“Top Indian Stocks Under ₹100 for Long-Term Wealth Creation”
“Top Indian Stocks Under ₹100 for Long-Term Wealth Creation”
Investing in stocks priced under ₹100 can be a smart choice for both new and experienced investors. Many believe that larger investments are necessary to see significant returns, but this isn’t always the case. Stocks under ₹100 provide an excellent opportunity to enter the market without a hefty financial commitment. In this article, we will explore some of the top quality Indian stocks that are available for less than ₹100, making them ideal for long-term wealth creation.
Key Takeaways
- Investing in stocks under ₹100 allows for lower financial risk.
- These stocks can offer significant growth potential over time.
- A diverse portfolio can be built easily with affordable stocks.
- Long-term investment strategies can yield high returns.
- Research and careful analysis are essential before investing.
1. Trident Ltd
Trident Ltd is a prominent player in the textile and paper industry. The company is known for its strong market presence and commitment to quality. As of 18th November 2024, Trident’s closing price was ₹31.61, with a market capitalisation of ₹15,906.69 crore.
Key Financial Metrics
| Metric | Value |
|---|---|
| Current Market Price (CMP) | ₹31.61 |
| Price-to-Earnings (P/E) | 45.51 |
| Market Capitalisation | ₹15,906.69 Cr |
| Return on Equity (ROE) | 12.67% |
Highlights of Trident Ltd
- Diverse Product Range: Trident offers a variety of products, including textiles and paper.
- Sustainable Practises: The company focuses on eco-friendly manufacturing processes.
- Strong Growth Potential: With a solid market position, Trident is well-placed for future growth.
Trident Ltd is not just a company; it is a brand that stands for quality and sustainability in the textile and paper sectors.
Investing in Trident Ltd could be a wise choice for those looking to build long-term wealth, given its consistent performance and growth trajectory.
2. Rattanindia Enterprises Ltd
Rattanindia Enterprises Ltd is a notable player in the Indian stock market, especially for investors looking for affordable stocks under ₹100. The company has shown a bullish trend recently, making it an attractive option for long-term wealth creation.
Key Highlights:
- Current Share Price: ₹61.52
- Market Capitalisation: ₹8,503.72 million
- 52-Week High: ₹94.85
- 52-Week Low: ₹59.20
Financial Overview:
| Metric | Value |
|---|---|
| Current Share Price | ₹61.52 |
| Market Capitalisation | ₹8,503.72 million |
| 52-Week High | ₹94.85 |
| 52-Week Low | ₹59.20 |
Reasons to Consider Rattanindia:
- Strong Growth Potential: The company is expanding its operations, which could lead to increased revenues.
- Affordable Entry Point: With a share price under ₹100, it is accessible for many investors.
- Positive Market Sentiment: The stock has been trending upwards, indicating investor confidence.
Investing in Rattanindia Enterprises Ltd could be a wise choice for those looking to build wealth over time. Its current price and growth potential make it a stock worth considering for your portfolio.
3. NBCC (India) Ltd
NBCC (India) Ltd, founded in 1960, is a government-owned company that focuses on construction and engineering services. It plays a vital role in infrastructure development and urban planning, making it a key player in the real estate sector.
As of 18th November 2024, NBCC (India) Ltd had a market capitalisation of ₹24,297.30 crore and a closing price of ₹89.99. The price-to-earnings (PE) ratio was 60.51, and the five-year average return on equity (ROE) was 12.17%.
Key Strengths
- Rising net cash flow: The company has shown a consistent increase in cash flow from its operations.
- Strong project pipeline: NBCC has a robust pipeline of projects, ensuring future growth.
- Government backing: Being a government entity, it enjoys a level of stability and trust in the market.
Challenges
- High interest payments: The company faces a red flag due to high interest payments compared to its earnings, which could impact profitability.
- Market competition: The construction sector is highly competitive, posing challenges for maintaining market share.
Opportunities
- Urban development projects: With increasing urbanisation, there are numerous opportunities in urban development and infrastructure projects.
- Renewable energy initiatives: The company can expand into renewable energy projects, aligning with global sustainability trends.
Investing in NBCC (India) Ltd could be a strategic move for those looking to benefit from the growing infrastructure sector in India. Its government backing and project pipeline present a promising outlook for long-term wealth creation.
4. Bank of Maharashtra Ltd
Bank of Maharashtra, established in 1935, is a prominent public sector bank in India. It offers a variety of banking services, including personal and corporate banking, loans, and treasury operations. As of 22 November 2024, the Bank of Maharashtra share price is ₹52.94, with a market capitalisation of ₹40,719.09 crore.
Key Highlights:
- Strong Profit Growth: The bank has shown impressive profit growth over the last five years, achieving a 34.1% CAGR.
- Market Position: It is one of the leading banks in India, focusing on expanding its services to a wider audience.
- Financial Metrics: The bank’s PE ratio stands at 9.78, indicating a reasonable valuation compared to its earnings.
Financial Overview:
| Metric | Value |
|---|---|
| Current Price | ₹52.94 |
| Market Capitalisation | ₹40,719.09 crore |
| 52-Week High | ₹73.50 |
| 52-Week Low | ₹42.85 |
| PE Ratio | 9.78 |
| 5-Year Average ROE | 11.74% |
Pros and Cons:
- Pros:
- Cons:
Investing in Bank of Maharashtra can be a wise choice for those looking for long-term wealth creation, given its solid growth trajectory and market presence.
5. Ujjivan Small Finance Bank Ltd
Ujjivan Small Finance Bank Ltd is dedicated to serving the financially unserved and underserved communities in India. Established in 2017, it focuses on providing essential banking services, including microfinance, housing loans, and SME financing.
Key Financials
| Metric | Value |
|---|---|
| Current Price | ₹32.24 |
| Market Capitalisation | ₹6,236.71 cr. |
| 52-Week High | ₹63.00 |
| 52-Week Low | ₹32.01 |
| PE Ratio | 5.12 |
| 5-Year Average ROE | 11.59% |
Positives
- The bank has shown a strong profit growth of 176% CAGR over the last five years.
- It has a solid median sales increase of 24.8% in the past decade.
- Ujjivan is committed to enhancing financial inclusion in India.
Negatives
- The interest coverage ratio is considered inadequate.
- The return on equity has been low at 7.64% over the last three years.
Ujjivan Small Finance Bank is a promising option for investors looking to support financial inclusion while aiming for long-term wealth creation. Its focus on underserved communities positions it well for future growth.
6. Equitas Small Finance Bank Ltd
Equitas Small Finance Bank Ltd, established in 2016, focuses on providing banking services to small businesses and rural areas. The bank aims to support financial inclusion by offering various products tailored for underserved communities.
Key Financial Metrics
| Metric | Value |
|---|---|
| Market Capitalisation | ₹7,482.65 cr. |
| Closing Price | ₹65.69 |
| PE Ratio | 9.37 |
| 5-Year Average ROE | 10.32% |
Highlights
- The bank has a median price target of ₹85 in the next 12 months, according to 17 analysts.
- The highest estimate is ₹129, while the lowest is yet to be determined.
- Equitas has shown a commitment to enhancing its services for small-scale entrepreneurs.
Equitas Small Finance Bank is dedicated to creating opportunities for those who are often overlooked by traditional banking systems.
In summary, Equitas Small Finance Bank Ltd stands out as a promising investment option under ₹100, with a strong focus on community banking and financial inclusion.
7. NHPC Ltd
NHPC Ltd, established in 1975, is a government-owned company that focuses on generating renewable energy, especially through hydropower. The company plays a vital role in India’s green energy initiatives by operating several large-scale hydroelectric projects across the country.
Key Financials
| Metric | Value |
|---|---|
| Current Market Price (CMP) | ₹79.16 |
| Market Capitalisation | ₹82,419.51 crores |
| P/E Ratio | 21.66 |
| Dividend Yield | 2.40% |
| Quarterly Profit Variation | -41.20% |
Strengths and Weaknesses
- Strengths:
- Weaknesses:
Opportunities
- Expansion into new renewable energy projects.
- Increasing demand for clean energy solutions.
- Potential for international collaborations in hydropower.
NHPC Ltd is currently working on constructing eight hydropower projects with a total capacity of around 6434 megawatts (MW). This positions the company well for future growth in the renewable energy sector.
8. Canara Bank Ltd
Canara Bank, established in 1906, is one of the largest public sector banks in India. It offers a wide range of financial services, including retail banking, SME loans, and wealth management solutions. The bank has a strong presence across the country, making it a reliable choice for investors.
Key Financials
| Metric | Value |
|---|---|
| Market Capitalisation | ₹89,055.65 crores |
| Closing Price | ₹98.18 |
| PE Ratio | 5.83 |
| 5-Year Average ROE | 8.50% |
Investment Highlights
- Strong Market Position: Canara Bank is one of the oldest banks in India, providing stability and trust.
- Diverse Services: The bank offers a variety of services catering to different customer needs, from personal banking to corporate solutions.
- Growth Potential: With a median price target of ₹125 in the next 12 months, analysts see potential for growth in Canara Bank’s stock.
Canara Bank’s long history and extensive service offerings make it a solid option for long-term investors looking to build wealth.
Overall, Canara Bank Ltd stands out as a promising stock under ₹100, appealing to both new and seasoned investors.
9. IRB Infrastructure Developers Ltd
IRB Infrastructure Developers Ltd is a prominent player in India’s construction and infrastructure sector. The company focuses on developing highways, toll operations, and real estate projects. Established in 1998, it has grown to become one of the leading infrastructure firms in the country.
Key Highlights:
- Market Capitalisation: ₹28,733 crores
- Current Share Price: ₹45.93
- Previous Close: ₹45.84
- Volume: 1,423,405 shares traded
Financial Performance:
| Metric | Value |
|---|---|
| Open Price | ₹45.93 |
| Previous Close | ₹45.84 |
| Upper Circuit Limit | ₹55.00 |
| Lower Circuit Limit | ₹36.68 |
| Volume | 1,423,405 |
| VWAP | ₹46.92 |
| Market Cap (₹ Cr.) | ₹28,733 |
| 20-Day Average Volume | 1,952,889 |
Pros and Cons:
- Pros:
- Cons:
Investing in IRB Infrastructure Developers Ltd could be a good option for those looking to invest in the infrastructure sector, but it is essential to consider the company’s growth challenges.
10. Jammu and Kashmir Bank Ltd
Jammu and Kashmir Bank Ltd, established in 1938, is a private sector bank that mainly operates in northern India. It provides a wide range of financial services, focusing on both retail and corporate banking. The bank plays a crucial role in supporting the local economy.
Key Financial Metrics
| Metric | Value |
|---|---|
| Market Capitalisation | ₹10,277.34 cr. |
| Closing Price | ₹93.33 |
| PE Ratio | 5.80 |
| 5-Year Average ROE | 4.82% |
Investment Considerations
- Strong Local Presence: The bank has a significant footprint in the region, which can be beneficial for growth.
- Diverse Services: It offers various banking services, catering to different customer needs.
- Potential for Growth: Analysts have set a median price target of ₹155 in the next 12 months, indicating potential upside.
Investing in Jammu and Kashmir Bank Ltd could be a strategic move for those looking to tap into the growth of the northern Indian economy.
Overall, Jammu and Kashmir Bank Ltd presents an interesting opportunity for investors seeking stocks under ₹100 with long-term wealth creation potential.
and more
In addition to the stocks mentioned earlier, there are several other promising options under ₹100 that investors should consider for long-term wealth creation. Here are a few noteworthy stocks:
1. Aluwind Architectura
- Current Price: ₹65.00
- Market Cap: ₹617.55 million
- P/E Ratio: 44.10
2. Ambey Laboratories
- Current Price: ₹63.35
- Market Cap: ₹161.03 million
- P/E Ratio: 97.20
3. Esprit Stones Ltd
- Current Price: ₹93.00
- Market Cap: ₹204.09 million
- P/E Ratio: 140.00
4. Ujjivan Small Finance Bank
- Current Price: ₹50.40
- Market Cap: ₹58.97 million
- P/E Ratio: 159.40
5. Mirae Asset Nifty Smallcap
- Current Price: ₹48.37
- Market Cap: ₹27.95 million
- P/E Ratio: 55.25
6. Gajanand International
- Current Price: ₹22.25
- Market Cap: ₹41.91 million
- P/E Ratio: 43.00
7. Motilal Oswal Nifty
- Current Price: ₹16.96
- Market Cap: ₹7.11 million
- P/E Ratio: 19.30
8. SPP Polymer Ltd
- Current Price: ₹35.45
- Market Cap: ₹54.56 million
- P/E Ratio: 63.00
9. Rajputana Industries
- Current Price: ₹86.00
- Market Cap: ₹191.83 million
- P/E Ratio: 120.00
10. V.L. Infraprojects Ltd
- Current Price: ₹51.15
- Market Cap: ₹80.37 million
- P/E Ratio: 141.00
Investing in stocks under ₹100 can be a smart choice for both new and experienced investors. These stocks often have the potential for significant growth, making them attractive options for long-term wealth creation.
By diversifying your portfolio with these stocks, you can take advantage of the best stocks under ₹100 available in India for 2024. Remember to conduct thorough research and consider your financial goals before investing.
Final Thoughts
In summary, investing in stocks priced under ₹100 can be a smart way to build wealth over time. These stocks offer a chance for both new and experienced investors to enter the market without needing a lot of money. While they may seem cheap, many of these companies have the potential for growth and can provide good returns in the long run. However, it’s important to do your homework and understand the risks involved. By carefully selecting stocks and keeping a long-term view, you can make wise investment choices that could pay off significantly in the future.
Frequently Asked Questions
What are some good stocks to buy under ₹100?
Some notable stocks under ₹100 include Trident Ltd, Rattanindia Enterprises Ltd, and NBCC (India) Ltd. These stocks have shown promise for long-term investment.
Why should I invest in stocks that cost less than ₹100?
Investing in stocks under ₹100 allows you to enter the market with a smaller amount of money. This can help you learn about investing without risking too much.
How can I find stocks priced under ₹100?
You can look for stocks under ₹100 by using stock screening tools on financial websites. Set the philtre to show stocks below ₹100 and check their performance.
Is it risky to invest in stocks under ₹100?
Yes, stocks under ₹100 can be riskier because they often belong to smaller companies. It’s important to do thorough research before investing.
What should I consider when choosing stocks under ₹100?
When selecting stocks under ₹100, look for companies with strong financials, consistent earnings, and good growth potential.
Can I make money by investing in stocks under ₹100?
Yes, many investors have made money by investing in stocks under ₹100. However, it’s important to research and understand the risks involved.
Disclaimer
The information provided here is for general informational purposes only and does not constitute financial, investment, or legal advice. All investments in the stock market involve risk, and past performance of stocks does not guarantee future results. Before making any investment decisions, conduct thorough research or consult with a certified financial advisor to ensure the investments align with your financial goals and risk tolerance. We are not responsible for any financial losses or gains arising from the use of this information. Investing in stocks under ₹100 can be speculative, and due diligence is essential. Please note that we are not SEBI-certified stock market analysts. Proceed with caution.
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