Why This Matters
Most people overestimate what they can earn in a year—and underestimate what they can build in ten. The Indian economy is set to undergo a massive transformation by 2035, and those who invest with patience, clarity, and discipline today can build serious wealth by riding that wave.
Compounding Over a Decade: The Buffett Mindset
Warren Buffett famously said, “Our favorite holding period is forever.” Long-term investing isn’t about predicting next quarter’s earnings — it’s about letting time multiply your wealth through compounding. A decade gives companies room to innovate, scale, and ride out short-term volatility, turning even average performers into market-beaters.
Why 2025 Is a Great Time to Plan Your 2035 Portfolio
With India poised for its next growth wave — driven by formalization, digital expansion, and infrastructure upgrades — 2025 offers a golden entry point. Volatility remains, but the structural story is intact. Laying a strong 10-year portfolio now could mean riding the full curve of India’s economic transformation.
In this article, we’ll explore 10 powerful Indian stocks—across different sectors and market caps—that are best positioned to grow steadily over the next decade. These aren’t hype picks. These are companies that can ride cycles, survive downturns, and keep compounding earnings.
How We Picked These 10-Year Compounders
We didn’t just look at past returns or recent news. Each stock on this list was selected based on:
- Strong financials: healthy balance sheet, ROCE, and profit growth
- Sectoral tailwinds: aligned with long-term trends like digital, green energy, infrastructure
- Management quality: proven execution track record and capital allocation
- Future visibility: products/services likely to remain relevant till 2035
- Valuation sanity: not outrageously priced for future expectations
10 Best Indian Stocks to Hold Till 2035
Let’s dive into each one with insights, not hype.
1.HDFC Bank – The Bedrock of India’s Financial System
India’s largest private bank continues to scale with discipline. Even post-merger with HDFC Ltd., its loan book growth, CASA ratio, and net interest margins remain stable.
Why it’s a decade-long hold:
Dominates retail lending in an underpenetrated credit market
Tech investments give it an edge over PSU banks
Very low NPAs and superb asset quality even in tough times
2025 Performance Snapshot:
Stable loan growth of 14%, Net Interest Margin (NIM) held steady around 4%, and Q4 FY25 profit rose ~10% YoY — signs of healthy core banking performance despite sectoral pressure.
Investor Insight:
HDFC Bank isn’t flashy, but it’s like buying peace of mind — consistent, clean, and crucial to India’s financial backbone.
Key risk: Slower margin expansion due to higher cost of funds post-merger.
2.Tata Elxsi – India’s Most Unique Tech Play
Not your typical IT services firm. Tata Elxsi is at the intersection of automotive software, AI, design thinking, and med-tech.
Why it’s a decade-long hold:
Works on futuristic solutions: autonomous vehicles, digital health
High-margin niche with few real competitors
Part of the Tata ecosystem ensures credibility and scale
2025 Performance Snapshot:
Slower growth at 11% YoY, margins dipped slightly due to rising costs. Focus areas like EV, ADAS, and design-tech remain strong.
Investor Insight:
Tata Elxsi might pause for breath, but its niche is so future-focused, any dip could be a decade-long entry point.
Key risk: Valuations remain expensive; needs sustained execution.
3.DMart (Avenue Supermarts) – The Retail Execution Giant
Owned by Radhakishan Damani, DMart is known for its unbeatable operational efficiency and frugality. It owns its stores, unlike other retail chains, giving it margin advantage.
Why it’s a decade-long hold:
Consistent growth in store network and same-store sales
Minimal debt + high return ratios
India’s consumption story will only grow stronger
2025 Performance Snapshot:
Revenue up 20% YoY, net profit rose 18%, but valuation stretched at ~100x PE. Store expansion steady at ~30 new stores in FY25.
Investor Insight:
DMart is India’s Costco. Expensive today, yes — but hard to bet against such execution and market love.
Key risk: Online grocery disruption from JioMart, BigBasket, etc.
4.Divi’s Laboratories – Silent Wealth Creator in Pharma
A bulk drug and API giant, Divi’s is a silent compounder that exports to big global pharma players with zero debt and world-class facilities.
Why it’s a decade-long hold:
Custom synthesis leader with R&D edge
Stable cash flows, healthy margins, and promoter skin in the game
Global trend of “China + 1” benefits Indian players like Divi’s
2025 Performance Snapshot:
Revenue stayed flat in FY25 due to API price compression, but strong balance sheet and pipeline for complex generics remain intact. Zero debt.
Investor Insight:
Divi’s might look boring now, but it’s a tortoise — slow, steady, and lethal when industry winds shift.
Key risk: Pricing pressure in generics and global regulatory scrutiny.
5.Larsen & Toubro – The Infra Heartbeat of India
With India entering a capital expenditure supercycle, L&T is positioned to benefit from every government infrastructure push—from highways to metro to defence.
Why it’s a decade-long hold:
Huge order book across infra, power, defence
Strong subsidiaries (LTI Mindtree, L&T Finance) add value
Dividend-paying, well-run engineering giant
2025 Performance Snapshot:
Robust order book (~₹4 lakh crore), 17% revenue growth in infra and hydrocarbon, and double-digit ROE — infrastructure tailwinds clearly at play.
Investor Insight:
If India builds, L&T benefits. It’s the engine behind every highway, metro, and refinery you see around you.
Key risk: Execution risk, long project cycles can delay earnings.
6.Bajaj Finance – The Disrupter in Lending
Once a small NBFC, today it’s India’s most tech-savvy lender with data-driven credit practices and an insanely diversified loan book.
Why it’s a decade-long hold:
Leadership in personal loans, consumer durables, digital EMIs
25–30% profit growth historically
Expanding its financial super-app ecosystem
2025 Performance Snapshot:
AUM grew 33%, PAT up 21%, NPAs under control. Market remains wary of RBI regulations, but core business shows no signs of fatigue.
Investor Insight:
The company is like a fintech inside an NBFC. If it can keep innovating without overextending, the upside is massive.
Key risk: Regulatory tightening in NBFC space, interest rate cycles.
7.Infosys – Evergreen IT Compounder
While flashy tech startups come and go, Infosys quietly delivers quarter after quarter. With a strong global client base and digital transformation tailwinds, it’s built for the long haul.
Why it’s a decade-long hold:
Healthy margins, huge cash reserves
Strong governance and dividend track record
Exposure to AI, cloud, automation transformation globally
2025 Performance Snapshot:
Revenue growth slowed to ~4% YoY in FY25 due to global IT cuts, but large deal wins worth $17B+ offer strong pipeline visibility. PE at ~23x remains fair for long-term bets.
Investor Insight:
You don’t buy Infosys for quarterly excitement — you buy it for digital leadership, stability, and eventual upcycles.
Key risk: Pricing pressures from global slowdowns, tight labor markets.
8.ITC – The Reborn Giant
ITC has moved beyond being “just a cigarette stock”. Its FMCG arm is scaling, its hotels are rebounding, and it generates strong free cash flow while paying regular dividends.
Why it’s a decade-long hold:
Strong FMCG brands: Aashirvaad, Sunfeast, Yippee
Consistent profits + high dividend yield
Low downside risk, high stability
2025 Performance Snapshot:
FY25 saw stable cigarette volume growth and 19% jump in FMCG revenue. Hotel and paper segments continue gaining margin traction. ROCE remains over 30%.
Investor Insight:
ITC is finally being recognized beyond cigarettes — it’s turning into a true FMCG compounder hiding in plain sight.
Key risk: Overhang from ESG investors on tobacco exposure.
9.Jio Financial Services – The Underrated Dark Horse
Spun out of Reliance, Jio Financial has access to India’s largest telecom user base and could disrupt fintech, lending, insurance, and more in coming years.
Why it’s a decade-long hold:
Huge addressable market
Synergy with Reliance Retail and Jio
Potential to become India’s PayPal-meets-Bajaj Finance
2025 Performance Snapshot:
FY25 saw limited financial data, but JFS rolled out initial NBFC and insurance products. Valuation still speculative but asset-light scaling underway.
Investor Insight:
It’s early innings — this is more a bet on Reliance’s execution power than any current numbers.
Key risk: Too early to judge execution quality and margins.
10.IRCTC – Monopoly + High Margin + Digital India
IRCTC is the one-of-a-kind digital monopoly in India’s railway ticketing, catering, tourism, and water services.
Why it’s a decade-long hold:
50%+ net profit margins
High RoE and consistent dividend payouts
India’s rising travel population = long-term user base
2025 Performance Snapshot:
FY25 revenue up 18%, catering rebounded post-COVID, and net profit improved. Monopoly status intact with ~75% net margins in ticketing.
Investor Insight:
It’s rare to get a legal monopoly in a growth market. IRCTC may be capped by rail growth speed, but it’s still a gem.
Key risk: Regulatory risk due to being a government-owned entity.
How to Build Your 2035 Portfolio
Don’t invest all your money in one or two themes. Instead, create a healthy mix:
Largecap Core: HDFC Bank, Infosys, ITC
Midcap Growth: Tata Elxsi, Divi’s Labs, Bajaj Finance
Future Disruptors: Jio Financial, IRCTC
Infra & Consumption: L&T, DMart
Review your portfolio once a year. Don’t overreact to short-term volatility. These are businesses, not tickers.
Risks to Keep in Mind
Even great businesses face risks:
- Regulatory changes in lending, pharma, or digital monopolies
- Global cycles affecting IT and export-led businesses
- Valuation froth in midcaps, especially during bull runs
- Black swan events (e.g. pandemics, wars, financial crises)
So, always keep some cash, don’t chase FOMO, and trust the process.
Final Thoughts
If you want to create real wealth, time in the market is your biggest ally. These 10 stocks represent India’s future—digitally, financially, and physically. Pick quality, stay invested, and let the next 10 years surprise you with their compounding magic.
