Best Stocks Under ₹50 in September 2024- 5-yr CAGR Basis

Keywords: stocks under 50, best stocks under 50, best stocks to buy under 50

Stocks under ₹50 are shares that trade at a price below ₹50 in the stock market. Stocks priced under ₹50 can offer investment opportunities for those with a limited budget. In this article, we’ll explore the best stocks under ₹50  in India in September 2024 based on the 5-year CAGR.

Best Stocks Under ₹50 In September 2024 – 5-Yr CAGR Basis

Note: list of stocks to buy under ₹50 in India list has been selected from the Nifty 500 universe and sorted based on 5-yr CAGR as of September 11, 2024.

Overview Of Best Stocks Under ₹50 In India

• Trident Ltd

Trident Ltd, incorporated in 1990, is a major player in the manufacturing and sale of yarn, terry towels, bed sheets, paper, and chemicals. It is the world’s largest producer of wheat straw-based paper and holds a leading position in the branded copier paper market in North India. Additionally, Trident has the highest production capacity for terry towels and is one of the largest companies in India’s home textiles sector. 

For the quarter ended June 2024, the company’s revenue increased to ₹1,734.69 crore from ₹1,679.03 crore in the preceding quarter. Meanwhile, the net profit increased to ₹73.59 crore from ₹64.19 crore in the previous quarter. 

Key metrics: 

• Earning per share (EPS):₹0.73
• Return on equity (ROE): 8.65%

• Shree Renuka Sugars Limited

Shree Renuka Sugars Limited (SRSL), established on October 25, 1995, is an integrated manufacturing company focusing on sugar production, power, and ethanol. SRSL boasts India’s largest sugar refining capacity, processing 4,000 tons daily. The company specialises in producing and refining sugar, manufacturing ethanol and ethyl alcohol, and generating and selling power. 

For the quarter ended June 2024, the company’s revenue decreased to ₹2,871.50 crore from ₹3,298.20 crore in the preceding quarter. Meanwhile, the net profit decreased to – ₹135.20 crore from -₹122.20 crore in the previous quarter. 

Key metrics: 

• EPS: -₹2.77
• ROE: 405.08%

• UCO Bank

UCO Bank, established in 1943 and headquartered in Kolkata, is a commercial bank offering a range of value-added banking services. It offers various banking and financial services, including retail banking, corporate banking, and treasury operations. The bank is ranked 80th on the Fortune India 500 list based on 2020 data and 1948th on Forbes’ Global 2000 list for 2018. 

For the quarter ended June 2024, the company’s revenue decreased to ₹6,023.99 crore from ₹5,859.70 crore in the preceding quarter. Meanwhile, the net profit decreased to – ₹550.96 crore from -₹525.77 crore in the previous quarter. 

Key metrics: 

• EPS: -₹1.66
• ROE: 7.24%

• Vodafone Idea

Vodafone Idea is a major telecom provider in India, offering mobile services, long-distance communication, and selling handsets and data cards. Vodafone Idea Business Services supports businesses with advanced communication solutions, helping Indian and global companies, public sector organizations, and startups thrive in the digital world. The company offers a range of services, including enterprise mobility, strong connectivity, IoT solutions, cloud communication, and business analytics.

For the quarter ended June 2024, the company’s revenue decreased to ₹10,412.10 crore from ₹10,472.30 crore in the preceding quarter. Meanwhile, the net profit increased to – ₹6,471.30 crore from -₹7,678.80 crore in the previous quarter. 

Key metrics: 

• EPS: -₹4.29
• ROE: 28.82%

• TV18 Broadcast Ltd

TV18 Broadcast Ltd is an Indian company involved in broadcasting and transmitting general news programs. It operates two 24-hour news channels, CNN IBN and IBN 7. The company primarily works in the media and entertainment industry and looks for new opportunities in this field. It also runs an online news portal, www.ibnlive.com, where news from CNN IBN is available in text and interactive formats. 

For the quarter ended June 2024, the company’s revenue decreased to ₹385.21 crore from ₹461.19 crore in the preceding quarter. Meanwhile, the net profit decreased to ₹6.97 crore from ₹27.68 crore in the previous quarter. 

Key metrics: 

• EPS: ₹0.25
• ROE: 1.35%

Things to Keep in Mind When Investing in The Best Stocks Under ₹50 

• Higher Volatility: Stocks under ₹50 tend to be more volatile than higher-priced stocks, leading to short-term big price swings. This may increase the risk of losing money quickly.
• Lower Liquidity: These stocks may have lower liquidity, meaning it can be harder to buy or sell large quantities without affecting the stock price. This can be a problem when trying to exit an investment.
• Limited Information: Stocks under ₹50 might not always provide enough details about their financial condition and operations, making it harder to make well-informed investment decisions.

Conclusion

Stocks under ₹50 offer appealing investment opportunities for those with a smaller budget, allowing you to start investing with as little as ₹50. However, when evaluating the stocks, it’s important to consider the company’s financial health by reviewing revenue, profit margins, debt, and past performance. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.