Best Large Cap Stocks in India – 2024 (2024)

Last Updated on Jan 13, 2024 by Harsh*t Singh

Large-cap stocks are often considered to be the backbone of the stock market. These stocks typically represent well-established companies with a market capitalisation of over $10 bn, and they tend to offer investors a sense of stability and reliability. In this article, let’s explore some of the best large-cap stocks based on various metrics like market capitalisation, net profit margin, high dividend yield, and 5-yr CAGR.

What are large-cap stocks?

Companies can be divided by their market capitalisation, such as large-cap, mid-cap, and small-cap. Large-caps are companies with a market capitalisation of Rs. 20,000 cr. and more. Here are a few features of large-cap companies.

• Established market position: These companies have an established market position and a strong brand presence, which helps to maintain their competitive advantage.
• Revenue: Large-cap companies have a consistent track record of generating high revenue year after year.
• Diversification: Large-cap companies have a diverse portfolio of products and services, which helps to spread their risk and protect their earnings.
• Financial stability: These companies typically have a strong balance sheet and cash flows and are less vulnerable to economic downturns.
• Experienced management: Large-cap companies are typically led by experienced and skilled management teams with a proven track record of success.
• Global presence: Many large-cap companies have a global presence, with operations in multiple countries.
• Stable dividend: These companies often pay a stable dividend to their shareholders, making them attractive to income investors.
• Lower risk: Compared to small or mid-cap companies, large-cap companies are often considered less risky by investors.
• Institutional ownership: Large-cap companies typically have a high level of institutional ownership, which helps to provide stability and liquidity to their stock price.

The Securities and Exchange Board of India (SEBI) has identified 100 large-cap companies which are listed on various stock exchanges from 1 to 100. Now, let’s look at various lists of the top 10 large-cap stocks in India.

Best large-cap stocks by market capitalisation in 2024

Note: The data is from 4th January 2024. It is filtered using Tickertape Stock Screener with the following parameters-

• Sector: Large-cap
• Market Capitalisation (Sort from high to low)

Large-cap stocks with highest 1Y return

Note: The data is from 4th January 2024. It is filtered using Tickertape Stock Screener with the following parameters-

• Sector: Large-cap
• 1Y Return: Sort from high to low

Highest dividend-yielding stocks large cap stocks

Note: The data is from 4th January 2024. It is filtered using Tickertape Stock Screener with the following parameters-

• Sector: Large-cap
• Dividend yield: Set to high (Sort from high to low)
• Dividend per share

Large-cap stocks with highest 5-yr CAGR

Note: The data is from 4th January 2024. It is filtered using Tickertape Stock Screener with the following parameters-

• Sector: Large-cap
• 5Y CAGR: Set to high (Sort from high to low)

Large-cap stocks with highest net profit margin

Note: The data is from 4th January 2024. It is filtered using Tickertape Stock Screener with the following parameters-

• Sector: Large-cap
• Net Profit Margin: Set to high (Sort from high to low)
• 5-yr Average Net Profit Margin

Factors to consider before investing in the best large-cap stocks

Here are a few factors to consider before investing in large-cap stocks.

Stability: A company’s stability is a crucial factor to consider before investing. Large-cap stocks tend to face little fluctuations in their price. Additionally, stable companies tend to pay dividends.

Transparency: Large-cap companies usually have transparent earnings reports and corporate structures. This transparency makes it easy for investors to know everything about the company and difficult for the company to get involved in a scam or price manipulation.

Management: Large-cap companies have the capacity to maintain high levels of efficiency over time. Hence, when it comes to choosing large-cap companies for your investment portfolio, consider the management and its quality as one of the most important factors.

To conclude

In a nutshell, large-cap stocks can be a great addition to any investment portfolio, but it’s important to consider various factors that can affect their performance. Market capitalisation, net profit margin, 5-yr CAGR, and dividend yield are some of the crucial metrics that can help you identify the best large-cap stocks to invest in. You can use over 200 filters available on Tickertape Stock Screener to get the list of the best large-cap stocks in India based on your preferences.

This powerful tool can help you filter stocks based on various parameters and provides comprehensive data on each stock, allowing you to make informed investment decisions. So why not give it a try today and take your investment portfolio to the next level?

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