Radico Khaitan (CMP ₹4,419.75) and Bharti Airtel (CMP ₹1,852) are the top picks for the week starting October 19, 2026, according to Motilal Oswal Wealth Management’s research desk. Both stocks carry a 21% upside, with target prices set at ₹5,350 for Radico and ₹2,250 for Airtel. The recommendation hinges on structural tailwinds rather than short-term sentiment.
Radico’s thesis is straightforward: premiumization. Premium and luxury (P&A) volumes are growing at a 15% CAGR, reaching 17 million cases in FY26. This mix shift is driving margin expansion, with EBITDA margins projected to hit 20.4% in FY27E and 21.7% by FY29E. Management is targeting a net debt-free position by FY27, supported by accelerating free cash flow. The desk forecasts a 30% APAT CAGR over FY26–29E, aided by the India-UK FTA benefits and operating leverage.
Airtel’s case rests on ARPU resilience. The operator expects a ~15% tariff hike from 3QFY27, which should boost earnings. Additionally, the proposed Jio Platforms IPO at a reported ₹11 trillion valuation could act as a re-rating catalyst for the telecom sector. Airtel’s strategy focuses on consumption-linked pricing, unlimited plan upgrades, and rising postpaid adoption. Strong FCF generation provides flexibility to fund fibre and data center investments, while Airtel Africa offers earnings diversification.
The market reaction will likely be driven by how these fundamental shifts translate into quarterly results. Radico’s margin trajectory and Airtel’s tariff implementation are the key metrics to watch. Investors should note that these recommendations are based on current earnings forecasts and sector dynamics, subject to market volatility and macroeconomic changes.