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Best Battery Stocks in January 2025 – 5yr CAGR Basis: Exide Industries, Eveready Industries & More

Updated on: Dec 31, 2024, 2:17 PM IST
The battery industry in India is growing rapidly and is expected to reach USD 6 billion by 2030. Check the best battery stocks in India in January 2025, based on their 5-yr CAGR.
Best Battery Stocks in January 2025 – 5yr CAGR Basis: Exide Industries, Eveready Industries & More
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The battery industry in India is experiencing rapid growth, driven by the increasing demand for electric vehicles (EVs), renewable energy storage, and consumer electronics. With the government’s push for green energy initiatives and a robust manufacturing ecosystem, India is emerging as a key player in the global battery market. In 2022, the market size for batteries in India was around USD 1 billion. It was estimated that by 2030, the market will reach USD 6 billion.

In this article, check some of the best battery stocks in India in January 2025, picked based on their 5-year CAGR.

Best Battery Stocks in January 2025 – Based on 5yr CAGR

Name Market Cap (₹ in crore) PE Ratio 5Y CAGR (%) 1Y Return (%)
HBL Engineering Ltd 17,004.52 60.54 108.28 40.78
Eveready Industries India Ltd 2,761.39 41.36 47.13 6.83
Exide Industries Ltd 34,956.25 39.87 17.29 27.72
Amara Raja Energy & Mobility Ltd 21,671.12 23.19 10.36 43.51

Note: The best battery stocks list provided here is as of December 31, 2024. The stocks have a market cap of more than ₹500 crore and are sorted based on the 5-year CAGR.

Overview of the Best Battery Stocks in January 2025

1. HBL Engineering Ltd

HBL Power System Ltd is engaged in the manufacturing and services of different types of batteries, e-mobility, and other products. In FY 2024, the company’s total income reached ₹2,25,126.30 lakh, up from ₹1,38,636.22 lakh in FY 2023. The profit for FY 2024 was ₹26,265.62 lakh, an increase from ₹9,709.17 lakh in FY 2023. In H1 FY 2025, the company’s PAT was ₹16,73,567 lakh, up from ₹1,20,890 lakh during the same period in the previous year.

Key metrics:

  • Return on Capital Employed (ROCE): 30.98%
  • Return on Equity (ROE): 25.87%

2. Eveready Industries India Ltd

Eveready Industries India Limited is one of the well-known battery companies stock in India. It is one of the leading manufacturers of dry-cell batteries in India. The company offers batteries, lighting solutions, flashlights, and home appliances. In FY 2024, the company’s total income reached ₹1,314.2 crore, a slight drop from ₹1,327.7 crore in FY 2023. The profit for FY 2024 was ₹66.7 crore, an increase from ₹20.1 crore in FY 2023. In H1 FY 2025, the company’s PAT was ₹58.9 crore, up by 17.1% from ₹50.3 crore during the same period in the previous year.

Key metrics:

  • ROCE: 20.23%
  • ROE: 18.91%

3. Exide Industries Ltd

Exide Industries Ltd is primarily engaged in the manufacturing of storage batteries and related products in India. In FY 2024, the company’s total income reached ₹16,859.68 crore, an increase from ₹15,202.69 crore in FY 2023. The profit for FY 2024 was ₹882.82 crore, an increase from ₹822.77 crore in FY 2023. In H1 FY 2025, the company’s PAT was ₹577.3 crore, up by 9.2% from ₹528.9 crore during the same period in the previous year.

Key metrics:

  • ROCE: 9.86%
  • ROE: 7.29%

4. Amara Raja Energy & Mobility Ltd

Amara Raja Batteries Limited (ARBL) is the flagship company of the Amara Raja Group. The company is one of the largest manufacturers of lead-acid batteries for both industrial and automotive applications in the Indian storage battery industry. In FY 2024, the company’s total income reached ₹11,818.85 crore, an increase from ₹10,484.37 crore in FY 2023. The profit for FY 2024 was ₹934.38 crore, an increase from ₹730.83 crore in FY 2023. In H1 FY 2025, the company’s PAT was ₹484.73 crore, up from ₹436.71 crore during the same period in the previous year.

Key metrics:

  • ROCE: 17.72%
  • ROE: 14.59%

Battery Sector Growth in India

Batteries, from everyday devices like TV remotes to electric vehicles, play a crucial role in our lives.

The lithium-ion battery sector in India is poised for significant growth, with demand expected to reach 54 GWh by FY27 and 127 GWh by FY30. This growth is driven by the country’s renewable energy targets, aiming for 50% of primary energy from renewables by 2030. Government initiatives like the FAME and Viability Gap Funding schemes are also helping reduce costs for Electric Vehicles (EVs) and Battery Energy Storage Systems (BESS), further boosting demand.

Conclusion

In addition to the battery sector stocks mentioned above, several other companies play a key role in battery manufacturing. It’s crucial to evaluate each company’s business model, financial stability, and long-term potential before making investment decisions.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Published on: Dec 31, 2024, 2:17 PM IST

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