Stocks to buy for long term: From ITC, Titan to L&T— Rahul Ghose of Hedged recommends 10 shares; do you own any?

Stocks to buy for the long term: At first glance, it appears that the Indian stock market has failed to sustain gains despite a pro-growth Union Budget 2026 and an India-US trade deal.

Even though the Union Budget 2026 avoided populism and maintained its focus and growth and fiscal consolidation, a hike in STT on F&O triggered a massive selloff. In the next session, the market rebounded as dust settled over STT and market focus shifted to the Budget's pro-growth measures.

On February 3, the indices jumped sharply after an India-US trade deal was announced. However, the next day, the market traded mutedly.

With the major event behind, the market's focus has shifted back to fundamentals, such as earnings growth and valuations.

Experts say investors should focus on stocks and pick quality names across sectors rather than expecting a broad-based rally.

Rahul Ghose, Founder and CEO, Octanom Tech and Hedged.in, suggests the below 10 stocks to buy for the long term. Take a look:

IDFC First Bank | Target price: ₹105 – ₹110

Despite a slight post-budget dip in the banking sector due to higher government borrowing concerns, IDFC First Bank remains fundamentally strong, said Ghose.

"Its focus on retail franchise building and improving asset quality makes it a long-term favourite. It is currently viewed as undervalued with a solid 'buy' consensus from analysts," said Ghose.

ITC | Target price: ₹365– ₹415

Ghose highlighted that ITC faced a significant 'excise bombshell' in the form of a sharp hike in cigarette taxes effective February 1, 2026.

"While this has led to immediate target price cuts by brokerages like Nuvama, the stock’s FMCG and Agri-business growth (11% YoY) provides a safety net," Ghose said.

"Sharp cigarette tax hike risks legal volume growth in the short term. However, we remain positive for the long term due to attractive valuations and high dividend yield," Ghose said.

Titan Company | Target price: ₹5,000

"Titan continues to be a top pick in the consumer discretionary space. Post-budget, the focus on increasing disposable income and the shift toward organised jewellery players keeps it in the buy zone," said Ghose.

"The Budget was positive, as it will benefit from tax reforms aimed at a 'trust-based regime' and stable consumer demand," Ghose said.

Tata Steel | Target price: ₹210

Ghose highlighted that the steel giant is nearing its 52-week high, supported by the government’s massive ₹15.48 lakh crore effective capital expenditure for FY26.

Infrastructure demand is expected to keep steel prices firm despite global volatility.

Ghose underscored that the Budget was highly positive for Tata Steel due to continued record-high infrastructure and railway allocations.

Axis Bank | Target price: ₹1,520

“With a 31% return over the last year and healthy NIMs, Axis Bank is well-positioned to benefit from the Budget's push for stable, long-term NRI capital (PROI cap raised to 10%),” said Ghose.

Biocon | Target prices: ₹420 – ₹450

"Biocon is a primary beneficiary of the ₹10,000 crore 'Biopharma Shakti' outlay announced in Budget 2026. This scheme aims to develop India into a global hub for biologics and biosimilars, directly aligning with Biocon’s core business," said Ghose.

Bharat Electronics (BEL) | Target price: ₹500

The defence sector remains a budget darling with a potential 20% increase in capital outlay to maintain operational readiness.

"BEL, with its robust order book and focus on indigenisation, saw immediate institutional buying post-budget," said Ghose.

Mahindra and Mahindra (M&M) | Target price: ₹4,220 – ₹4,520

M&M is capitalising on the rural demand recovery and the budget’s focus on agricultural mechanisation.

"With a consensus buy and a strong SUV pipeline, analysts see significant upside from current levels," Ghose noted.

The Budget 2026 was positive for the company due to the rural economy and EV infrastructure pushes.

ICICI Lombard | Target price: ₹2,100

The insurance sector is poised for growth as the budget emphasises building resilience and structural reforms.

ICICI Lombard’s steady market share and healthy claims ratio make it a defensive yet growth-oriented pick," said Ghose.

Larsen and Toubro (L&T) | Target price: ₹4,650

"L&T remains the ultimate proxy for India’s capex. With a massive order pipeline of ₹5.9 trillion and the budget’s 4.2 times increase in capital expenditure since FY18, it is a must-have for an infra-heavy portfolio," said Ghose.

Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of the expert, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.