It further expanded into education and stationery products, paperboards and packaging, hospitality, among others. The focus of the central government to increase the share of natural gas from 6.5 percent to 15 percent of the overall energy mix bodes well for the company. The company recently entered the two-wheeler electric space with the launch of the iconic Chetak. The company has seen its revenue grow at a compounded annual growth rate of 10 percent over FY10-FY20, while PAT grew at a CAGR of 12 percent over the same period.

Therefore, it is best to diversify your portfolio by adding shares other than blue chip stocks. A blue-chip stock is the stock, of typically, financially sound companies that have had a healthy operation for many years and have dependable earnings. These stocks also often pay a steady dividend to their investors. Generally, a blue-chip stock is a market leader in its sector or amongst the top three by market capitalization. The blue-chip stocks to buy are stocks issued by financially sound and fundamentally strongblue chip companieswith humongous market capitalisation and enviable market reputation. Blue Chip companies refer to equity shares of companies with larger market capitalisation.

As investments are subject to market risks and price fluctuation risk, there is no assurance or guarantee that the investment objectives shall be achieved. Past performance of securities/instruments is not indicative of their future performance. It is well-known that blue-chips stocks are one in their own league and these grow at a fast yet slow pace as compared to small or mid-level companies.

Financially Resilient

These stocks are being traded at a discount viz-a-vis their fundamentals. Cash flow refers to the flow of money in the to-and-fro process of a business. It is considered more important than profit because a company may clock lower profit due to expansion or other reasons, but the constant flow of money will determine the health of the business. Forbes Advisor India analyzed the most prominent stocks in the market that show the traits of a multi-bagger share and prepared the following list to help you choose a future winner. Such companies in the words of Peter Lynch, a well-known author of the book “One Up on Wall Street”, are known as multi-baggers. A normal company would take ages to give those kinds of returns but multibaggers can do that within a few years and at the same time keep consistency.

In India, there are several blue-chip stocks available for investors to choose from, including Reliance Industries, HDFC Bank, Tata Consultancy Services, and Hindustan Unilever. However, it’s important to do your own research and analysis before making any investment decisions. Investments in securities market are subject to market risk, read all the related documents carefully before investing. Check out our video on how to evaluate and build a solid portfolio of thebest blue chip stocksin India. Investment in securities markets are subject to market risks, read all the related documents carefully before investing.

Fundamental indicators that help you filter out the best blue chip stocks.

SBI is a multinational corporation, and its presence can be noticed in 32 countries. The annualised dividend comes up to S$0.32, giving SGX’s shares a forward dividend yield of 3.3%. We present five Singapore blue-chip stocks that are slated to pay out dividends this month. In our blue chip screener’s algorithm, ITC scores a very high rating.

HDFC Bank is India’s leading banking and financial service company. It is India’s largest private sector lender by assets and has a market cap of Rs. In the table given below, you can find all the necessary information about these high dividend blue chip stocks in short. With its headquarters in Mumbai, HPCL is an Indian oil and gas refinery corporation. In the 2016 Fortune Global 500 list of the largest corporations in the world, the company is placed 367th. They havea stock with 20% upside potential and a strong analyst rating.

What are the highest dividend paying blue-chip stocks?

Your financial situation is unique and the products and services we review may not be right for your circumstances. We do not offer financial advice, advisory or brokerage services, nor do we recommend or advise individuals or to buy or sell particular stocks or securities. Performance information may have changed since the time of publication. Dividend can be considered to be an important factor as investors view it as a source of income from investing. It is a driving factor for new investors and a few years ago, when the stock market was not very technology driven, it was among the top factors amateur investors kept in mind before investing. With the advancement in technology and data-driven investors, this psyche has changed.

• However, it is important to carefully research and evaluate the potential risks and rewards before making any investment decisions.
• Hence, almost all blue-chip companies eventually falls into the large-cap space.
• Dividend investing is a strategy that provides investors with two potential sources of profits; the predictable income from the payments of dividends and the other from the capital appreciation over time.
• Past performance of securities/instruments is not indicative of their future performance.

Indian manufacturer of two- and three-wheeled vehicles, Bajaj Auto, is India’s second-largest motorcycle manufacturer and the sixth-largest in the entire world. It produces and sells auto rickshaws, motorbikes, and scooters. Jamnalal Bajaj established Bajaj Auto in Rajasthan in the 1940s. It is the largest three-wheeler company in the world and produces over 84% of India’s three-wheeler exports. Platina, Discover, Pulsar, and Avenger are a handful of Bajaj Auto’s well-known motorcycle models, along with the CT 100. TCS is a global IT services and consulting company headquartered in Mumbai, India.

Best Blue Chip Stocks – Highest Dividend

For instance, if a listed company with a share price of Rs 100 pays a dividend of Rs 5 per share, then the dividend yield of the stock is 5 percent. Being the biggest bank in the country, SBI is a Large-Cap stock. We undoubtedly had to consider this stock in our list of blue chip stocks in India. The promoters of HUL hold up to 61% of the total share capital; they have more than 64 product brands with over employees. All the above factors bring HUL to the top 10 blue chip stocks in India. Its network is so strong that it has 5288 branches with 15,158 ATMs across the country.

Having recognised the power of words, she constantly works on using them to enhance financial awareness among the masses and meet business objectives. One of her greatest strengths is breaking complex concepts in an easy-to-understand way. Over the last 5 years, ITC stock has generated 42.99% returns for its investors. As of 14th March 2023, ITC stocks are showing great potential for profitability and efficiency, with 89% of analysts suggesting that investors buy this stock. With such promising figures, ITC is definitely a stock worth considering for investors.

The company offers a wide range of services, including consulting, IT support, business solutions, digital transformation, and IT platforms. It had also scavenged via emerging technologies including machine learning, artificial intelligence, cloud computing, and blockchain based technology. This is one of the best high dividend blue chip stocks in India.

Its growth initiatives involve both brand-new product development and global expansion. The largest food and beverage corporation in the world, Nestle SA of Switzerland, is the parent company of Nestle India. In India, Nestle India Ltd. has 4 branch offices and 8 manufacturing units. The company has consistently concentrated its efforts to improve and understand the changing Indian lifestyles and anticipate consumer needs.

Tavaga is everything you need to start saving for your goals, stay on high dividend blue chip stocks in india, and achieve them in time. It enjoys a unique advantage of access to Pfizer Inc’s global portfolio. The company was a pioneer in introducing clinical research in India. Pfizer Limited has state-of-the-art manufacturing facilities in Goa, producing over a billion tablets annually. It has three divisions in India- animal healthcare, research & development, and pharmaceuticals.

But as explained in this article, there are a few limitations with these stocks. FII screener will show you the list of stocks which Foreign Institutional Investors are selling off from their portfolios. Many blue chip companies form part of benchmark indices such as Nifty 50, Nifty 100, and Sensex. INDmoney makes no warranties or representations, express or implied, on products and services offered through the platform.

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It is the third-biggest company and the largest bank in terms of market value. HDFC is renowned for its management’s track record of success, sufficient capitalization levels, high asset quality, rigid underwriting standards, and diversification into various related segments. This has helped the company grow to keep the debt-to-equity ratio under control and to ensure that the asset quality does not deteriorate moving forward. Blue chip stocks in India are stocks of well-established and financially stable companies with a long track record of consistently strong financial performance. As a result, these stocks are less prone to price fluctuations and less risky than other types.

What are blue chip stocks?

A blue-chip stock typically represents a good, established company with a solid financial track record and stable business model. Therefore, it is essential to carefully research the company’s financial statements and performance history to ensure that it is a financially sound investment. Information provided on Forbes Advisor is for educational purposes only.

At last, what matters the most is to minimize risk through a decent margin of safety. Photo by Jason Briscoe on UnsplashYou can purchase the best blue chip stocks in India from any brokerage platform of your choice. While small-cap investments held by brokerages are easy to find, one should be capable of finding blue chip shares with some of the big names when it comes to brokerage firms. To invest in blue chip companies, one does not need to be an expert. A provider of telecommunications tower infrastructure services is Indus Towers Ltd.

Wipro Ltd. recently became the 3rd IT firm to reach a market worth of Rs. 3 trillion. These stocks are cheaper in comparison to other MNCs which is the reason why it is on this list of low price blue chip stocks. Reliance Industries’ strong oil and gas segment generates the majority of the company’s cash flows. However, the other businesses provide diversification and a foundation for achieving steady growth in the sector in the upcoming 10 years. The corporation also plans to become carbon neutral by 2035, concentrating on the energy sector while continuing to make investments in the oil and gas sector.

As an investor, you cannot buy a blue chip stock for its fancy brand name and impressive dividends. Investing without doing proper research and analysis can lead to huge losses. The corporation did experience some advantages as a result of the increase in oil prices in FY22. However, ONGC is at significant risk from fluctuating crude oil prices because the company’s profits are directly impacted. It is a good option if you are looking for low price blue chip stocks.

They are also the market leaders in Nepal and are in the process of investing a manufacturing facility in the country. Their foot print spreads across North America, Europe, Africa and South East Asia through exports and are investing in a state- of- the- art facility in Mundra SEZ, Gujarat, to service the exports markets. Britannia’s strategic expansion plan is based on the principle of ‘One new market a year’ with intention to expand through local operations in Africa and South East Asia in the coming years. These companies are financially resilient with negligible to zero debt levels and are capable of surviving turbulent economic situations.

Investors looking to develop an alternative income source can consider dividend-paying stocks after doing thorough research or taking advice from a SEBI Registered Investment Adviser like Tavaga Advisory. Pfizer Limited is a subsidiary of the world’s premier pharmaceutical corporation, Pfizer Inc. The company is engaged in the manufacturing, marketing, trading, and export of pharma products. More importantly, the company enjoys a significant edge over its competitors, given that the business operation of the company demands massive capital requirements and limited zinc ore mines.