Is your portfolio ready for a potential breakout? Just as the new year is about to kick off, a major brokerage has thrown down the gauntlet with two high-conviction calls that could define the early market moves of 2026. If you’re hunting for the absolute best stocks to buy right now, you need to pay close attention to Midwest and Ambuja Cement.
Motilal Oswal Financial Services Ltd has officially recommended a ‘Buy’ rating on both these names, citing compelling fundamentals and significant room for price appreciation. But what’s driving this bullishness? And is it too late to get in on the action? Let’s break it all down.
Table of Contents
- Why Motilal Oswal Is Bullish on These Stocks
- Deep Dive: Midwest Ltd (MIDWESTLTD)
- Deep Dive: Ambuja Cements Ltd (AMBUJACEM)
- Key Risks to Consider Before You Buy
- Final Verdict: Should You Add These to Your Portfolio?
Why Motilal Oswal Is Bullish on These Stocks
Motilal Oswal, a name synonymous with rigorous research in the Indian financial markets, doesn’t hand out ‘Buy’ calls lightly. Their latest report for the week commencing December 29, 2025, singles out Midwest and Ambuja Cements as top contenders . This isn’t just a casual suggestion; it’s a data-driven thesis backed by specific target prices that point to substantial upside from current levels.
For investors, this kind of clear, directional guidance from a credible source is gold. It cuts through the market noise and offers a potential roadmap for capital allocation in the short to medium term. Their confidence is rooted in a combination of strong financial performance, positive industry tailwinds, and strategic company-specific initiatives.
Deep Dive: Midwest Ltd (MIDWESTLTD)
Midwest Ltd, a player in the ceramics and marble sector, has been on a tear. The stock recently hit an all-time high of ₹1,700.65, a clear signal that the market is already responding to positive sentiment .
The Numbers Behind the Buzz
As of the market close on December 26, 2025, Midwest was trading around ₹1,687.20 . Motilal Oswal has initiated its coverage with a ‘Buy’ rating and a target price of ₹2,000 . This implies a potential upside of approximately 18.5% from its recent levels. A second analyst in the firm has a more conservative target of ₹1,31, but the primary call is firmly bullish .
Here’s a quick snapshot of its key metrics:
- Current Price (as of Dec 26): ₹1,687.20
- Motilal Oswal Target Price: ₹2,000.00
- Market Cap: ~₹6,101 Cr
- Sector: Basic Materials (Ceramics/Marble/Granite)
The company’s strong Return on Equity (ROE) of 18.7% and a healthy Return on Capital Employed (ROCE) of 21.7% suggest efficient use of shareholder capital . This financial strength is a key pillar of Motilal Oswal’s bullish thesis.
Deep Dive: Ambuja Cements Ltd (AMBUJACEM)
Ambuja Cements, a giant in the building materials space and part of the Holcim group, presents an even more tantalizing opportunity. Motilal Oswal has been a long-time bull on this name, and their latest target price suggests a massive runway for growth .
A 35% Upside Opportunity?
Ambuja Cements was trading at around ₹554.65 at the end of last week . Motilal Oswal has set a target price of ₹750 for the stock . If this target is realized, it would translate to a mouth-watering upside of nearly 35%. This aggressive target is underpinned by the company’s clear strategic roadmap, which includes a target of achieving an industry-leading EBITDA of ₹1,500 per ton by FY28, driven by significant cost savings across energy, logistics, and raw materials .
Key metrics for Ambuja include:
- Current Price (as of Dec 26): ₹554.65
- Motilal Oswal Target Price: ₹750.00
- Market Cap: ~₹1,37,100 Cr (Large Cap)
- Stock P/E: 23.9
For more on the broader building materials sector, check out our analysis on [INTERNAL_LINK:cement-sector-outlook-2026].
Key Risks to Consider Before You Buy
While the upside is attractive, no investment is without risk. For Midwest, its status as a small-cap stock (despite its recent surge) means it can be more volatile than the broader market. Its low beta of 0.21 suggests it’s less reactive to market swings, but small-caps can be heavily influenced by company-specific news.
Ambuja Cements, while a large-cap, is deeply tied to the health of the Indian real estate and infrastructure sectors. A significant economic slowdown or a sharp rise in fuel prices could pressure its margins. Investors should also be mindful of the ongoing board-approved merger activities with ACC and Orient Cement, which, while promising long-term synergies, can create short-term uncertainty .
For a deeper understanding of market risk management, you can refer to this comprehensive guide from the U.S. Securities and Exchange Commission.
Final Verdict: Should You Add These to Your Portfolio?
Motilal Oswal’s call on Midwest and Ambuja Cements provides a compelling case for these being two of the best stocks to buy for the coming week and beyond. The potential for an 18% and 35% upside, respectively, is a strong lure for growth-oriented investors.
However, thorough due diligence is non-negotiable. These recommendations should be evaluated against your own risk tolerance, portfolio allocation, and investment horizon. For a high-risk, high-reward play, Midwest could be a powerful addition. For a more stable, large-cap growth story with a massive upside target, Ambuja Cements fits the bill.
In either case, this is a prime example of how professional research can spotlight significant opportunities in the market. Whether you decide to act on this specific call or not, keeping an eye on such high-conviction recommendations is a smart strategy for any serious investor.
Sources
- Analysts Reveal Top 2 Stocks to Buy This Week: Midwest & Ambuja Cement, Times of India.
- Motilal Oswal Initiates Coverage on Midwest with Buy Call, Target Price of ₹2,000.
- Buy Ambuja Cements; target of Rs 750: Motilal Oswal.
- Midwest (MIDWESTLTD) live share price today on NSE/BSE at 3:31 p.m. on Dec 26, 2025 is Rs 1687.20.
- The current price of AMBUJACEM is 554.65 INR.
- Ambuja targets INR 1,500 EBITDA per ton by FY28, driven by cost savings.