They cover all stages of water infrastructure from raw water extraction, treatment, distribution, and collection to wastewater treatment and recycling, aimed at providing reliable, affordable, and sustainable water services essential for health, economic growth, and environmental protection.

In India, the industrial water and wastewater infrastructure market is growing rapidly.

This growth is fuelled by rapid industrialization, sustainability mandates, and government initiatives like the Jal Jeevan Mission and AMRUT 2.0, which target universal water supply coverage and improved water quality.

Here is a list of water infra stocks that are poised to do well. This is not a stock recommendation in any form.

How have the top water infra companies been chosen?

Using the Equitymaster screener, we have identified the leading water infrastructure stocks. From this list, we selected companies demonstrating the strongest three-year compound annual growth rate (CAGR) in net sales and net profit growth.

Additionally, only businesses primarily focused on water infrastructure, rather than diversified operations, were considered.

Here are some of the top water infrastructure stocks to keep an eye on as the industry’s demand continues to rise. They have been picked from the small- and mid-cap space.

Felix Industries Ltd

Felix Industries is listed on the SME segment of National Stock Exchange. The company reported a solid 44.7% in three-year CAGR in terms of sales and 122% three-year CAGR in terms of net profits.

Felix Industries has established a strong foothold in water and wastewater management and solid waste management solutions with manufacturing facilities in India and Oman.

As a leading water reclamation business, it offers high-performance, end-to-end solutions in integrated water management. The company has so far completed 100+ projects and processed substantial amounts of waste and wastewater.

Moving ahead, Felix Industries is developing expertise in the production of green hydrogen, utilizing renewable energy sources for water electrolysis (to split water into hydrogen and oxygen) to deliver a sustainable and emission-free energy solution.

Felix Industries Oman has commenced full-scale production at its hydrocarbon recycling, wastewater treatment, and chemical waste incineration facility. The Oman plant is currently operational and contributing to revenues.

Looking ahead, Felix Industries is expanding capacity into waste-to-energy and advanced material recovery, strengthening its presence in sectors such as chemicals, defence, and clean energy, and leveraging AI and digital automation for smarter plant operations.

The management expects to close this year with a top line of ₹110 crore to ₹130 crore.

Enviro Infra Engineers Ltd

Enviro Infra Engineers specializes in providing comprehensive water and wastewater management solutions across India.

The company delivers end-to-end services that meet the critical needs of both municipal and industrial sectors. It offers turnkey projects of sewage treatment plants, sewerage systems, water treatment plants, water supply systems, common effluent treatment plants, etc.

The company launched an IPO in November 2024, which was oversubscribed 91 times.

Enviro Infra Engineers has reported a 75.6% three-year CAGR in sales and a 72.4% three-year CAGR in net profits.

The company’s focus is on three areas: deepening its presence in high-potential states, expanding its EPC and O&M portfolio, and investing in digital and green technologies that make wastewater infrastructure smarter, more efficient, and more sustainable.

Concord Enviro Systems Ltd

The company is a leading player in the water and wastewater treatment space with decades of domain expertise.

Its integrated technologies empower clients to minimize freshwater intake, reclaim wastewater, lower energy intensity, and convert organic waste into clean fuel.

Encompassing zero liquid discharge, anaerobic digestion, biogas generation, and carbon capture, the solutions are designed to drive circular, energy-optimized operations—aligning industrial growth with environmental accountability.

Concord Enviro Systems has reported a 21.8% three-year CAGR in sales and a 52.3% three-year CAGR in net profits.

The company is setting up a new assembly unit in Sharjah to manufacture membrane modules, WHE modules, and containerized plants, amplifying delivery capabilities for international markets.

It’s also strengthening its presence in existing geographies, while foraying into new international markets with systems, plants, and third-party O&M services.

Concord Enviro Systems is focusing on high-growth sectors like industrial wastewater reuse and ZLD opportunities in sectors like solar, chemicals, and biofuels, aligned with growing environmental compliance and sustainability mandates.

The order book was ₹532.7 crore as on 31 March 2025, offering visibility for the next financial year.

Conclusion

Water infrastructure stocks in India present a promising investment avenue due to supportive government policies, growing market demand driven by demographic changes, and the evolving technological landscape in water management.

However, investors should carefully select companies with proven execution records and structural strengths to navigate sectoral challenges.

Happy investing.

Disclaimer: This article is for information purposes only. It is not a stock recommendation and should not be treated as such.

This article is syndicated from Equitymaster.com.