Stocks to buy, Jan. 8 -- It was a tough last year for the Indian stock market as valuation woes, steep tariffs and record-high FII selling kept the upside in check. However, after steep underperformance, analysts find India's relative valuations to be more lucrative.

This, along with steady earnings growth, could bring back investor interest in India in 2026, particularly for those seeking a hedge against risks like global AI-trade consolidation and potential unwind of the yen carry trade, opined CLSA analyst Vikash Kumar Jain in a note dated January 6.

According to the global brokerage, financials, cement, and select consumption names can offer balanced risk-reward to investors versus the historical average and the Nifty. "We prefer la...