Motilal Oswal Identifies 5 Long-Term Stock Picks with Up to 48% Upside Potential

Market Sentiment Lifts Amid US-Iran War Tensions Ease

The Indian stock market, represented by the Sensex and the Nifty 50, experienced a sharp 3% jump in morning trade on Wednesday, April 1, in response to positive global cues and reports suggesting the US-Iran war could end in the next few days. US President Donald Trump has stated that the US military attacks on Iran could conclude within two to three weeks.

Despite the optimistic signals, crude oil prices remained elevated, posing a concern for the Indian economy and stock market. Brent crude futures rose by 2% to trade near $105 per barrel, following a 3% decline on Tuesday.

Experts believe that the worst of the West Asian conflict could be over, and this is the right time to invest in quality stocks that are available at lower prices. Sneha Poddar, VP of research-wealth management at Motilal Oswal Financial Services, has identified the following five stocks for long-term investment:

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Max Financial Services is expected to benefit from sustained industry-leading growth, with APE growth of 30% YoY in Q3FY26, leading to a 35% YoY increase in VNB, with margins expanding to 24.1%. The company's management continues to target 300–500bps faster growth than the industry, with FY26 growth likely trending ahead of earlier guidance.

ICICI Bank continues to deliver a well-rounded performance, supported by healthy loan growth, a strong liability franchise, and robust asset quality. The bank is well-positioned to deliver steady earnings growth, with PAT CAGR of nearly 16% and RoA and RoE of 2.3% and 16.4%, respectively, over FY26–28.

Tata Power Company is expected to benefit from record electricity consumption driven by early heatwaves and strong industrial activity. The company's Odisha discoms have turned profitable, with strong operational rankings, improved cash collections, and the ability to reinvest in growth segments.

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Aurobindo Pharma is strengthening its presence in the Penicillin-G (Pen-G) value chain through deep backward and forward integration, supported by scale and policy tailwinds. The company is well-positioned on the cost curve, with capacities of 15,000 TPA (Pen-G) and 5,400 TPA (6-APA), alongside process efficiencies and captive infrastructure.

IPCA Laboratories is witnessing improved growth visibility driven by a recovery in its domestic formulations business and a gradual pickup in exports. The company is strengthening its domestic portfolio through therapy expansion in cardiology, pain management, and entry into high-end dermatology.

These stocks offer a compelling risk-reward, supported by improving VNB margins, strong RoEV, and steady earnings growth.