Stable dividend, plays key role in India’s gas transition

Coal India (COALINDIA.NS)

Sector

Mining & Energy

Estimated 2025 Dividend (₹)

₹32

Approximate Yield

~8.8%

Notes

Strong cash flows from coal demand, despite ESG headwinds

Oil & Natural Gas Corporation (ONGC.NS)

Sector

Oil & Gas

Estimated 2025 Dividend (₹)

₹15

Approximate Yield

~8.2%

Notes

High dividend driven by global crude prices

Power Finance Corporation (PFC.NS)

Sector

Financial Services (NBFC)

Estimated 2025 Dividend (₹)

₹24

Approximate Yield

~8.9%

Notes

Consistent payouts supported by robust power sector lending

REC Limited (RECLTD.NS)

Sector

Financial Services (NBFC)

Estimated 2025 Dividend (₹)

₹20

Approximate Yield

~9.0%

Notes

Rising demand for infra finance, stable dividend

Indian Oil Corporation (IOC.NS)

Sector

Oil & Gas (Downstream)

Estimated 2025 Dividend (₹)

₹14

Approximate Yield

~7.7%

Notes

Strong dividend policy, though impacted by crude price volatility

Hindustan Zinc (HINDZINC.NS)

Sector

Mining (Zinc, Silver)

Estimated 2025 Dividend (₹)

₹25

Approximate Yield

~7.3%

Notes

Regular special dividends, global leader in zinc

ITC Limited (ITC.NS)

Sector

FMCG & Tobacco

Estimated 2025 Dividend (₹)

₹18

Approximate Yield

~3.6%

Notes

Lower yield but very stable and defensive income play

Vedanta Limited (VEDL.NS)

Sector

Mining & Commodities

Estimated 2025 Dividend (₹)

₹28

Approximate Yield

~10.0%

Notes

Among highest dividend payers, volatile earnings

NTPC Limited (NTPC.NS)

Sector

Power Generation

Estimated 2025 Dividend (₹)

₹9.5

Approximate Yield

~4.3%

Notes

Dividend supported by regulated business and renewables push

GAIL India (GAIL.NS)

Sector

Natural Gas Distribution

Estimated 2025 Dividend (₹)

₹7

Approximate Yield

~5.9%

Notes

Stable dividend, plays key role in India’s gas transition

📌 Key Observations

India’s energy, mining and financial services sectors dominate the high-yield space.
While ESG pressures weigh globally, Indian firms still focus on shareholder returns.
NBFCs like PFC and REC offer highly stable dividends due to government-backed mandates.
Miners like Vedanta and Hindustan Zinc remain very generous but carry commodity price risks.

🌏 Geographic Focus: Where to Invest in 2025?

A globally and domestically diversified portfolio remains key for navigating today’s dynamic and often volatile markets. Here’s a regional breakdown of where opportunities may lie for Indian investors in 2025:

🇮🇳 India: Domestic Growth, Infrastructure and Energy Leadership

India remains at the forefront of emerging market growth, driven by consumption, infrastructure development, and its energy transition. Government-backed capex, renewable energy investments, and rising consumer demand offer multi-sector opportunities for wealth creation.

Stocks to watch:

Larsen & Toubro (L&T) — Infrastructure and heavy engineering leader
NTPC Limited — Powering India’s clean and thermal energy needs
Ultratech Cement — Benefiting from housing and infrastructure push
Tata Power — Accelerating solar and EV infrastructure expansion

🇺🇸 United States: Innovation Continues to Lead

Exposure to global tech innovators like Microsoft, NVIDIA, and Apple still plays an essential role in building a growth-oriented portfolio. While valuations remain elevated, Indian investors can mitigate risks through international mutual funds or ETFs.

🇪🇺 Europe: Stability in Industrial and Defensive Sectors

European companies such as Airbus and Stellantis offer access to resilient industrial segments, which can complement India and US-heavy portfolios. Improved valuations and green transition policies in Europe also make this region worth monitoring.

🌏 Emerging Asia: Selective and Cautious Exposure

While markets like China and ASEAN offer potential rebound plays, geopolitical and regulatory risks remain high. Indian investors are advised to access this space through diversified or thematic Asia-focused ETFs, which can offer prudent exposure while limiting downside risks.

Stocks to watch (via ETFs or global funds):

Alibaba (China) — E-commerce and cloud potential
Sea Limited (Singapore) — Digital economy and gaming leader
Taiwan Semiconductor (Taiwan) — Dominant chipmaker, crucial for AI boom

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P. Laurore
Finance expert
Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.
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