Investing can be a hard task for a person who has recently entered the stock market. He/She might not be able to figure out the correct stocks to pick. When new investors enter the market, they don’t want to take high risks and lose their money and even ideally they should not.
Fundamentally strong stocks under 200 Rupees solve the problem of low capital as well as high risk. But the real problem is, when an investor uses any screener and tries to find stocks under 200 rupees, he/she gets a list of more than 2900 companies. Picking up the strongest stock out of these 2900 companies on the basis of various metrics can be a complicated task.
This article tells you about the 5 strong stocks under 200 Rupees. Please note that this article is for informational purposes only and should not be considered investment advice.
List of 5 Best Stocks under Rs 200 in India
|Name of the Company||Market Capitalisation (Rs. in crore)||Total Revenue (Rs. in crore)||Net profit (Rs. in crore)||Return on Equity (%)|
|Bharat Electronics Ltd.||68054.04||15,599.72||2,398.87||20.52|
|GAIL (India) Ltd.||69104.3||95,706.73||12,256.07||20.84|
|Punjab National Bank||52577.6||88,571.12||3,860.74||4.04|
|NLC India Ltd.||10822.7||13,637.38||1,092.57||6.88|
|Indus Towers Ltd.||40919.96||28,175.70||6,373.10||33.51|
Bharat Electronics Ltd.
BEL was established in 1954 in association with CSF, France (now, Thales), to meet the specialised electronic equipment requirements of the Indian Defence Services. With around nine plants and a number of regional offices in India, BEL is a state-owned aerospace and defence business from India. The company’s product line is diverse and includes electronic warfare devices, communication tools, and radar systems. Bharat Electronics Limited is well-positioned to profit from this trend given the Indian government’s increased focus on defence modernisation. The company is also committed to its R&D improvements as it spends more than 7% of revenue on R&D. Company has a strong balance sheet, P&L and cash flow and the market price of Bharat Electronics ltd. is 94 Rupees.
GAIL (India) Ltd.
Incorporated in 1984, GAIL, a Government of India undertaking, is an integrated natural gas company in India. It owns over 11,500 km of natural gas pipelines, over 2300 km of LPG pipelines, six LPG gas-processing units and a petrochemicals facility. It also has a joint-venture interest in Petronet LNG Ltd, Ratnagiri Gas and Power Pvt Ltd, and in the CGD business in several cities. Moreover, the company’s strong financial performance and dividend yield make it an attractive option for investors. The company’s stock is currently trading at 111.60 Rupees.
Punjab National Bank
Punjab National Bank is India’s first Swadeshi Bank. PNB is a Banking and Financial service bank owned by the Government of India with its headquarters in New Delhi, India. It is the Third largest PSU after IOB in India. Punjab National bank has shown tremendous growth in terms of revenue, asset quality, profitability and other metrics too. Additionally, the bank’s strong balance sheet and attractive valuation make it an attractive option for investors. Punjab National Bank is currently trading at 50 Rupees.
NLC India Ltd.
NLC India is engaged in the business of mining lignite and generation of power by using lignite as well as Renewable Energy Sources. A Navaratna Company NLC India Limited (NLC) (formerly Neyveli Lignite Corporation Limited) is a Navratna Government corporation in the fossil fuel mining sector in India and thermal power generation under the ownership of the Ministry of Coal, Government of India. The company has a moderately strong balance sheet, P&L statement and Cash flow. Other metrics state that it is an undervalued company trading currently at 81.4 Rupees.
Indus Towers ltd.
Indus Towers Limited is engaged in the business of the object of, inter-alia, setting up, operating and maintaining wireless communication towers. The Co. has a tower market share of 33% and a tenancy market share of 42%. Indus Towers Ltd is the largest telecom tower company in India, with over 1.26 lakh towers across the country. The company has a solid balance sheet, profit and loss statement, and cash flow. Other metrics indicate that the company is undervalued, with the stock currently trading at 155 Rupees.
Also read: Best Stocks below 100 Rupees in India
In conclusion, investing in the stock market can be a great way to grow your wealth over time. However, it is important to do your research and invest in companies that have strong growth prospects and are well-positioned to benefit from industry trends. The stocks listed above are some of the best options for investors who are looking for exposure to the Indian market and are willing to take on a moderate level of risk. Now that you know about a few stocks under 200 Rupees, open Demat account with Angel One and start building your wealth.
1. Are these stocks guaranteed to give strong returns?
The financial market has always been extremely unpredictable. Still, according to fundamental analysis, these stocks have strong upside potential. One should always do his/her own research before investing.
2. Does low-cost stock mean cheap-quality stock?
No, the cost depends upon the number of outstanding shares and demand and supply. The cost has no relation with the quality of the stocks.
2. Are low-cost stocks tend to double their value faster than the high-priced cost?
No, the calculation is not this simple. The increase in value depends on the number of outstanding shares and the demand and supply of the shares, not on the price stand-alone.