People think that making stock market investments requires a sizeable investment. But that isn’t accurate. A potential investor can start stock investing with as little as Rs 500. All you need to do is keep a close eye on the performance of the stock, market volatility, industry performance, and other important factors.A list of fundamentally sound stocks priced under 500 rupees has been compiled in this blog for your consideration.
Best Stocks to Buy Under 500
This table lists some of the best stocks to buy under Rs 500 across various industries.
|S.No.||List of Stocks under Rs 500||Industry|
|3.||Hindustan Zinc Ltd||Mining, Milling, Smelting|
|4.||Emami Limited||Personal Care|
|5.||Adani Power Ltd||Power|
Things To Consider Before Investing in Stocks Under Rs 500
It is difficult to select the correct companies to develop a profitable portfolio. When investing in a particular stock, a number of things must be considered.
Some of the prominent factors to keep in mind while buying stocks available below Rs 500 are:
Performance of the Stock
One of the first things to examine when purchasing a stock is its performance. Simply look at how it has grown in recent years and what future potential it has in store.
Analysing the stock’s performance can provide you with a clear picture of the company and some insights into its market position in comparison to competitors.
When buying a stock, one of the first things to look at is its performance. Simply consider how it has grown in previous years and what promise it has for the future.
The performance of the stock can offer you with a clear picture of the company as well as some insights into its market position in relation to competitors.
Another important thing to consider is a stock’s revenue growth. Because a company’s earnings and revenue directly reflect its success and growth, it is critical to look through it once.
It will be much easier to choose the right stocks for your portfolio if you compare the revenue growth of the companies.
Another important aspect influencing investment decisions is a company’s size. It is crucial in determining how much danger you are willing to take.
As a result, just verify whether a company’s market capitalization corresponds to your risk tolerance.
Choosing the appropriate stocks necessitates some calculation as well. Before making an investment decision, it is critical to review some crucial ratios such as the Price-to-Book-Value Ratio, the Price-to-Earnings Ratio, the Debt to Equity Ratio, and others.
Obtaining such figures will simplify your investment decision and provide you with insight into the company’s market standing.
Best Stocks Under 500 to Invest in India 2023: Brief Overview
Take a look at this brief summary of some of the stocks available for investing in India under Rs 500.
- Tata Motors
Tata Motors is a worldwide recognised brand in the automobile business. It is one of the most established companies in the Indian motor business.
For years, the company has been a top selection among stock market investors, owing to its scale of expansion, global presence, reasonable returns, consumer trust, and dependability.
Tata Motors manufactures a wide range of automobiles, trucks, SUVs, and other vehicles. Tata Nexon, Tata Tiago, Tata Harrier, Tata Tigor, and other popular vehicle models are available.
Wipro is a significant Indian information technology company with a global presence. With its IT services, IT products, consultancy, and business process services, the company has carved out a global niche.
Since 1945, Wipro has evolved from a maker of vegetable and refined oils to a leader in information technology.
Due to its excellent fundamentals, growth potential, good returns, and global presence across the industry, it has also been a top option of stock market investors when it comes to buying stocks under 500 rupees.
- Hindustan Zinc Ltd
Hindustan Zinc Ltd is one of India’s leading mining and smelting firms. It is a leading entity in the sector of zinc, lead, and silver metal mining and smelting in India.
With its changing market capitalization, national expansion, huge returns, and potential, its equities have always found their way into the portfolios of many investors.
It is sometimes referred to be an excellent stock for investment when looking for the finest share under 500 in India.
- Emami Limited
Emami Limited is a leading FMCG firm with operations in more than 50 countries. It is a well-known brand in personal care, healthcare, and even beauty items.
Emami Limited has been a well-known brand for many years, making it a viable investment option. BoroPlus, Kesh King, Fair and Handsome, Navratna, Zandu Balm, Fast Relief, and many other notable brands are under its umbrella.
Emami Limited has been a darling of many investors due to its recent growth, good fundamentals and returns, and continent-wide presence. It is frequently regarded as a viable investment option for people seeking economic alternatives.
- Adani Power Ltd
Adani Power Ltd is India’s thermal power production leader. This Adani company, trusted by millions, has been a significant contributor to power production.
They have thermal power plants in Gujarat, Karnataka, Maharashtra, Rajasthan, and Chhattisgarh as part of their aim to contribute to nations developing infrastructure through sustainable value generation. Over the years, the company has performed well, with a good return on investment, solid foundations, and a competitive advantage.
Adani Power Ltd has been on the radar of many stock traders looking for low-cost equities.
Making a wise investment decision necessitates careful consideration of numerous elements. No one should buy in equities solely because of recent patterns or because they are inexpensive. It is vital to become well-versed in its previous performance, sales, returns, fundamentals, ratios, and a variety of other aspects.
Remember, whether you’re investing Rs 500 or Rs 50,000, you should proceed with caution.
Finally, keep in mind that this is not an exhaustive list. There are numerous other stocks in which you could consider investing. These are just the best performers in various businesses.