In 2022, here are the 10 best stocks for a beginner's portfolio | Motilal Oswal

10 best stocks for a beginners portfolio


As an investor, knowing which stocks to invest in can make or break your investments. Despite the initial economic setbacks due to the pandemic the Indian economy bounced back and the benchmark indices Nifty 50 and Sensex, both rose over 20% in 2021. All the sector-specific indices ended 2021 in the green; metal and power indices each contributed more than 60%. 

This year, several stocks are set to make an impression in the market. Read on to find out the 10 best stocks for a starter portfolio in 2022.

What Are The Best Stocks For Beginners in 2022?

1. Reliance Industries

Reliance is a dominant player in its service and product portfolios, making it a high-value long-term investment. Henceforth, the consumer business aspects will be the main focus in terms of RIL’s growth. With a stock target of Rs.2,850, the company’s market value is expected to benefit from Jio Platforms’ digital ecosystem.

2. Motherson Sumi Systems 

With a target price of Rs.320, this business is expected to benefit from the industrial shift towards electric and hybrid vehicles. The idea is to gain traction with an increased focus on greater content per vehicle.

3. Gail India

Gail India currently has business primarily in transportation and natural gas. It is now aiming to expand into speciality chemicals, petrochemicals and renewables to supply its main business. The target price is currently set at Rs.170, and more profits from gas trading, stable growth in volume in the LPG segment are expected to increase value.

4. Ipca Laboratories

When it comes to domestic formulation, Ipca Lab has performed well across products and remained competitive in terms of cost and quality in API or active pharmaceutical ingredient segments. About 46% of the company’s revenue comes from the domestic market, and 54% comes from the international market, as of the fiscal year 2021. The target price is set at Rs.2,800.

5. Mahindra and Mahindra 

As the world’s largest manufacturer of tractors and the third-largest Indian manufacturer of passenger vehicles, Mahindra and Mahindra have set a target price of Rs.1,100. The company is aiming for a tenfold increase in the sector of agricultural implements.

6. Paras Defence and Space Technologies 

This company’s stock is a solid opportunity for investors who are looking at niche segments, given the Indian government’s focus on the defence sector.  Setting a target of Rs.1,300, Paras is aiming to make the most of import substitution opportunities brought about by the ‘Make in India’ and Atmanirbhar Bharat programmes.

7. Zen Technologies

Following the Indian government’s recent incentive programme for manufacturing drones and the relaxation of laws against flying drones, Zen Tech has seen a significant boost in production. An incentive plan of Rs.120 crores has been authorized by the government for the next 3 years. Zen Tech could very well be a  leading player in this sector and has currently set a target price of Rs.300.

8. Tata Consultancy Services (TCS) 

TCS has developed a loyal customer base over the years and has continued to reap profits even during the pandemic. As one of the top companies in the sector, the momentum is expected to continue. The digitization of services has greatly benefited the IT segment and the current target for TCS is Rs.4,400.

9. Hero MotoCorp 

Hero MotoCorp is a leading manufacturer of two-wheelers in India and nearly 50% of the Indian motorcycle market’s share is attributed to this company. With the introduction of electric vehicles in India, Hero is well placed to continue its domination in the market. The target price is currently set at Rs.3,200.

10. Bharti Airtel 

As a telecommunication company, Bharti Airtel has managed to not only survive in its sector but also thrive over the past 15 years. The client base has continued to grow, and the network capability has remained strong. The target price is Rs.870 as of now, and the company has shown great potential to continue growing in the coming years. 

  • Conclusion

If you wish to invest in stocks online, thorough research is an absolute must. Online platforms and mobile applications have made the entire investment process seamless and flexible. As a beginner, your priorities lie in figuring out your financial goals, risk tolerance, finding the best stocks for you and coming up with a solid investment strategy. With patience and the right tools, you can make the best of the investment opportunities available to you.

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