Introducing Digital India Stocks: One of the greatest wealth creators in the stock market has been technologically-driven digital stocks. The companies working on Digital India (and digital world) segment have been the darlings of the investors because of their tech advancement and future growth scope.
Today, we take a look at the Digital India Stocks and the top companies that fall into this theme.
What is Digital India?
Digital India is a campaign launched by the Government of India in order to ensure improved online infrastructure by increasing Internet connectivity. The government has put forward plans to connect rural areas with high-speed internet networks. Empowering citizens with access to digital services and information can emerge as one of the biggest drivers of economic growth.
The government has rightly identified this sector in order to bring greater focus to this sector. The initiatives include enhancing digital infrastructure, increasing digital literacy, and providing a sustainable living environment in urban areas through the use of technology, and building smart cities.
How well was the Digital India Initiative?
When the Digital India Week was launched by Prime Minister Narendra Modi in Delhi on 1 July 2015, top CEOs from India and abroad committed themselves towards investing US$3.1 trillion towards this initiative. These investments would be directed towards making smartphones and internet devices at an affordable price in India.
Such initiatives would lead to greater job generation in India and also reduce the cost of products. The program has been favored by multiple countries including the US, Japan, South Korea, the UK, Canada, Australia, Malaysia, Singapore, Uzbekistan, and Vietnam.
After the launch of the initiative, Indian firms got $7.4 billion in the nine months into 2017 in comparison to $4.5 billion in 2016. India is now adding 10 million daily active internet users monthly. This is is the highest rate of addiction to the internet community anywhere in the world. The Ministry of Communications & IT also revealed that Digital India was now a $1-trillion business opportunity.
Digital India Stocks – Top Companies
Below are some of the companies that fall within the Digital India Stocks Theme. The table includes companies name along with the market cap and respective industry.
|1||Infosys Ltd.||550977.69 Cr||IT - Software|
|2||Reliance Industries Ltd.||1329422.49 Cr||Telecom/Refineries|
|3||Zee Entertainment Enterprises Ltd.||21352.01 Cr||TV Broadcasting & Software Production|
|4||Honeywell Automation India Ltd.||33003.06 Cr||Consumer Durables - Electronics|
|5||Mphasis Ltd.||29583.92 Cr||IT - Software|
|6||HCL Technologies Ltd.||268992.05 Cr||IT - Software|
|7||Bharti Airtel Ltd.||280361.09 Cr||Telecommunication - Service Provider|
|8||Tata Consultancy Services Ltd.||1160349.92 Cr||IT - Software|
|9||Sun TV Network Ltd.||19386.99 Cr||TV Broadcasting & Software Production|
|10||Tech Mahindra Ltd.||97138.96 Cr||IT - Software|
|11||Info Edge (India) Ltd.||70731.55 Cr||BPO/ITeS|
|12||Quess Corp Ltd.||7746.56 Cr||Miscellaneous|
|13||Indiamart Intermesh Ltd.||20948.42 Cr||e-Commerce|
Important Note: If you want to look into many such thematic stocks like Housing India, Electric Vehicle India Stocks, Infrastructure India, etc, you can go to Trade Brains Portal – BUCKETS. Here, you can find an organized selection of stocks, categorized especially for you.
Digital India Stocks are technologically driven and hence have been one of the biggest saviors in times of the pandemic. The current situation has also led to an increased usage of products from such companies.
This also means a change in our behaviors post the pandemic with regards to acceptance and dependence on such products. Selecting stocks that have the ability to weather the storm provides investors with the opportunity to take part in the growth of these stocks.
Aron, Bachelors in Commerce from Mangalore University, entered the world of Equity research to explore his interests in financial markets. Outside of work, you can catch him binging on a show, supporting RCB, and dreaming of visiting Kasol soon. He also believes that eating kid’s ice-cream is the best way to teach them taxes.