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List of Best Stocks with Majority Stake Held by Government of India: In this article, we’ll look into the public sector companies in India or those public stocks where majority stakes are held by the central and state government. We are categorizing these stocks not particularly on financials, but based on their latest market cap. Having the majority stake held by the government, these companies are comparatively less volatile and stable in terms of market actions.

Please note that we are not considering PSU Banks. The PSU Banks like SBI, Bank of India, PNB, IOB, etc also have a majority of stake by the government. However, the government is also planning to privatize these PSU banks soon and reduce their stakes. These companies are not included in this list.

Now, let’s start with our list of top stocks with majority stake held by the government. Keep reading to find out.

Top 12 Stocks with Majority Stake Held by Government

Here are the top stocks with majority stake held by the government ranked based on their current market cap along with their industry and business details:

1. ONGC

Oil and Natural Gas Corporate of India is an oil exploration company in India with a Marketcap of Rs 167,821 Cr. It is a government-owned crude oil and natural gas corporation. ONGC is currently trading at a PE of 3.58. Maharatna ONGC is the largest crude oil and natural gas company in India, contributing around 71 percent to Indian domestic production. Further, ONGC holds subsidiary companies like Hindustan Petroleum, Mangalore Refinery and Petrochemical, Imperial Energy Corporation, and more.

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2. NTPC

NTPC or National Thermal Power Corporation Limited is a power generation and distribution company in India with a Marketcap of Rs 146,226 Cr and is currently trading at a PE of 8.76. It is government-owned and is engaged in the business of generation of electricity and allied activities

3. Powergrid

Powergrid Corporation of India is a power generation and distribution company with a Marketcap of Rs 146,171 Cr. and is currently trading at a PE of 10.40. It is an Indian government electricity board and a Maharastra public sector undertaking which is owned by the Ministry of Power, GOI.

4. Coal India

Coal India is a mining and mineral refinery-based company with a Marketcap of Rs 122,330 Cr and is currently trading at a PE of 7. It is also the world’s largest coal-producing company in the world. It is owned by the union government of India and is managed by the Ministry of coal. The company distributes up to 82% of the total coal production in India.

5. Bharat Petroleum

Bharat petroleum corporation limited is another refinery-based company in India with a Marketcap of Rs 68,982 Cr and is currently trading at a PE of 6.37. It is also owned by the Ministry of Petroleum and Natural gas and has two of its biggest refineries in Kochi and Mumbai.

6. Indian Oil

Indian oil corporation (IOCL) is a refinery company in India with a Marketcap of Rs 102,661 Cr and is currently trading at a PE of 4.12. It is owned by the Ministry of Petroleum and Natural gas. India Oil is a Fortune 500 company and has retained the top spot as India’s highest-ranked PSU in fortune 500 listings for 2021. They own +32,000 fuel stations (petrol pumps) spread across India.

7. GAIL

Gail is a Natural gas and transmission company in India with a Marketcap of Rs 62,920 Cr and is currently trading at a PE of 5.16. It is owned by the Ministry of Petroleum and Natural Gas, GOI. It is responsible for natural gas processing and distribution in India.

8. Concor

Container Corporation of India (CONCOR) is a container and logistics-based company in India with a Marketcap of Rs 41,085 Cr and is currently trading at a PE of 39.1. It is a public sector undertaking managed by the Indian ministry of railways. The company was set up in 1966 with the aim of containerizing cargo transport. Concor’s core business includes the cargo carriers, terminal operator, warehouse operator, and MMLP operation.

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9. Hindustan Petroleum

Hindustan Petroleum Corporation Limited (HPCL) is a refinery-based company in India with a Marketcap of Rs 33,194 Cr and is currently trading at a PE of 4.53. It was formed in 1974. HPCL is the second-largest petroleum pipeline network in India with a network length of 3,775 km. It enjoys an 18% market share in Indian and has a strong presence in the refining and marketing of petroleum products in the country.

10. Power Finance Corporation

Power Finance Corporation Ltd is engaged in extending financial assistance to the Indian power sector. It has a Marketcap of Rs 29,437 Cr and is currently trading at a PE of 2.12. It is a Systemically Important Non-Deposit taking NBFC registered with the RBI as an Infrastructure Finance Company.

11. NMDC

National Mineral Development Corporation or NMDC is an Iron ore company that is involved in Mining & mineral industry. NMDC has a Marketcap of Rs 30,522 Cr and is currently trading at a PE of 3.25. It is under the administrative control of the Ministry of Steel, GOI.

12. IRCTC

Indian Railway Catering & Tourism Corporation Ltd was incorporated on 27th September 1999 as an extended arm of the Indian Railways to upgrade, professionalize and manage the catering and hospitality services at stations, on trains, and other locations and to promote domestic and international tourism. It has a Marketcap of Rs 48,732 Cr and is currently trading at a PE of 73.1.

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Closing Thoughts

In this article, we looked into top stocks with majority stake held by the government in India. Apart from the above-mentioned stocks, there are many other stocks where the government holds major stakes are BHEL, Oil India, HAL, IRCTC, NALCO, NHPC, Hindustan Zinc, NBCC, SJVN, and more.

That’s all for this post. Do comment below which is your favorite stock in this list of best stocks with majority stake held by the government in India in the comment section below. Have a great day and Happy investing.


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