Leading financial services firm Motilal Oswal has identified two stocks as its top investment picks for the week commencing December 22, 2025. The brokerage highlights significant upside potential in shares of defense electronics player Astra Microwave Products and consumer electricals major Crompton Greaves Consumer Electricals.
Detailed Analysis of the Top Stock Picks
The recommendations come with specific target prices and a breakdown of the investment rationale for each company. Investors are advised to consider these insights for potential portfolio additions.
Astra Microwave Products: A Defense Electronics Bet
Motilal Oswal has set a target price of Rs 1,100 for Astra Microwave Products (AMPL), implying a potential upside of 21% from its current market price (CMP) of Rs 907. The firm is a key domestic designer and manufacturer of RF and microwave systems.
The brokerage notes AMPL's strategic shift from being a subsystem supplier to becoming a full system solutions provider. This positions the company to capitalize on major opportunities in advanced defense projects. Key growth drivers include contracts related to AESA and Uttam radars, meteorological projects, repeat orders from the Navy, and the burgeoning counter-drone systems segment.
Financially, AMPL reported a robust order book of INR 22 billion as of September 2025. It achieved a revenue compound annual growth rate (CAGR) of 13% between fiscal years 2021 and 2025, while its EBITDA margins expanded impressively to 25.6% from 12.3%.
Looking ahead, Motilal Oswal forecasts an 18% revenue CAGR from FY25 to FY28, with margins stabilizing near 26%. It expects profit after tax (PAT) to grow at a CAGR of 23% in the same period. The analysts view AMPL as a compelling long-term opportunity, anticipating revenue growth to accelerate further during FY27–FY30 as larger orders are awarded by the Ministry of Defence and defence public sector undertakings.
Crompton Greaves Consumer Electricals: Powering Household Growth
For Crompton Greaves Consumer Electricals, Motilal Oswal has a target price of Rs 350, suggesting a substantial 36% upside from its CMP of Rs 257. Crompton is a powerhouse in India's consumer electricals space, holding leadership positions in several segments.
The company commands a 25% market share in fans and a dominant 30% share in residential pumps. It also ranks among the top three players in the lighting segment and is within the top five in consumer appliances.
A significant recent development is Crompton's majority acquisition of a 75% stake in Butterfly Gandhimathi Appliances. This strategic move is expected to significantly strengthen its appliance portfolio, particularly in kitchen appliances. The acquisition is projected to deliver revenue and cost synergies, supporting medium-term growth, market share expansion, and improved competitive positioning.
Despite expecting a temporary decline in EBITDA and PAT by 12% and 16% respectively in FY26E due to weather-related disruptions impacting the ECD segment, Motilal Oswal is bullish on the long term. It estimates a strong rebound with EBITDA and PAT CAGR of 17% and 21% over FY26-28. Operating profit margin (OPM) is forecast to improve to 10.3% in FY27 and 11.2% in FY28E, compared to an estimated 9.7% in FY26.
Investment Outlook and Final Takeaway
Motilal Oswal's weekly picks present two distinct investment themes: a high-growth defense electronics story and a steady consumer goods play with strong market dominance and strategic expansion. Both stocks are presented with clear catalysts for future growth and detailed financial projections.
Disclaimer: The recommendations, views, and opinions expressed by the brokerage are their own and do not represent the views of The Times of India. Investors are advised to consult with certified experts before making any investment decisions.
