Motilal Oswal top 5 quant strategy stocks for July 2025: Full list here

Stocks to Buy: Motilal Oswal recommends quant strategy for July 2025; here are 5 best tactical bets within the MOFSL universe with a Buy rating.

Quant Multi-Factor Watchlist - July 2025

Navigating the dynamic stock market demands a robust strategy. Multi-factor investing combines multiple proven metrics to identify stocks with strong potential, filtering out short-term volatility and focusing on consistent return drivers for the long term. This multi-factor ranking approach helps us shortlist the best tactical bets within the MOFSL universe with a 'Buy' rating.  CATCH STOCK MARKET UPDATES TODAY LIVE

 

What is Multi-Factor Investing?

Multi-factor investing integrates several investment styles into a single strategy, selecting stocks that excel in:

• Value: Stocks trading below their intrinsic worth.
• Quality: Companies with strong financial fundamentals.
• Momentum: Stocks with positive price trends.
• Earnings Surprise: Stocks with recent upward revisions in earnings estimates.

This approach enhances consistency and reduces the risk of chasing fleeting trends. Motilal Oswal Financial Services Ltd. (MOFSL) employs an in-house Quant model to rank stocks within its research universe, selecting only those with a Buy rating.

Top 5 stocks in Quant Watchlist - July 2025:

The following stocks, all carrying a Buy rating from MOFSL analysts, rank highest in our Quant model, balancing value, quality, momentum, and earnings surprise:

CEAT Ltd (CEATLTD):

 

Excels in quality with recent earnings upgrades, signalling strong analyst confidence in future profitability. Moderate momentum and value scores suggest steady growth potential. 

Hindustan Petroleum Corp (HINDPETRO):

 

A standout for its attractive valuation and strong earnings surprise, with recent upward revisions in earnings estimates. Emerging momentum indicates growing market traction.

NMDC Ltd (NMDC):

 

A well-rounded pick with high scores in quality, value, and earnings surprise. Despite lower momentum, its robust fundamentals and analyst optimism make it a strong contender.

 

PNB Housing Finance (PNBHOUSING):

 

A high-momentum stock with a significant earnings surprise, reflecting analyst expectations of improved financials. Though quality scores are lower, rising investor sentiment fuels interest.

 

Union Bank of India (UNIONBANK):

 

A balanced choice with solid value, rising momentum, and positive earnings surprise. Improving financial estimates position this PSU bank as a compelling pick.

 

These stocks represent the top-ranked opportunities within the MOFSL universe, leveraging our multi-factor approach to deliver consistent, high-potential investment ideas for July 2025.  (Disclaimer: This article is by  Neil Jha, head of quant products, wealth management, Motilal Oswal Financial Services. Views expressed are his own.)