India’s stock market is ending the week on a stronger footing, with the Nifty 50 reclaiming the 26,000 zone as global sentiment improves after the U.S. Federal Reserve’s latest rate cut. But this is not a “risk-on and relax” tape: the rupee has slipped to record lows, foreign outflows remain a headline risk, and investors are bracing for India’s November inflation data after October printed at a record low. [1]
So what are the best stocks to buy now in India—the names with fresh catalysts, credible broker backing, and the strongest earnings visibility—as of 12 December 2025? Below is a detailed, publication-ready roundup of the day’s news, forecasts and broker analyses, plus a watchlist built from the most consistent themes across leading houses.
Market snapshot: what’s driving Indian stocks on 12 December 2025
By mid-morning on Friday, Indian equities were extending Thursday’s rebound:
- Nifty 50: up 0.41% to 26,005.50
- BSE Sensex: up 0.42% to 85,166.16
- Market participation was broad, with most sectoral indices higher; mid-caps and small-caps were also positive. [2]
The key forces shaping “buy now vs wait” decisions today:
- Fed tailwind, but India-specific risks remain
Indian shares are drawing support from global stability after the Fed’s rate cut, but analysts continue to flag the push-pull of dip-buying versus profit-taking near record zones. [3] - Rupee at record lows + persistent outflows
The rupee hit an all-time low of 90.4675 per US dollar on Thursday before recovering slightly with intervention, but strategists warn the relief could be temporary amid corporate dollar demand and ongoing outflows. [4] - Inflation data in focus
Investors are watching India’s November inflation print (due after market hours), expected to rise modestly after October’s record-low 0.25%. [5]
The big forecast: Nifty targets for 2026 are turning optimistic again
Jefferies: Nifty 28,300 target for end-2026, banks + autos + telecom in focus
In one of the most market-moving outlook notes cited widely today, Jefferies said India could perform better in 2026 as corporate earnings recover and macro trends improve. The brokerage set a 2026 year-end target of 28,300 for the Nifty 50, implying roughly 10% upside from current levels. [6]
Jefferies’ core logic is important for stock-picking:
- Domestic inflows remain the shock absorber: Jefferies estimates monthly inflows averaging $7–8 billion across mutual funds/SIPs, insurers, pensions and direct equity—supporting the market even amid foreign selling. [7]
- Rupee stabilization (base case): Jefferies expects the rupee to hold roughly around ₹90/$ over the next 6–12 months, assuming manageable CAD and stronger inflows. [8]
- Sector stance for 2026: “Overweight” lenders, autos, cement, hospitality, telecom and property; “underweight” staples, IT, industrials and pharma. [9]
- Named stock picks:Axis Bank, Bharti Airtel, Mahindra & Mahindra, TVS Motor are among Jefferies’ top 10 picks for 2026. [10]
Kotak Securities: Nifty 29,120 by December 2026
Kotak Securities is also constructive, projecting Nifty 29,120 by December 2026 (about 13.1% upside over the index’s cited Wednesday close), supported by expectations of strong earnings growth. [11]
Short-term market levels: what traders are watching right now
If you’re timing entries, Friday’s trade setup is being framed around clear technical zones:
- Sensex support: ~84,150 (with 84,500 also flagged as a key support zone); immediate resistance:85,000. [12]
- Nifty resistance band:26,050–26,100; a move above 26,100 is highlighted as a “reversal” trigger by one brokerage view, while 25,700 and 25,550–25,500 are cited as key supports. [13]
- Derivatives positioning: Heavy call build-up around 26,000 and strong put positioning at 25,700 suggest a defined range for near-term price action. [14]
Translation for investors: quality large caps with visible earnings drivers can still be accumulated on dips—but the market is telling you to avoid chasing frothy moves if indices stall at resistance.
Best stocks to buy now in India: a broker-backed watchlist for 12 December 2025
This section is deliberately built from what is actually in today’s research and newsflow—not guesswork. These are stocks to consider / add to a watchlist, not “guaranteed winners.”
1) Banking & financials: the “earnings rebound” core
Why this theme is hot today: Jefferies is explicitly overweight lenders and expects earnings growth to accelerate in 2026/27, with banks among key contributors. [15]
Stocks to watch
- Axis Bank – Named by Jefferies among its top 10 picks for 2026, directly aligning with the “lenders outperform” thesis. [16]
- HDFC Bank, ICICI Bank, SBI – Featured in Motilal Oswal’s large-cap stock ideas list (December 2025 picks), reinforcing that the “core bank basket” remains a preferred positioning for many strategists. [17]
What to track next: credit growth vs deposit costs, any RBI stance shifts after inflation, and whether foreign selling pressure eases.
2) Telecom: a structural compounder with broker conviction
- Bharti Airtel – One of the most repeated names in today’s broker framework: Jefferies lists it among top 2026 picks and is overweight telecom as a sector; Motilal Oswal also includes Bharti Airtel in its large-cap ideas. [18]
Why it matters now: When markets turn range-bound, investors often gravitate toward companies with durable cash flows and strong industry structure—exactly the type of profile telecom leaders are pitched as in brokerage positioning.
3) Autos: the cyclical leader call (plus two-wheeler momentum)
Autos show up repeatedly in today’s “where earnings rebound may come from” narrative:
- Jefferies is overweight autos for 2026 and includes Mahindra & Mahindra and TVS Motor among top picks. [19]
- Market commentary on domestic cyclicals suggests BFSI and auto leadership into 2026 as earnings improve. [20]
- Bank of America turned constructive on the two-wheeler space, with stock preferences and targets that investors are actively discussing. [21]
Stocks to watch
- Mahindra & Mahindra (M&M) – Jefferies top-pick list + Motilal Oswal large-cap ideas. [22]
- TVS Motor – Jefferies top 10 pick for 2026; BofA is neutral but still frames it as an earnings-growth story (with a cited target). [23]
- Eicher Motors – BofA’s preferred two-wheeler name with a Buy rating and ₹7,750 target; also appears in Motilal Oswal’s list. [24]
- Maruti Suzuki – Included in Motilal Oswal’s large-cap picks, giving it “core portfolio” status in many models. [25]
What to track next: volume growth into FY26, margin trajectory (commodity + FX), and whether premiumization continues without heavy discounting (a point highlighted in the two-wheeler commentary). [26]
4) Infrastructure & capital goods: upgrades + capex cycle visibility
This is the category with the most immediate, headline-driven catalysts on 12 December.
Larsen & Toubro (L&T): upgraded to “Buy” by Goldman Sachs; target raised to ₹5,000
L&T was among the day’s notable movers after Goldman Sachs upgraded it to Buy from Neutral and lifted its price target to a Street-high ₹5,000 (about 25% upside cited in market coverage). [27]
Additional reporting also highlights Goldman’s rationale around growth visibility, order book strength, and emerging areas like defence and green hydrogen. [28]
Why L&T is on “best stocks to buy now” lists today: In a market debating whether the next leg is cyclical or structural, L&T is being positioned as a proxy for India’s capex + infrastructure build-out—with a fresh upgrade acting as the trigger.
Thermax: upgraded to “Buy” by Kotak Institutional Equities
Thermax also drew attention after Kotak Institutional Equities upgraded it to Buy from Add, citing potential margin improvement and attractive valuations. [29]
Who should consider it: investors specifically looking for “capex beneficiaries” beyond the largest index names, and willing to accept more volatility than a mega-cap.
Cummins India: a capex-adjacent large-cap idea
- Cummins India is part of Motilal Oswal’s December large-cap stock ideas list. [30]
How it fits the 2026 narrative: If the “engineering/capital goods benefit from the infrastructure push” call plays out, Cummins-type names often sit in the sweet spot of execution + demand cycles. [31]
5) Market infrastructure: the “financialization” play
- BSE – Named in Motilal Oswal’s large-cap ideas. Additionally, market commentary flags the durability of the “financialisation” theme in India and sees select opportunities in capital-market-linked names. [32]
Why it’s relevant now: Even when foreign flows wobble, domestic participation can stay strong—an important plank in today’s bullish 2026 arguments. [33]
Higher-risk (but high-interest) mid-cap ideas highlighted in current broker lists
If you’re building a “growth sleeve” alongside core large caps, these names are repeatedly appearing in broker screens around today’s date:
- KFin Technologies
- Aptus Value Housing Finance
- Star Health and Allied Insurance
- Aavas Financiers
- Bandhan Bank [34]
Important risk note: Mid-caps can outperform strongly in a recovery, but they can also correct sharply if liquidity tightens or earnings disappoint. If you include them, consider position sizing and staged buying.
What could derail the “buy now” thesis? Key risks to watch
Even with optimistic 2026 targets, today’s market is not risk-free. The most immediate risk markers:
- Currency pressure: the rupee has already hit record lows, and FX volatility can amplify moves across sectors. [35]
- Foreign flows: continued net selling can cap upside, even if domestic flows cushion drawdowns. [36]
- Inflation surprises: if the November print is hotter than expected, rate expectations can swing fast. [37]
- Range-bound tape near resistance: technical levels suggest the index may need a decisive breakout to shift from “bounce” to “trend.” [38]
Practical approach: how investors can buy stocks in India “now” without chasing
If you’re investing (not day-trading), a disciplined structure often beats perfect timing:
- Anchor your portfolio in broker-conviction large caps
Think: banks + telecom + select autos + capex leaders that show up across multiple lists today. [39] - Use technical levels as entry planning, not prediction
If the Nifty struggles near 26,050–26,100, you’re better off averaging in than deploying all capital at once. [40] - Keep a risk budget for mid-caps
Treat mid-caps as a “satellite allocation” rather than the portfolio core—especially in a currency-sensitive environment. [41]
FAQ: Best stocks to buy now in India (12 December 2025)
Which sectors look best right now in the Indian stock market?
Broker positioning today leans most clearly toward lenders (banks), autos, telecom, and select domestic cyclicals, with constructive views for 2026 tied to earnings recovery and domestic inflows. [42]
What are the most talked-about “best stocks to buy now” on 12 December 2025?
Based on the day’s research notes and news catalysts, the most repeated names include Axis Bank, Bharti Airtel, M&M, TVS Motor (Jefferies top picks), plus HDFC Bank, ICICI Bank, SBI, Maruti, Eicher, L&T, BSE (from Motilal Oswal’s ideas list) and L&T / Thermax on fresh upgrades. [43]
What are the key Nifty levels today?
Analyst commentary highlights 26,050–26,100 as an important resistance band and 25,700 as a key support area, with additional support zones lower down depending on the view. [44]
Is the rupee’s record low a problem for Indian stocks?
It can be. A weaker rupee can help exporters, but broad currency pressure can hurt sentiment and amplify volatility—especially when paired with foreign outflows. [45]
Is this article investment advice?
No. It’s a news-and-research-based market overview using publicly available reports and commentary dated 12 December 2025. Always consider your risk profile and consult a SEBI-registered adviser before acting.
References
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