New Delhi, June 26 -- Indian public sector undertakings (PSUs) have experienced a remarkable revival in recent years, with Motilal Oswal Financial Services (MOSL) spotlighting their long-term potential in a detailed report. While FY25 brought in some normalization after a stellar post-COVID run, MOSL says the foundational strength of PSU businesses remains intact. The brokerage believes select PSUs across banking, defence, and energy sectors remain well-positioned to generate wealth over the next several years. "Our top PSU ideas are SBI, HAL, BEL, PowerGrid and Coal India," said MOSL in its latest note.

MOSL highlighted that PSUs delivered a compounded annual profit growth (PAT CAGR) of 36 percent during FY20-25-higher than the 30 perce...