HDFC Bank, Bharti Airtel: Analysts pick 8 blue-chip stocks to own this July

The second half of CY25 might paint a stable, if not entirely positive, trajectory for the D-street. While investor sentiment continues to improve with tariff-related uncertainties taking a breather, the risk factor driven by flip-flopping policy stances still lingers. However, equity market analysts are expecting stronger earnings for FY26 compared to the previous fiscal, which might provide support to the markets on the upside.

 

Axis Securities has maintained its Mar’26 Nifty target at 26,300, based on 20x Mar’27 earnings, signalling a minor upside of over 3 per cent from current levels. "We expect near-term consolidation in the market, with breadth likely remaining narrow in the immediate term. If the two upcoming events—trade related uncertainty easing further and the absence of major negative surprises in Q1FY26 earnings—play out as expected, the market is likely to make a new high in the upcoming earnings season," the Axis Securities stated in its recent report.

 

After a subdued start to 2025, the Indian stock market made a strong comeback during the closing of H1. The benchmark Nifty witnessed a 15 per cent surge from March lows, with mid and small-caps following the uptrend.  The report pointed out that the overall breadth of the market has improved significantly over the last 3-month period. A combination of factors, including global uncertainties taking a breather and the RBI's liquidity infusion, provided the momentum to the overall market trajectory. That apart, an uptick in the government capex spending and a consumption boost in this year's budget also added to the overall optimism. With the earnings season in sight, all eyes are now on how India Inc's first quarter played out in FY26.

 

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Fresh highs possible?

In a bull case, the brokerage values Nifty at 21x, implying a Mar’26 target of 27,600. However, the assumption is built on a Goldilocks scenario marked by lower volatility and a soft landing in the US market. On the flip side, the bear case pegs Nifty at 17x, translating to a Mar’26 target of 22,300. Meanwhile, a supportive macro backdrop along with rising capex, is expected to support market momentum going forward. Axis Securities projected Nifty earnings to deliver a robust 14 per cent CAGR (compound annual growth rate) over FY23–27.

 

As markets continue to trade range-bound, Axis Securities suggests buying these stocks in July 2025 with a one-year horizon-

 

Bajaj Finance Ltd. 

CMP (Current market price): ₹937

Target price: ₹1,050

Upside: 12 per cent

 

State Bank of India

CMP: ₹820

Target price: ₹1,025

Upside: 25 per cent

 

Varun Beverages

CMP: ₹458

Target price: ₹650

Upside:42 per cent

 

HDFC Bank

CMP: ₹2,002

Target price: ₹2,250

Upside: 12 per cent

 

Bharti Airtel

CMP: ₹2,010

Target price: ₹2,330 

Upside:16 per cent

 

Shriram Finance

CMP: ₹707

Target price: ₹790

Upside:12 per cent

 

Hero MotoCorp

CMP: ₹4,237

Target price: ₹5,030

Upside: 19 per cent

 

Avenue Supermarts

CMP: ₹4,372 

Target price: ₹5,091

Upside:16 per cent