Finance Minister Nirmala Sitharaman presented the Union Budget 2025 in Parliament today, February 1. The budget 2025 along with several key announcements, has given a major boost to the consumer discretionary sector, with shares in key companies jumping significantly after the announcement of Budget 2025.
The introduction of income tax relief, particularly the move to make income up to Rs 12 lakh tax-free, has increased expectations of higher disposable income, and is likely to fuel growth in sectors like consumer discretionary goods.
The announcement immediately impacted the stock market, particularly in the consumer discretionary sector. Companies that rely heavily on consumer spending for goods that are non-essential but highly desirable saw a sharp rise in share prices.
Whirlpool, Kalyan Jewellers and Zomato were among the top gainers in the consumer discretionary space following the announcement. The Nifty Consumer Durables index saw a jump of over 1,100 points during the trading day.
Key stocks to watch in consumer discretionary sector
Several consumer discretionary stocks have caught the attention of investors following the Budget announcement.
Voltas
Voltas share price surged by over 4% following Budget 2025, trading at Rs 1,326.00, up 56.65 points or 4.46% as of 1:55 PM IST.
The share price of Volta’s 52-week high is Rs 1,944.90, while its 52-week low stands at Rs 990.10. Voltas currently holds a market capitalisation of Rs 43.82K Crore.
Blue Star
Blue Star saw a major gainer in its share price following the Budget 2025 announcement, with its shares rising by 201 points or 11.18% today, trading at Rs 1,999.00 at 2:00 PM IST.
The company, which specialises in consumer durables like air conditioning and refrigeration, has a market capitalisation of Rs 40.90K crore. The company’s 52-week high is Rs 2,417.00 and the 52-week low is Rs 1,092.00.
Crompton Greaves Consumer Electricals
Crompton Greaves Consumer Electricals, a major player in the consumer electronics and appliances sector also saw a boost in its share price rising by 6.05% on Budget day.
Over the past five days, shares gained 9.24%. Crompton Greaves Consumer Electricals has a 52-week high of Rs 484.00 and a 52-week low of Rs 261.25.
Havells India
Havells India saw a rise in its share price, climbing 6.83% on Budget day and 9.27% over the past five days. The company, known for its electrical goods and appliances, has its 52-week high of Rs 2,106.00, a 52-week low of Rs 1,287.45, and a market capitalisation of Rs 1.03 Lakh Crore.
Tax relief: A game changer for consumer spending
One of the major announcements in Budget 2025 was the introduction of a new tax regime under which income up to Rs 12 lakh will be tax-free. This change is expected to put more cash in the hands of middle-class families leading to higher consumer spending, particularly on essential goods.