Best Stocks and Sectors in India: Every once in a while the technologies and innovations keep changing. Some of these stand the test of time by solving a solution, increasing operational efficiency, or reducing costs. Companies engaged in developing and distributing such technologies and innovative products or services from initial stages eventually become futuristic sectors that offer attractive investment opportunities.

Best Stocks and Sectors in India

In this article about Best Stocks and Sectors in India, below are the four industries with stocks in India that may have high demand in the future:

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1. Renewable Energy Industry 

Renewable energy that comes from natural sources or processes that are constantly replenished. For example, sunlight and wind keep shining and blowing, even if their availability depends on time and weather. 

Renewable power is one of the futuristic industries in India, as innovation brings down costs and starts to deliver on the promise of a clean energy future. As per the Central Electricity Authority, the requirement for power is likely to reach 817 GW in 2030. And the aim is to meet 50% of the total energy requirement from renewable energy by 2030. 

These are the top-performing stocks that fall under the Renewable Energy industry:

Adani Green Energy Ltd 

With a market capitalization of Rs. 1.46 lakh crores, the shares of Adani Green Energy Ltd opened Tuesday’s trading session flat at Rs. 926.20. The share hit an intraday high at Rs. 936 making a gain of around 0.5 percent and closed its day at Rs. 926.60 apiece. 

Looking at the financial statement, the company’s revenue marginally increased by 2 percent from Rs. 2,176 crores in the June quarter to Rs. 2,220 crores in the September quarter. In addition, the net profit increased by 15 percent from Rs. 322 crores to Rs. 372 crores during the same timeframe. 

Moreover, the return on equity(RoE) was at 27.52 percent during FY 22-23 and the return on capital employed (RoCE) was recorded at 8.46 percent during the same period. 

NHPC Ltd 

With a market capitalization of Rs. 53,037 crores, the shares of NHPC Ltd opened Tuesday’s trading session flat at Rs. 53. The share hit an intraday of Rs. 55.15 making a gain of around 3 percent and closed its day at Rs. 54.40 apiece. 

Looking at the financial statement, the company’s revenue increased by 6 percent from Rs. 2,757 crores in the June quarter to Rs. 2,931 crores in the September quarter. In addition, the net profit magnified by around 50 percent from Rs. 1,036 crores to Rs. 1,545 crores during the same timeframe. 

Moreover, the return on equity(RoE) was at 11.76 percent during FY 22-23 and the return on capital employed (RoCE) was recorded as 9 percent during the same period.

2. Semiconductor Industry 

Semiconductors are used in electronic products such as ACs, CPUs, rice cookers, electric vehicles, smartphones, ATMs, and other electronic products. A semiconductor is a material product usually comprised of silicon, which conducts electricity more than an insulator. 

Semiconductors can be one of the fastest-growing industries. Currently, India imports all the semiconductors needed. The Government estimates that India’s semiconductor market is expected to grow four times the current market by 2026. Therefore, to reduce the dependence on imports the government has sanctioned Rs. 76,000 crores for semiconductor and display manufacturing under the Production-linked Incentive (PLI) scheme. 

These are the top-performing stocks that fall under the semiconductor industry:

Dixon Technologies Ltd 

With a market capitalization of Rs. 32,553 crores, the shares of Dixon Technologies Ltd opened Tuesday’s trading session positively at Rs. 5,480. The share hit an intraday of Rs. 5,528 making a gain of around 1 percent and closed its day at Rs. 5,461 apiece. 

Looking at the financial statement, the company’s revenue increased by 51 percent from Rs. 3,271 crores in the June quarter to Rs. 4,943 crores in the September quarter. In addition, the net profit magnified by around 56 percent from Rs. 68.82 crores to Rs. 107 crores during the same timeframe. 

Moreover, the return on equity(RoE) was at 22.63 percent during FY 22-23 and the return on capital employed (RoCE) was recorded as 27.98 percent during the same period. 

MIC Electronics Ltd 

With a market capitalization of Rs. 811 crores, the shares of MIC Electronics Ltd opened Tuesday’s trading session flat at Rs. 36.65. The share hit an intraday of Rs. 38.45 making a gain of around 5 percent and closed its day at Rs. 38.40 apiece. 

Looking at the financial statement, the company’s revenue increased by 24 percent from Rs. 8.26 crores in the June quarter to Rs. 10.31 crores in the September quarter. In addition, the net profit magnified by around 590 percent from Rs. 1.24 crores to Rs. 8.55 crores during the same timeframe. 

Moreover, the return on equity (RoE) was recorded at 5.4 percent during FY 22-23. During the same period, the return on capital employed (RoCE) was reported at 1.42 percent. 

3. Drone Industry 

Drones are commonly called Unmanned Aerial Vehicle (UAV), a drone is an aircraft that is operated without a pilot onboard. Drones have revolutionized various industries, from agriculture and delivery services to entertainment. As these machines continue to reshape the way we work and live, investing in drone stocks has become a topic of interest for many.

Drones can be one of the fastest-growing and futuristic industries in India. The Government of India has liberalized rules to make the country one of the drone hubs by 2030. Currently, UAVs are operated remotely by a pilot, but fully independent variants are in the final stages of development. According to the Indian Brand Equity Foundation (IBEF), India’s drones and drone component manufacturing industries have the potential to attract Rs. 5,000 cr. worth of investments. 

These are the top-performing stocks that fall under the Drone industry: 

Zen Technologies Ltd 

With a market capitalization of Rs. 6,375 crores, the shares of Zen Technologies Ltd opened Tuesday’s trading session on a positive note at Rs. 766 compared to its previous close at Rs. 758.55. The share hit a high at Rs. 796 making a gain of around 5 percent and closed its day at Rs.784.35 apiece. 

Looking at the financial statement, the company’s revenue decreased by 49 percent from Rs. 132 crores in the June quarter to Rs. 15.28 crores in the September quarter. In addition, the net profit declined by around 67 percent from Rs. 47 crores to Rs. 15.28 crores during the same timeframe. 

Moreover, the return on equity(RoE) was at 40.97 percent during FY 22-23 and the return on capital employed (RoCE) was recorded as 51.87 percent during the same period. 

DCM Shriram Industries Ltd 

With a market capitalization of Rs. 1,284 crores, the shares of DCM Shriram Industries Ltd opened Tuesday’s trading session flat at Rs. 148. The share hit a low of Rs. 143 making a loss of around 3 percent and closed it day at Rs. 144.05 apiece. 

Looking at the financial statement, the company’s revenue increased by 11 percent from Rs. 522.45 crores in the June quarter to Rs. 580.46 crores in the September quarter. On a contrasting note, the net profit decreased by around 24 percent from Rs. 27.08 crores to Rs. 20.61 crores during the same timeframe. 

Moreover, the return on equity(RoE) decreased from 10.28 percent in FY 21-22 to 8.66 percent during FY 22-23. Furthermore, the return on capital employed (RoCE) declined from 11.45 percent to 10.24 percent during the same period. 

4. Artificial Intelligence (AI) 

Artificial intelligence (AI) is generally referred to as the ability of a digital computer or computer-controlled robot to perform tasks commonly associated with intelligent beings. AI is used in many sectors from self-driving cars, smart assistants, and manufacturing robots to healthcare management and automated financial investing. 

According to a joint study by Microsoft and the Internet and Mobile Association of India (IAMAI), India’s artificial intelligence (AI) market is expected to grow at a rate of 20% over the next 5 years. India is among the top talent markets for Artificial Intelligence and 16 percent of the global AI talent pool. 

These are the top-performing stocks that fall under the Artificial Intelligence industry:

Tata Elxsi Ltd 

With a market capitalization of Rs. 51,629 crores, the shares of Tata Elxsi Ltd opened Tuesday’s trading session positively at Rs. 8,325. The share hit an intraday of Rs. 8,455 making a gain of around 2 percent and closed its day at Rs. 8,423 apiece. 

Looking at the financial statement, the company’s revenue increased marginally by 4 percent from Rs. 850.37 crores in the June quarter to Rs. 881.7 crores in the September quarter. In addition, the net profit increased by around 7 percent from Rs. 188 crores to Rs. 200 crores during the same timeframe. 

Moreover, the return on equity(RoE) was at 40.97 percent during FY 22-23 and the return on capital employed (RoCE) was recorded as 51.87 percent during the same period. 

Persistent Systems Ltd 

With a market capitalization of Rs. 49,851 crores, the shares of Persistent Systems opened Tuesday’s trading session flat at Rs. 6,500. The share hit an intraday of Rs. 6,576 and closed its day at Rs. 6,465 apiece. 

Looking at the financial statement, the company’s revenue increased marginally by 4 percent from Rs. 2,321 crores in the June quarter to Rs. 2,411 crores in the September quarter. In addition, the net profit increased by around 15 percent from Rs. 228.77 crores to Rs. 263.27 crores during the same timeframe. 

Moreover, the return on equity(RoE) was at 26.36 percent during FY 22-23 and the return on capital employed (RoCE) was recorded as 31.44 percent during the same period. 

Conclusion

As we conclude our article on Best Stocks and Sectors in India, we have seen the industry and their top performing stocks, feel free to tell us your favorite sectors and stocks in the comments section below.

Written By Vaibhav Patil

By utilizing the stock screener, stock heatmap, portfolio backtesting, and stock compare tool on the Trade Brains portal, investors gain access to comprehensive tools that enable them to identify the best stocks also get updated with stock market news, and make well-informed investment.


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