The Union Budget 2025 is just around the corner, and these stocks are poised for big gains
The Union Budget 2025, scheduled for presentation on February 1, 2025, is anticipated to introduce policies aimed at stimulating various sectors of the Indian economy. Investors are closely monitoring potential beneficiaries of these policy changes. Here are ten stocks that are likely to experience significant gains from the forthcoming budget:
1. Larsen & Toubro (L&T)
L&T, India’s leading engineering and construction conglomerate, is poised to benefit from the government’s continued emphasis on infrastructure development. The company has been securing substantial orders, both domestically and internationally, particularly in the Middle East. A boost in public capital expenditure could further enhance L&T’s growth prospects.
2. Hindustan Aeronautics Limited (HAL)
HAL, a key player in India’s defense manufacturing sector, stands to gain from increased defense spending. The government’s focus on indigenization and ‘Make in India’ initiatives in defense production positions HAL favorably for new contracts and collaborations.
3. Siemens India
Siemens India, a leader in industrial manufacturing and infrastructure solutions, is expected to benefit from government initiatives promoting industrial growth and modernization. The company’s expertise in electrification, automation, and digitalization aligns with the nation’s development goals.
4. Thermax Limited
Thermax, specializing in energy and environmental solutions, is likely to see growth opportunities with increased government focus on sustainable development and clean energy projects. The company’s offerings in waste management and renewable energy solutions position it well to capitalize on these initiatives.
5. Kalyan Jewellers
Kalyan Jewellers may experience a positive impact if the government increases customs duty on gold in the upcoming budget. Such a move could raise gold prices, benefiting established jewellery brands with existing inventory, as they can leverage the price increase to enhance margins.
6. Indian Railway Finance Corporation (IRFC)
IRFC, the financing arm of Indian Railways, is set to gain from increased budgetary allocations to the railway sector. Enhanced funding for infrastructure and modernization projects would bolster IRFC’s financial performance, given its critical role in funding railway expansions.
7. Rail Vikas Nigam Limited (RVNL)
RVNL, involved in the implementation of railway infrastructure projects, is expected to benefit from the government’s focus on expanding and upgrading the railway network. Increased budgetary support for railways would directly contribute to RVNL’s project pipeline and revenue growth.
8. JSW Cement
JSW Cement is poised to capitalize on the anticipated boost in infrastructure spending. The company’s recent approval for an Initial Public Offering (IPO) indicates its readiness to expand operations and meet the rising demand for construction materials.
9. Biocon Limited
Biocon, a leading biopharmaceutical company, may benefit if the government considers tax exemptions on drugs for chronic and rare diseases. Such policy changes would enhance Biocon’s market reach and affordability of its products, aligning with public health objectives.
10. Textile Sector Companies
Indian textile companies are likely to gain from government initiatives aimed at promoting the textile and garments industry. Financial support, tariff cuts, and incentives for local production, especially in light of disruptions in competing markets like Bangladesh, would enhance the competitiveness of Indian textile firms.
In conclusion, the Union Budget 2025 is expected to introduce measures that will significantly impact various sectors. Companies operating in infrastructure, defense, manufacturing, finance, and healthcare are poised to benefit from the anticipated policy initiatives, leading to potential gains in their stock performance.
