Before we delve into the nitty gritties of which blue chip stock is better, let us recap what a blue chip stock is and what does blue chip stock investment truly entail.
Blue chip stocks are stocks of large companies with a massive financial bandwidth, significant market share and well-established track record of performance (and hence, a robust brand value). Large revenue, profitability, consistent performance of the stock value are some of the hallmarks of a blue chip company.
The following is the list of the best blue chip stock 2023 –
Name of the company | Price change in the last 3 years | Market capitalisation |
Adani Enterprises | +1734.20% | ₹ 4,36,284 cr |
Infosys | +100.11% | ₹ 6,27,093 cr |
SBI | +83.46% | ₹ 5,40,118 cr |
Asian Paints | +74.40% | ₹ 2,89,268 cr |
Reliance | +67.32% | ₹ 16,54,891 cr |
ICICI Bank | +65.56% | ₹ 6,27,254 cr |
TCS | +50.57% | ₹ 12,12,848 cr |
ITC | +39.58% | ₹ 4,05,883 cr |
Hindustan Unilever | +33.22% | ₹ 5,95,880 cr |
HDFC Bank | +27.26% | ₹ 8,97,885 cr |
It is a holding company with various branches in coal mining and trading, infrastructure, oil and gas exploration, gas distribution, power (including solar photovoltaic cells), airports, agricultural products and even data centres.
Profit in FY22 – ₹ 777 cr
Revenue in FY22 – ₹ 69,420 cr
Percentage increase in revenue (FY21-FY22) – 75.58%
P/E Ratio – 351.28
Industry P/E Ratio – NA
Dividend Yield – 0.03%
The company is focused on consultancy and digital services for various sectors – its segments include financial services, FMCG, energy, utilities, manufacturing, telecom, healthcare etc. Its products and platforms include the likes of Skava, LEAP, Panaya and Finacle.
Profit in FY22 – ₹ 22,110 cr
Revenue in FY22 – ₹ 1,21,641cr
Percentage increase in revenue (FY21-FY22) – 21.07%
P/E Ratio – 27.45
Industry P/E Ratio – 27.49
Dividend Yield – 2.17%
It is one of the largest banks of India and 56.92% of its shares are owned by the Government of India. Its segments comprise treasury, corporate/wholesale banking, insurance, retail banking.
Profit in FY22 – ₹ 35,374 cr (87.8% increase since FY2021)
Revenue in FY22 – ₹ 4,06,973 cr
Percentage increase in revenue (FY21-FY22) – 5.6%
P/E Ratio – 13.11
Industry P/E Ratio – 9.24
Dividend Yield – 1.17%
The company is focused on the sale of paints, coating, decor and other residential amenities such as sanitary ware. Around 52.63% of the company is owned by the company’s promoters.
Profit in FY22 – ₹ 3,031cr
Revenue in FY22 – ₹ 29,101 cr
Percentage increase in revenue (FY21-FY22) – 34.02%
P/E Ratio – 78.94
Industry P/E Ratio – 13.38
Dividend Yield – 0.66%
The company is famous for its contribution to the oil to chemicals industry in India. It has also seen tremendous growth in the retail markets, financial services and digital services sectors.
Profit in FY22 – ₹ 60,705 cr
Revenue in FY22 – ₹ 7,21,634 cr
Percentage increase in revenue (FY21-FY22) – 48.38%
P/E Ratio – 25.60
Industry P/E Ratio – 5.40
Dividend Yield – 0.32%
The company is focused on retail and wholesale banking, treasury and other services. The bank provides women’s accounts, senior citizen accounts as well as insurance services.
Profit in FY22 – ₹ 25,110 cr
Revenue in FY22 – ₹ 1,57,536 cr
Percentage increase in revenue (FY21-FY22) – -2.35%
P/E Ratio – 21.50
Industry P/E Ratio – 9.24
Dividend Yield – 0.56%
It is one of the most respected companies which employs a large number of Indian graduates. Its segments include digital and financial services, manufacturing, consumer retail, media, healthcare etc and has produced many well-known platforms such as TCS iON, TCS Omnistore, TCS BaNCS etc.
Profit in FY22 – ₹ 38,327 cr
Revenue in FY22 – ₹ 1,91,754cr
Percentage increase in revenue (FY21-FY22) – 16.79%
P/E Ratio – 30.79
Industry P/E Ratio – 27.49
Dividend Yield – 1.36%
It is one India’s largest FMCG companies which also has a massive hotel chain, a paper and packaging business as well as large investments and enterprise in the agribusiness sector. Its famous brands include Vivel, Aashirvaad, Bingo!, Fiama and Classmate.
Profit in FY22 – ₹ 15,243 cr
Revenue in FY22 – ₹ 65,205 cr
Percentage increase in revenue (FY21-FY22) – 22.67%
P/E Ratio – 23.40
Industry P/E Ratio – NA
Dividend Yield – 3.52%
It is one of the largest FMCG businesses in India and produces detergents, water purifiers, food and beverages, deodorants, talcum powders etc. Its famous brands include Pepsodent, Clinic Plus, Lakme, Vaseline, Surf Excel, Knorr, Bru, Kissan etc.
Profit in FY22 – ₹ 8,879 cr
Revenue in FY22 – ₹ 52,446 cr
Percentage increase in revenue (FY21-FY22) – 11.52%
P/E Ratio – 61.75
Industry P/E Ratio – 58.90
Dividend Yield – 1.42%
HDFC is one India’s largest private commercial banks offering both wholesale and retail banking services as well as para banking services such as credit cards, debit cards etc..
Profit in FY22 – ₹ 38,053 cr
Revenue in FY22 – ₹ 1,67,695 cr
Percentage increase in revenue (FY21-FY22) – 7.57%
P/E Ratio – 21.52
Industry P/E Ratio – 9.24
Dividend Yield – 0.96%
When an investor is choosing to invest in a blue chip company, it is likely that they are investing for a considerable period of time. Therefore they should consider the following factors before investing –
Now that you have a fair idea about the best blue chip stocks in 2023, try taking some time and money out to invest in a stock that you like. If you do not have a demat account yet, try to open demat account with Angel One, India’s trusted online stockbroker.
Disclaimer: This article is written for educational purposes only. The securities quoted are only examples and not recommendations.
We're Live on WhatsApp! Join our channel for market insights & updates
Enjoy Zero Brokerage on Equity Delivery
Join our 2 Cr+ happy customers