Introduction – Top Blue Chip Stocks in India 2023
Investment is one of the best ways to build wealth over time and is an excellent source of passive income. Since equities are the most popular form of investment that gives excellent returns, people opt for investing in stocks. This leads investors to seek out the top blue chip stocks in India 2023 for finding good investing opportunities.
Investments made for the long term almost always lead to capital appreciation and give excellent returns. These investments can be made in equity or debt, depending on the risk appetite and on the desired rate of returns.
Blue chip stocks are chosen for their reliability, strong fundamentals, highest market share in their segment, and for the dividend income they provide to investors on a regular basis. These stocks are usually the biggest players in their respective segments and are well-known even by people that do not invest regularly. Blue chip stocks generally have strong management teams that focus on expansion and growth of the company.
Best Blue Chip Stocks in India
Let us look at the list of some of the best blue chips stock list so we can pick and choose the right ones for us. We will make our decision based on financial ratios since we use Fundamental Analysis for long term investment.
Net profit margin, earnings per share, price to earnings ratio, market capitalization, change in revenue and net profit, etc. are some of the fundamental analysis parameters we will take into consideration to select best blue chip stocks for long term investment.
|Name of Stock||Ticker (on NSE)||Market Capitalization (Rs in Cr)||EPS (Rs)||PE Ratio|
|Reliance Industries Ltd||RELIANCE||1585322.52||12.38||38.22|
|Tata Consultancy Services Ltd||TCS||1238899.91||29.13||31.68|
|Hindustan Unilever Ltd||HINDUNILVR||579174.25||10.67||59.48|
|HDFC Bank Ltd||HDFCBANK||891258.73||21.99||21.16|
|Bharti Airtel Ltd||BHARTIARTL||4181132.52||-5.69||-103.08|
|Nestle India Ltd||NESTLEIND||181214.78||65.14||75.30|
|HCL Technologies Ltd||HCLTECH||298828.80||11.80||25.72|
Reliance Industries Limited is primarily an Oil and Gas company. But the company also operates in other segments like Retail, Digital Services, Financial Services, etc. The Oil and Gas segment includes exploration, development, refining, and production of crude oil and natural gas. The Retail segment consists of consumer retail stores and other related services. The Financial Services segment carries out management and deployment of identified resources of the Company for activities such as non-banking financial services and insurance broking.
Reliance Industries posted a 7.80% drop in Standalone Revenue to Rs. 1,29,415 crores, while the Standalone Net Profit rose 21% to Rs. 8373 crores in the October-December quarter of FY23.
Tata Consultancy Services Ltd
Tata Consultancy Services Limited is one of the leading information technology (IT) sector players. The company provides IT services to Banks, Financial Institutions, Insurance providers, Manufacturing segment, Communications, Life sciences, among others. The company’s product portfolio comprises of TCS BaNCS, TCS iON, TCS Connected Intelligence Platform, TCS MasterCraft, etc. The company also provides IT enabled services such as cloud services, business intelligence and performance management, connected marketing solutions, business process services, and many others. Its client base includes insurance, healthcare, retail, telecom and others sectors.
Tata Consultancy Services posted a 5.25% rise in Standalone Revenue to Rs. 49275 crores, while the Standalone Net Profit increased 5.96% to Rs. 10659 crores in the October-December quarter of FY23.
Hindustan Unilever Ltd
Hindustan Unilever Limited is a consumer goods company with focus on several segments like Home care, Beauty and Personal Care, Foods and Refreshment, among others. The most popularly known brands of the company are toothpastes like Closeup, Pepsodent; detergents like Rin, Surf excel, Wheel; Skin and Hair care brands like Lakme, Ponds, Vaseline, Dove, Sunsilk, Clinic Plus; food related products like Knorr, Horlicks, Kissan, Kwality Walls, Bru, etc.
Hindustan Unilever posted a 3.23% increase in Standalone Revenue to Rs. 15,228 crores, while the Standalone Net Profit slipped 4.24% to Rs. 6210 crores in the October-December quarter of FY23.
Infosys Limited is one of the most prominent IT companies in the country that provides technology, consulting, digital services, etc. It provides its services to financial and insurance companies, manufacturers, energy firms, tele-communication companies, pharmaceutical and healthcare firms, etc. It engages majorly in application development and management, support, and integration services. Its product portfolio includes LEAP, Finacle, Skava, Panaya, among others.
Infosys posted a 2.60% rise in Standalone Revenue to Rs. 32,389 crores, while the Standalone Net Profit decreased 0.69% to Rs. 6,210 crores in the October-December quarter of FY23.
HDFC Bank Ltd
HDFC Bank Limited is a big private bank that has the highest weightage in the Nifty Bank index. The bank operations include segments like Retail banking, Treasury, Wholesale Banking, etc. The company also provides brokerage firm services to its customers. The bank operates through nearly 6378 branches and approximately 18620 automated teller machines across 3203 cities in India. The company also provides banking solutions to other countries.
HDFC Bank posted a 10.68% rise in Standalone Revenue to Rs. 42707.77 crores, while the Standalone Net Profit increased 15.59% to Rs. 12259.49 crores in the October-December quarter of FY23.
Bharti Airtel Ltd
Bharti Airtel Limited is one of the big players in the telecom segment with operations in India and Africa. The company telecommunication services across wireless networks such as 2G, 3G, 4G and 5G, broadband, DTH, among others. The telecom player also provides digital payments and financial services; on-demand entertainment and streaming services; and cloud and data center; Ad Tech, and cloud based communication products. It also provides telecom towers and other infrastructure for several mobile operators.
Bharti Airtel posted a 2.84% gain in Standalone Revenue to Rs. 21606.10 crores, while the Standalone Net Loss was Rs. 3222.3 crores in the October-December quarter of FY23.
ITC Limited is primarily known as a Cigarette company but it also operates in other segments such as FMCG (Fast Moving Consumer Goods), Hotels, Paper, Packaging, and Agri. The FMCG segment includes packaged foods like snacks, beverages, biscuits, cakes, chocolates, coffee, stationery, personal products, etc. The Agri segment comprises of agricultural commodities like soya, coffee, spices, and leaf tobacco. Some of the popularly known ITC brands are Classmate, Aashirvaad, Vivel, Fiama, Candyman, Bingo!, Homelites, Engage, etc.
ITC posted a 0.62% increase in Standalone Revenue to Rs. 17265.48 crores, while the Standalone Net Profit rose 12.65% to Rs. 5031.01 crores in the October-December quarter of FY23.
Asian Paints Ltd
Asian Paints Limited focuses on manufacturing, selling, and distributing paints, coatings, bathroom fittings, other home décor products, etc. The paints segment also consists of enamels, varnishes, lacquers, thinners, organic composite solvents, among others. The company also offers a host of services such as colour consultancy, safe painting service, waterproofing solutions, wood solutions, contractor finding service, and interior design service.
Asian Paints posted a modest rise of 2.42% in Standalone Revenue to Rs. 7521.82 crores, while the Standalone Net Profit jumped 42.26% to Rs. 1085.88 crores in the October-December quarter of FY23.
Nestle India Ltd
Nestle India Limited functions mainly in the food business. Its product portfolio includes powdered and liquid beverages, confectionary goods, prepared dishes and cooking aids, and milk products. Some popularly known brand names of Nestle include MAGGI, KIT KAT, MILKYBAR, BAR-ONE, NESTEA, NESTLEEMilk, NESCAFE, NESTLE SLIM Milk, MILKMAID, NESTLE Dahi and NESTLE Jeera Raita.
Nestle India posted a 7.28% drop in Standalone Revenue to Rs. 4256.79 crores, while the Standalone Net Profit slipped 6.03% to Rs. 628.06 crores in the October-December quarter of FY23.
HCL Technologies Ltd
HCL Technologies Limited is another big player in the information technology (IT) space that operates through three segments viz. HCLSoftware, IT and Business services (ITBS) and Engineering and R&D Services (ERS). The services provided by the company include IoTWoRKs, cybersecurity solutions, application, infrastructure and digital process operations and digital transformation services enabled by digital and analytics, cloud services, very large-scale integration (VLSI) and platform engineering to support end-too-end lifecycle of products for diverse industries, etc.
HCL Technologies posted an 8.53% rise in Standalone Revenue to Rs. 12398 crores, while the Standalone Net Profit surged 16.60% to Rs. 3196 crores in the October-December quarter of FY23. Above, we have summarized information regarding the top 10 blue chip stocks in India. Investing in blue-chip stocks will surely lead to good profitability and better returns on your investment in the long term.