BEL, HAL, Bayer among top analyst bets ahead of Budget 2026; check strategy

Stocks to buy from agri, defence ahead of Union Budget: Gaurang Shah of Geojit Investments prefers defence shares such as - Bharat Electronics, Cochin Shipyard, MTAR Technologies and BHEL.

Shares of agriculture (agri) and defence-related stocks are likely to be in the limelight in the run-up to the Budget 2026 in anticipation of higher allocation and sops to these sectors. Thus far in the month of January, agri and defence stocks have wilted under selling pressure amid a weak broader market trend.  From the agri space, stocks such as Bharat Rasayan, Indogulf Cropsciences, Astec Lifesciences, Punjab Chemicals, Heranba and Insecticides (India) plunged in the range of 15 - 30 per cent each. Whereas, Data Patterns, Ideaforge Technology, Avantel, Axiscades Technologies and Paras Defence from the defence sector dropped 9 - 17 per cent each. In comparison, Nifty shed 4 per cent, and the Nifty 500 index 5 per cent in the same period.  Gaurang Shah, head investment strategist, Geojit Investments remains positive on defence from a 1 - 2 year perspective; but cautious on agri-related stocks given the US-Iran geopolitical tension.  "When it comes to agri, there is a problem that we export a lot of agri-related commodities to Iran; now, given Trump's stance on countries doing business with Iran," cautions Shah  From the defence pack, the analyst likes Bharat Electronics (BEL), Cochin Shipyard, MTAR Technologies and BHEL.  On the contrary, G Chokkalingam, founder and head of research at Equinomics Research believes that the Budget may be favourable for agri stocks, and unfavourable for defence (excluding railways) in anticipation of higher allocation to the former sector.  ALSO READ | Q3 Results Today    The analyst explains that agri stocks deserve to outperform as the south-west monsoon and rabi crops were good, food grain production too is likely to be at record high level, and this sector has so far not been affected by global developments. Among individual stocks, Chokkalingam likes Bayer CropScience and Hindustan Aeronautics (HAL).  Meanwhile, technical analyst Aakash Shah of Choice Equity Broking expects BEL and Solar Industries to do well based on the existing chart patterns.  Here's how these BEL and Solar Industries are placed on charts 

BEL stock chart

Current Market Price: ₹414 

 

 

  BEL is consolidating after a strong uptrend, forming a bullish continuation structure on the daily chart. The stock trades above the 50- and 100-EMAs, while 20-EMA is acting as immediate dynamic support, indicating that bulls remain in control, explains Aakash Shah.  "Structurally, as long as the stock holds above ₹395, the bullish bias remains intact and opens the door for an upside move toward ₹440, followed by a potential extension toward ₹450," says Shah. 

Solar Industries stock chart

Current Market Price: ₹12,615 

 

  Aakash Shah says that Solar Industries is currently in a corrective and consolidation phase after a strong prior uptrend, with the stock forming lower-highs and lower-lows on the daily chart in recent months.  However, the stock sees strong support zone for the stock in ₹12,400 – ₹12,000 range.  "Structurally, ₹12,400 – ₹12,000 zone acts as a key demand area. As long as price holds above this base, the corrective structure remains intact and downside appears limited. A sustained close above the 50-EMA, followed by acceptance above the 200-EMA, would be required to signal trend improvement and favour a recovery toward the ₹13,500 – ₹13,800 resistance zone," explains Shah.  Disclaimer: The views expressed by the brokerage/ analyst in this article are their own and not those of the website or its management. Business Standard advises users to check with certified experts before taking any investment decisions.