SBI, Infosys and 8 Other Stocks That Could Rally in 2026; Do You Own Any?

When global investors look for well-researched, long-term stock ideas, they often turn to HSBC. Backed by deep sectoral expertise, on-ground research, and a disciplined, fundamentals-first approach, HSBC’s stock picks are closely tracked for their data-driven rationale rather than short-term noise.

HSBC (The Hongkong and Shanghai Banking Corporation) is a massive multinational bank and financial services group, founded in 1865 to finance trade between Europe, China, and India, now operating globally with a presence in many countries and offering services from personal banking and wealth management to commercial and investment banking. 

Headquartered in London, it serves millions of customers worldwide through its key business areas: Wealth and Personal Banking, Commercial Banking, and Global Banking & Markets.

Listed below are the 10 stocks picked by HSBC that could rally in 2026

State Bank of India (SBI)

With a market capitalisation of Rs. 9.04 lakh crores, the stock closed in the green at Rs. 980.15 on Friday. The analysts of global brokerage firm HSBC have issued a ‘buy’ rating for SBI, setting a target price of Rs. 1,110 per share, indicating a potential upside of over 13 percent from Friday’s closing price.

HSBC believes SBI’s loan growth in FY26 and FY27 will be in line with, or potentially exceed, overall system growth. The bank’s relatively low loan-to-deposit ratio (LDR) positions it well to expand its lending book faster than industry trends over the foreseeable future.

SBI is a Fortune 500 company and an Indian Multinational, Public Sector banking and financial services statutory body headquartered in Mumbai. It is the largest and oldest bank in India, with over 200 years of history.

Infosys Limited

With a market capitalisation of Rs. 6.81 lakh crores, the stock closed in the green at Rs. 1,639.6 on Friday. HSBC have issued a ‘buy’ rating for Infosys, setting a target price of Rs. 1,720 per share, indicating a potential upside of around 5 percent from Friday’s closing price.

HSBC expects the macro environment to become more stable by FY27, supporting a rebound in IT spending. The brokerage projects a 5-7 CAGR in the sector, compared with 3-4 percent over the past three years, driven by higher discretionary project demand. This outlook favours Infosys, which has historically outperformed peers when discretionary spending improves.

Infosys Limited provides consulting, technology, outsourcing and next-generation digital services to enable clients to execute strategies for their digital transformation.

Mahindra & Mahindra Limited

With a market capitalisation of Rs. 4.48 lakh crores, the stock closed in the green at Rs. 3,602.9 on Friday. HSBC have issued a ‘buy’ rating for M&M, setting a target price of Rs. 4,000 per share, indicating a potential upside of around 11 percent from Friday’s closing price.

HSBC remains positive on M&M due to its strong earnings resilience. The company aims for an eightfold expansion in its auto business between 2020 and 2030, implying a 20 percent revenue CAGR over the next five years. Analysts also expect M&M to outperform peers in FY26, supported by the full-year impact of recent product launches.

Mahindra & Mahindra Limited is one of the most diversified automobile companies in India with a presence across 2-wheelers, 3-wheelers, PVs, CVs, tractors & earthmovers.

Adani Ports and Special Economic Zone Limited

With a market capitalisation of Rs. 3.23 lakh crores, the stock closed in the green at Rs. 1,496 on Friday. HSBC have issued a ‘buy’ rating for Adani Ports, setting a target price of Rs. 1,700 per share, indicating a potential upside of around 14 percent from Friday’s closing price.

HSBC highlights that Adani Ports is demonstrating strong growth across all segments, with particularly notable margin improvement in its international ports and logistics operations. While faster expansion in the lower-margin logistics segment may dilute overall margins, HSBC notes that these emerging businesses require significantly lower capex and typically deliver higher ROCE. This dynamic, it believes, should support a valuation re-rating for the stock.

Adani Ports and Special Economic Zone Limited (SEZ) is engaged in the business of development, operations and maintenance of port infrastructure (port services and related infrastructure development) and has a linked multi-product SEZ and related infrastructure contiguous to the Port at Mundra.

Apollo Hospitals Enterprises Limited

With a market capitalisation of Rs. 1 lakh crores, the stock closed in the green at Rs. 7,014.35 on Friday. HSBC have issued a ‘buy’ rating for Apollo Hospitals, setting a target price of Rs. 8,510 per share, indicating a potential upside of over 21 percent from Friday’s closing price.

HSBC maintains a positive outlook on Apollo Hospitals, citing robust growth prospects in its core hospital business and strong ramp-up potential for the Apollo 24/7 digital health platform. The platform is expected to reach cost-neutrality within the next few quarters. Apollo is also scaling its insurance services through 24/7, which is projected to become a meaningful contributor to GMV and profitability over time.

Apollo Hospitals Enterprise Limited is mainly engaged in enhancing the quality of life of patients by providing comprehensive, high-quality hospital services on a cost-effective basis and providing/selling high-quality pharma and wellness products. The principal activities of the company include the operation of multidisciplinary private hospitals, clinics and pharmacies.

Hindalco Industries Limited

With a market capitalisation of Rs. 1.91 lakh crores, the stock closed in the red at Rs. 851.75 on Friday. HSBC have issued a ‘buy’ rating for Hindalco, setting a target price of Rs. 1,040 per share, indicating a potential upside of around 22 percent from Friday’s closing price.

HSBC forecasts a healthy EBITDA CAGR of 14.6 percent for Hindalco over FY24-28, supported by firm aluminium prices, margin recovery at Novelis, and the commissioning of key projects driving volume expansion across upstream, downstream, and copper segments in India, as well as at Novelis. With aluminium continuing to be the sector’s preferred metal, Hindalco is well-positioned to benefit from both volume growth and ongoing cost-efficiency initiatives. Hindalco Industries Limited is primarily engaged in the business of two main streams of business, namely Aluminium and Copper.

ICICI Lombard General Insurance Company Limited

With a market capitalisation of Rs. 97,250.3 crores, the stock closed in the green at Rs. 1,952.8 on Friday. HSBC have issued a ‘buy’ rating for ICICI Lombard, setting a target price of Rs. 2,250 per share, indicating a potential upside of over 15 percent from Friday’s closing price.

HSBC identifies ICICI Lombard as its top pick within India’s insurance sector. The brokerage expects the company to outpace industry premium growth over the medium term, supported by sustained investments in product development and distribution. ICICI Lombard is also well-positioned to maintain its strong market share in motor insurance while meaningfully expanding its presence in the currently under-penetrated retail health insurance segment.

ICICI Lombard General Insurance Company Limited is one of the leading and established private sector general insurance companies in India, offering a well-diversified range of products and risk management solutions through multiple distribution channels.

Kalyan Jewellers India Limited

With a market capitalisation of Rs. 50,053 crores, the stock closed in the green at Rs. 484.7 on Friday. HSBC have issued a ‘buy’ rating for Kalyan Jewellers, setting a target price of Rs. 690 per share, indicating a potential upside of over 42 percent from Friday’s closing price.

HSBC maintains a positive outlook on India’s jewellery sector and believes Kalyan Jewellers is well-placed to capitalise on the industry’s structural growth. The company plans to open 84 new Kalyan showrooms in India, 6 international outlets, and 80 Candere stores this year, signalling aggressive expansion. HSBC also expects the company’s PBT margin to improve in H2 FY26, supported by lower interest costs.

Kalyan Jewellers India Limited is one of the leading jewellery chains in India, headquartered in the city of Thrissur in Kerala. It operates through a chain of retail showrooms located across India. It also has operations in the Middle East, USA and UK, through wholly owned subsidiaries and step-down subsidiaries.

Marico Limited

With a market capitalisation of Rs. 96,182 crores, the stock closed in the red at Rs. 740.95 on Friday. HSBC have issued a ‘buy’ rating for Marico, setting a target price of Rs. 870 per share, indicating a potential upside of over 17 percent from Friday’s closing price.

Marico is HSBC’s preferred pick in the staples category. The brokerage highlights the company’s strategic focus on diversification and aggressive inorganic expansion as key differentiators within the FMCG sector. While its core edible oil and coconut oil brands (Saffola and Parachute) remain stable growth drivers, Marico’s momentum in foods, personal care, and D2C-led brands is expected to drive incremental growth.

Marico Limited carries on business in branded consumer products. In India, the company manufactures and markets products under the brands such as Parachute, Saffola, Saffola FITTIFY, Hair & Care, Parachute Advansed, Nihar Naturals, Mediker, Pure Sense, Coco Soul, Revive, Set Wet, Livon, Beardo, Just Herbs, True Elements and Plix. 

The international products portfolio of Marico includes brands like Parachute, Parachute Advansed, HairCode, Fiancée, Purité de Prôvence, Ôliv, Caivil, Hercules, Black Chic, Code 10, Ingwe, X-Men, Thuan Phat and IsoPlus.

Phoenix Mills Limited

With a market capitalisation of Rs. 65,518 crores, the stock closed in the green at Rs. 1,832.2 on Friday. HSBC have issued a ‘buy’ rating for Phoenix Mills, setting a target price of Rs. 2,110 per share, indicating a potential upside of over 15 percent from Friday’s closing price.

HSBC notes that Phoenix Mills has evolved from operating a single mall to becoming India’s largest mall operator. The company is transitioning into a full-fledged mixed-use developer with a portfolio spanning malls, hotels, and residential projects. According to the brokerage, Phoenix Mills is adding new leasable space at an accelerated pace, while its established malls are undergoing upgrades, reinforcing its leadership in the premium retail real estate segment.

The Phoenix Mills Limited is engaged in the operation and management of malls, the construction of commercial and residential property and hotel business in India.

Written by Shivani Singh

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