Founded by Dhirubhai Ambani, Reliance Industries is a Fortune 500 company and the largest private sector corporation in India. Combining their core characteristics makes these bluechip companies a safe bet for investors. Blue-chip stocks can be purchased directly from the stock market or through exchange-traded funds (ETFs) or mutual funds that invest in blue-chip stocks. As a blue-chip business, HUL allows investors to participate in India’s consumption story while benefiting from the country’s demographic dividend and rising consumer ambitions. The appealing properties of blue-chip stocks might change in response to changes in interest rates. Increased interest rates have the potential to reduce demand for stocks by increasing the appeal of bonds and other fixed-income products.
Highest dividend paying penny stocks in India
This screener evaluate such companies which are available at a decent valuation either on a historic basis or in comparison to their industry. Featuring as a blue chip stock, SBI has made its way into our list of high dividend blue chip stocks in India, reflecting its significant role in the banking sector. Power Grid Corporation is a government-owned company that deals with transmitting electricity. high dividend blue chip stocks in india It has a strong track record of consistently paying dividends, which makes it an attractive option for investors who want a reliable idea for passive income through dividends.
High Dividend Blue Chip Stocks in India
- Equally weighted portfolios perform better than their price weighted counterparts as we saw in one of the previous articles.
- These stocks are for those who want a stable income and want to invest in companies for a longer period.
- We also know that they grow at a steady yet slow pace in comparison to small or mid cap companies.
- Investing in blue chip stocks in India presents a viable opportunity for those seeking consistent returns and long-term growth.
- Tata Consultancy Services (TCS) is a leading subsidiary of the famous Tata Group and is one of the top global IT services and consulting companies.
- Kotak Mahindra Bank’s stock has seen a growth of 40.22% over the last 5 years, lagging behind Nifty Bank’s growth of 65.34%.
It is known to offer stable cash flows, solid infrastructure, and government endorsement. An ordinary dividend is taxed at the normal slab rates applicable to the shareholder’s income under Section 56(2)(i) of the Income Tax Act, 1961. The shareholder has to report the dividend income in his/her income tax return and pay tax accordingly. An ordinary dividend is a dividend that does not meet the conditions to be a qualified dividend. Indus Towers Limited is engaged in the business of setting up, operating and maintaining wireless communication towers.
Indian Oil Corporation of India Ltd.
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. GAIL has wholly owned subsidiaries in Singapore and the US for expanding its presence outside India in the segments of LNG, petrochemical trading and shale gas assets. Coal India Limited (CIL) is a PSU mining company, engaged in the production and sale of coal. The Company offers products, including Coking Coal, Semi Coking Coal, Non-Coking Coal, Washed and Beneficiated Coal, Middlings, Rejects, Coal Fines/Coke Fines, and Tar/Heavy Oil/Light Oil/Soft Pitch. Vedanta Ltd is a diversified natural resource group engaged in exploring, extracting and processing minerals and oil & gas.
It offers loans, deposits, credit cards, brokerage, and insurance services. The bank has proven that it can operate successfully under tough economic conditions. Going forward, SBI is expected to explore emerging opportunities in digital banking and further strengthen its foothold in the market and increase penetration by scaling partnerships with fintech firms and finance companies. To strengthen its digital capabilities and expand its global footprint Infosys has acquired key companies.
It has famous brands under its name like – Sunsilk, Pepsodant, Lakme, Brookbond, Surf Excel, Wheel, Lifebuoy, and many more. At the end of the day, minimizing the risk by having a decent margin of safety is what matters the most. The cherry on the cake would be to get them at throwaways prices which is true with some of the companies that come with heavy promoter holdings. If you are looking for a scheme that gets you rich overnight, then bluechip stocks are perhaps not the best way to go.
The stock has an average P/B ratio of 8.20 and a P/E ratio of 22.00 but does give a dividend yield of 2.63%. The company has shown a robust financial track record and has played a key role in revolutionizing the IT industry. ICICI Bank’s stock has grown by 223.01% over the last 5 years compared to Nifty Bank’s growth of 65.34%.