10 Best Stocks to Buy for Long Term in 2024

The Indian stock market is one of the giant market places where you can multiply your money by investing in right stocks, F&Os, commodities, and IPOs. However, choosing the right one is not a cake walk. You need to consider multiple factors before making your decision.  

But don’t worry, as in this blog, we have shared a list of 10 best stocks for you to invest in the long term in 2024. Dive deep into the blog to learn more about it. But before that, let’s learn about the matrix you can consider while selecting the best stocks to purchase.  ‍

Matrix to Consider While Selecting Stocks for Investment for Long Term 

There are several matrices to consider when selecting stocks for investing. Here, we have listed some essentials you must check:

• Sales/Revenue
• Net Profit
• Gross Profit Margin
• Net profit Margin
• ROE (Return on equity)
• ROCE (Return on capital employed)
• EBITAS  (Earnings before interest, taxes, and amortisation)
• Interest Coverage Ratio 

You must check these matrices. You can consider those stocks whose gross profit margin, net profit margin, ROE, ROCE, and EBITS are approx 15% or more. Additionally, you can look for a 4-time interest coverage ratio while selecting the best stocks to buy for the long term. Here, we have identified some of the best stocks to buy from a large number of stocks listed on the share market. 

10 Best Stocks to Buy of Long Term 

1. TVS Motors 

TVS Motors is one of the largest 2-wheeler companies founded in 1978. The annual report of the company states its profit in crores. The well-established company, aged more than 46 years old, is among the best companies to invest in stocks for the long term. Firm is listed on both NSE (National stock exchange) and BSE (Bombay Stock Exchange).   

• Sales/Revenue- ₹ 31,974 Crores 
• EBITAS - ₹ 4067  Crores  
• Net Profit - ₹ 1329  Crores
• Gross Profit Margin-  10.52%
• Net profit Margin - 4.16%
• ROE (Latest)-  24.14%
• ROE (5 years avg) -  19.63%
• ROCE (Latest)-  21.30%
• ROCE (5 years avg) -  18.47%

2. IDFC FIRST Bank  

IDFC First bank is a private bank providing all  the online banking services. It's a profit making banking company that has delivered good profit growth of 23.0% CAGR. IDFC First Bank was founded in  2015 by the merger of the banking arm of Infrastructure Development Finance Company and Capital First, an Indian non-bank financial institution. You can learn the company’s net profit,  revenue etc through the annual report of IDFC first bank. 

• Sales/Revenue - ₹ 27,195 Crores
• EBITAS - ₹  4996  Crores  
• Net Profit - ₹ 2485  Crores
• Gross Profit Margin-  5.26%
• Net profit Margin - 9.14%
• ROE (Latest)-  10.60%
• ROE (5 years avg) -  -2.79%
• ROCE (Latest)-  2.19%
• ROCE (5 years avg) - 1.21%

3. TATA Motors Automobile 

TATA motors automobile is India’s one of the largest automobile companies that produces cars, bus, and trucks. TATA established by JRD TATA in 1945, headquartered in Mumbai is in the list of the most prestigious companies in India. TATA motors automobile’ integrated annual report of 2022-23 states 24.2 % increase in gross revenue, estimated to grow more in upcoming years. Investment in TATA motors automobile stocks  is considered among the best stocks to invest for the long term. 

• Sales/Revenue- ₹ 3,45,966 Crores 
• EBITAS - ₹  31,816 Crores  
• Net Profit - ₹ 2414  Crores
• Gross Profit Margin-  10.56%
• Net profit Margin - 0.68%
• ROE (Latest)-  5.33%
• ROE (5 years avg) -  -22.35%
• ROCE (Latest)-  6.65%
• ROCE (5 years avg) -   3.39%

4. TATA Power 

Another giant company of  TATA group, TATA power is operating in the field of electricity. The company is a joint venture of TATA power and the Government of NCT of Delhi. You can also consider investing in TATA power for buying securities for a long term investment plan by evaluating its annual report. 

• Sales/Revenue- ₹ 55,109 Crores 
• EBITAS - ₹  7,676  Crores  
• Net Profit - ₹ 3,336  Crores
• Gross Profit Margin-  16.59%
• Net profit Margin - 6.05%
• ROE (Latest)-  11.59%
• ROE (5 years avg) -  8.88%
• ROCE (Latest)-  6.88%
• ROCE (5 years avg) -  7.76%

5. ITC  

ITC is India’s leading FMCG (Fast Moving Consumer Goods) company in the food sector. According to the annual report of ITC the company has generated gross revenue of ₹ 69,481 Crore. The company has 12 future-ready  businesses across manufacture and services.  

• Sales/Revenue - ₹ 70,937 Crores
• EBITAS - ₹  25,698  Crores  
• Net Profit - ₹  19,192 Crores
• Gross Profit Margin-  39.02%
• Net profit Margin - 27.05%
• ROE (Latest)-  27.75%
• ROE (5 years avg) -  23.74%
• ROCE (Latest)-  35.89%
• ROCE (5 years avg) -  31.48%

6. HAL  

Headquartered in Bangalore, Hindustan Aeronautics Limited (HAL) is Asia’s largest and most reputed aerospace company. The company provides a diverse range of products and services including design, development, manufacture, and maintenance of aircraft, helicopters, engines, avionics, and related systems. With years of experience, excellency in engineering, and reliability HAL stocks are always recognised as the best stocks to buy for the long term.  

• Sales/Revenue- ₹ 26,927 Crores 
• EBITAS - ₹ 6686  Crores  
• Net Profit - ₹ 5,828  Crores
• Gross Profit Margin-  31.03%
• Net profit Margin - 21.64%
• ROE (Latest)-  24.72%
• ROE (5 years avg) -  22.62%
• ROCE (Latest)-  18.64%
• ROCE (5 years avg) -  17.80%

7. Bharat Forge 

If you’re in search of the best stocks to buy today for the long term, Bharat Forge is that option. Bharat forge is one of the few companies that is operating in the field of metal forming.  According to its annual report 2022-23, the company has generated consolidated revenue of ₹ 12,910 Crore. 

• Sales/Revenue- ₹ 12,910 Crores
• EBITAS - ₹ 1702   Crores  
• Net Profit - ₹ 528  Crores
• Gross Profit Margin-  15.03%
• Net profit Margin - 4.09%
• ROE (Latest)-  7.88%
• ROE (5 years avg) - 9.58% 
• ROCE (Latest)-  12.10%
• ROCE (5 years avg) - 13.22% 

8. Natco Pharma 

Natco Pharma is an Indian multinational pharmaceutical company incorporated in developing, manufacturing and marketing complex products for niche therapeutic areas. The company has its strong command in all three areas of pharmaceutical industry ie. finished dosage formulations (“FDF”), active pharmaceutical ingredients (“APIs”), and Contract Manufacturing Business. The company with revenue growth of 38% in 2023-2024 is among the top 10 companies listed to buy equity. 

• Sales/Revenue: ₹ 2,707 Crores
• EBITAS - ₹  912  Crores  
• Net Profit - ₹ 713  Crores
• Gross Profit Margin-  38.42%
• Net profit Margin - 26.42%
• ROE (Latest)-  14.68%
• ROE (5 years avg) -  12.01%
• ROCE (Latest)-  17.62%
• ROCE (5 years avg) -  15.05%

9. Eicher Motors 

Another automobile stock on the list of best stocks to buy in the long term is the Eicher Motors stock. Eichler Motors, with revenue of ₹ 14 442 crores, is one of the reputable automobile manufacturers. The company is headquartered in Delhi, established in 1982 for manufacturing motorcycles and commercial vehicles. You can check the Eicher Motors annual reports before investing. 

• Sales/Revenue - ₹ 14,442 Crores
• EBITAS - ₹ 3444   Crores  
• Net Profit - ₹ 2914  Crores
• Gross Profit Margin-  27.96%
• Net profit Margin - 20.18%
• ROE (Latest)-  19.44%
• ROE (5 years avg) -  17.50%
• ROCE (Latest)-  22%
• ROCE (5 years avg) -  21.70%

10. ICICI Bank

If you're interested in banking funds, ICICI Bank is among the best stocks for long-term investment. ICICI is one of the top private banks in India and the first bank to be listed on the NYSE (New York Stock Exchange). Before investing, you can track the company's records, annual reports, and other required details.  

• Sales/Revenue - ₹ 1,86,178 Crores
• EBITAS - ₹ 53,196  Crores  
• Net Profit - ₹ 34,037 Crores
• Gross Profit Margin- -25.31%
• Net profit Margin - 18.28%
• ROE (Latest)- 17.71%
• ROE (5 years avg) - 12.57%
• ROCE (Latest)- 2.86%
• ROCE (5 years avg) - 2.65%

List of Best Long-Term Stocks to Buy in 2024 

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How to Buy Stocks for Long Term in 2024? 

You can buy equity for the long term through any online trading app. GoPocket is one of the well-known online trading platforms that eases investment in the stock market. Here are three simple steps to buy stocks in the long term with Gopocket. 

Step 1: Download the Online Trading App

Gopocket online trading app by skyrocket is available on the Play Store and IOS. You can download them on your mobile phone to purchase stocks and invest in SIP, IPOs, F & O. You can also access them through its website.   

Step 2: Log-in Using Your Mobile Number & Email ID

Open the Gopocket app, enter your mobile number. You will receive an OTP to log in at the stock market app. Enter the OTP and verify your account. At this step, you will also be required to enter your email address and verify it with OTP (you find the OTP by checking All Mail). Here, you will be required to set a password and proceed further. 

Step 3: Open Your Demat Account

Now, when you have logged in. You can proceed to open your demat account for free with GoPocket. You will be required to some documents to open a demat account, including: 

• Pan Card
• Aadhar Card
• Bank Passbook
• Income Proof
• Passport-size Photographs
• Signature 

You’ll first need to verify your pan number, address proof and enter the personal details including bank details, nominee etc. Afterwards, upload the required documents, and sign the demat account authorization form for account opening. 

Step 4: Explore the Funds 

Once the account gets activated, you can leverage the demat account benefit of exploring different funds to select the best stocks to purchase. For long-term investment, you can check out some matrices like ROE, ROCE, net profit margin, etc. You can also select any of the stocks mentioned in the list of buy-best stocks for the long term. 

Step 5: Buy Stocks for Long Term

Identify your budget, number of stocks units, and buy the selected stocks for the long term. Ensure that your linked demat account has enough funds. After the successful transaction, your stocks will get credited to your demat account. 

Conclusion 

With the long term investment, you can stay relaxed for your financial freedom. However, during this period keep eyes on news and government regulations. While selecting stocks, also stay attentive to find the best stocks for your investment. Check different matrices, evaluate financial requirements, risk bearing capacity etc, before purchasing the stocks. 

GoPocket is among the top online trading apps that helps you make multiple investments including equity, commodity, IPOs, F&O, International stocks, currencies, and mutual funds conveniently. With it, you can trade at ₹0/- brokerage charge for the first 30 days. 

Sign up for Gopocket in 5 minutes and start investing!

FAQs Related to Best Stocks to Buy for Long Term 

1. Which share is best for the long term?

Usually, a share with 15% net profit, ROE, ROCE, and EBITS is considered the best 10 shares to buy for the lock term. Such stocks are: 

• TVS Motors
• IDFC FIRST Bank
• TATA Motors
• TATA Power
• ITC
• HAL
• Bharat Forge
• Natco Pharma
• NIFTY BEES
• BANK BEES

2. Is Tata Power a good buy?

TATA Power is one of the best stocks to buy for the long term in 2024, with 32% revenue, 23% EBITDA, and 77% PAT (profit after tax).