Top Long-Term Stocks to Invest in India

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Last Updated: 14th July 2025 - 04:07 pm

5 min read

There’s a quiet confidence that comes from holding a stock for years — watching it grow, reinvest, and reward your patience. While trading might make headlines, it’s long-term investing that builds real wealth.

India’s investor base has steadily grown in the last few years, and more individuals are now thinking beyond quick wins. The rise of fintech apps, stock market literacy, and SIP-style investing has helped shift attention to shares for long term investment.

But selecting the best long term stocks isn’t about following trends or tips. It’s about understanding businesses — their models, numbers, market positions, and ability to adapt over time.

Best Long-Term Stocks to Invest

As of: 22 Aug, 2025 3:59 PM (IST)

CompanyLTPPE Ratio52W High52W LowAction
Reliance Industries Ltd. 1409.2 23.40 1,551.00 1,114.85 Invest Now
Tata Consultancy Services Ltd. 3054 22.40 4,592.25 2,991.60 Invest Now
Infosys Ltd. 1487.5 22.70 2,006.45 1,307.00 Invest Now
HDFC Bank Ltd. 1964.6 21.40 2,037.70 1,613.00 Invest Now
ITC Ltd. 398.3 14.30 528.50 390.15 Invest Now

Overview of Long-Term Stocks

Here are five companies often cited by analysts and wealth advisors as some of the best long term stocks in India, thanks to their fundamentals, scale, and adaptability:

Reliance Industries Ltd.
A diversified giant with interests in oil refining, telecom (Jio), and retail (Reliance Retail), Reliance continues to reinvent itself. Its push into green energy and digital platforms could be a defining long-term growth engine.

  • Market Cap: ₹20+ lakh crore
  • Why it stands out: Strong execution across sectors, future-ready bets

A staple in many portfolios, Reliance is often a top pick when looking for the best share for long-term investment.

TCS Ltd.
India’s largest IT services company with a global footprint. TCS continues to post healthy margins and remains a leader in digital transformation services.

  • Dividend Yield: ~1.5%
  • ROE: Consistently above 30%

Why it stands out: Cash-rich, zero-debt company with high client retention
For many, it’s the textbook definition of a long-term share.

Infosys Ltd.
Another strong IT performer, Infosys has shown agility in shifting to cloud and AI-led services. Despite market volatility, it has remained a steady compounder.

  • Dividend Payout: Generous
  • Why it stands out: Good governance, global relevance, strong brand recall

Infosys remains a top choice among best stocks to buy for long-term income and growth.

HDFC Bank Ltd.
A private banking leader with a long record of disciplined growth, low NPAs, and innovative digital banking practices. With its merger with HDFC Ltd., the bank has become even more formidable.

  • CASA Ratio: Among highest in the industry
  • Why it stands out: Credit growth + retail reach + tech-forward banking

If you’re building a core portfolio of shares for long term investment, HDFC Bank is hard to ignore.

ITC Ltd.
ITC has evolved from a tobacco-major to a diversified FMCG, agri, and hotel player. Recent margin improvement and consistent dividend payouts make it an attractive long-term investment stock.

  • Why it stands out: Strong FMCG play, high free cash flows
  • Bonus: Dividend yield of ~3-4%

ITC's recent FMCG scaling and capital allocation discipline have made it a late-stage favourite in the best long term stocks India list.

Why Long-Term Investing Works

Investing with a 5-, 10-, or 20-year horizon helps investors bypass short-term noise and benefit from the most powerful principle in finance: compounding.

Time in the Market > Timing the Market

Compounding is more than a buzzword. When investors remain invested through market cycles, they allow returns to build on top of previous returns. Even modest annual gains — when left untouched — can deliver meaningful results over decades.

This is why seasoned investors often say: the best long term stocks in India aren’t the most exciting ones, but the most consistent.

Volatility Becomes an Ally

Markets rise and fall — and long-term investors learn to ride through it. Instead of reacting to every dip, they focus on staying invested in fundamentally strong long-term share opportunities. Historically, high-quality companies tend to recover and outperform.

What Makes a Stock Long-Term Worthy?

Not every stock deserves a place in your retirement portfolio. Great long-term investment stocks tend to share a few critical qualities:

Quality Why It Matters
Financial Stability Steady revenue, growing profits, low debt
Dividend Track Record Optional income layer; shows confidence and discipline
Market Leadership Competitive advantage or dominant market share
Scalable Business Model Growth potential without proportionate cost spikes
Trend Alignment Business aligns with structural or economic tailwinds

If a company can tick 3–4 of these boxes, it may qualify as a best share to buy for the long term.

How to Research the Best Long-Term Stocks

Finding long-term investment stocks starts with thoughtful research. Here’s a simple checklist:

Study the Business Model
Ask: How does the company make money? Is its product/service essential? Companies with sticky demand and repeat customers usually offer better long-term returns.

Review Financial Statements
Look for:

These are hallmarks of the best long term stocks investors seek.

Understand Industry Dynamics
Even the best long-term stocks India has to offer can falter in a dying industry. Focus on sectors with a future — like digital transformation, green energy, or financial services — and evaluate how the company fits in.

Compare with Peers
Being profitable isn’t enough. How does the company rank among competitors in scale, innovation, margins, and brand value?

Common Pitfalls to Avoid in Long-Term Investing

Risk Description Why It Matters
Overpaying for Hype Entering at inflated valuations Dampens returns, even for good stocks
Ignoring Business Changes Management exits, disruption, fraud Can damage long-term viability
Regulatory Shocks Policy risks in sectors like banking, pharma Impacts performance regardless of fundamentals
Lack of Diversification Too few or sector-heavy stocks Increases volatility and downside
Macroeconomic Impact Inflation, interest rate hikes, war Can affect all stocks, testing investor resolve

A successful long-term investor knows that a solid entry price and periodic reviews are as important as patience.

Conclusion: Let Growth Work Quietly

Long-term investing is about discipline, not drama. It means choosing quality businesses and giving them the time to grow, evolve, and reward you. It asks you to ignore the noise, back your research, and stay the course.

In a world chasing fast gains, there’s something quietly powerful about watching a well-chosen stock grow slowly but surely. When you pick the best share to buy for the long term, you're not just betting on the market — you're believing in a business.

As India's economy matures, opportunities for thoughtful, patient investing will only grow. Whether you're looking at the best stocks to invest in India for the long term or revisiting your old holdings, always bring your lens back to the fundamentals.
 

Disclaimer: This blog is intended solely for educational purposes. The securities and investments mentioned are not to be construed as recommendations.

Frequently Asked Questions

Is it safe to buy in shares for the Long Term?  

How can you invest in the best shares to buy for the long term using 5paisa?  

How can I reduce my risk when buying long-term stocks?  

To reduce danger when buying in long-term stocks, consider the following strategies: 

● Diversification: Spread your investments across different areas, businesses, and asset types to lower risk to any company or industry. 
● Fundamental analysis: Conduct a detailed study on the company's financials, management, competition environment, and growth possibilities before buying. 
● Dollar-cost averaging: Invest a set amount at regular times, regardless of market conditions, to average the cost of your purchases over time. 
● Stop-loss orders: Set endpoints to prevent possible losses if the stock price drops significantly. 
● Portfolio rebalancing: Review and adjust your portfolio to keep your desired asset mix and risk profile. 
 

Are these shares suitable for thrifty investors?  

What is the difference between short-term and long-term stock investing?  

Can I make significant gains from buying long-term stocks?  

How does market instability impact the value of long-term stocks?  

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