Top Food and Beverage Stocks to Buy: The dependence on food and beverage has made companies engaged in the business one of the most attractive investments. FMCG is the fourth-largest sector in India and food and beverages makeup 19% of this sector.
In this article, we take a look at the top food and beverage companies to invest in. Keep Reading to find out.
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Top Food and Beverage Stocks In India 2023
Top Food and Beverage Stocks In India #1 – Nestle
Nestle India is a subsidiary of Switzerland-based Nestle S.A. The company is amongst the largest players in the Food and Beverage sector globally.
In India too, Nestle has a well-known household brand having a century-old history. Headquartered in Haryana, the company competes in 8 categories and is a market leader in 7 of these categories.
It competes as a market leader in infant cereals (96% market share- Cerelac), instant formula (67.5% market share – Lactogen NAN), tea creamer (44.90% market share – Nestle Everyday), instant noodles (59.10% market share – Maggi), instant coffee (50.50% market share – Nescafe), whites and wafer (69.10% market share -KitKat, Munch, and Milkybar), Instant Pasta (68.90% market share – Pazzta).
The company has over 2,000 brands across various categories. Financially too the company has performed exceptionally and is a large-cap company. Nestle clocks in sales of over a billion dollars every year, which makes it one of the best Food and Beverage stocks.
The company has achieved a PAT CAGR of 5.95% for the last 5 years. In addition to this, the company is almost debt-free having a Debt Equity ratio of 0.1 making its stock all the more attractive.
Top Food and Beverage Stocks In India #2 – Hindustan Unilever
Founded in 1931, initially as Hindustan Vanaspati Manufacturing Co it was renamed Hindustan Lever Ltd after its acquisition in 1956 by Unilever. HUL is one of the largest FMCG companies in India.
The company has over 40 brands and competes in 12 categories. These range from ice creams, frozen desserts and water purifiers, and beverages to personal wash, fabric wash, skincare, haircare, oral care, deodorants, color cosmetics, etc.
Financially the company’s performance makes it an attractive large-cap investment. The company has achieved revenues of Rs. 52,446 crores in 2022. The company has a 5 years PAT CAGR of 11.23%. HUL too is a debt-free company.
Top Food and Beverage Stocks In India #3 – Tata Consumer Products
A subsidiary of the Tata group, Tata Consumer Products was founded in 1962. Tata Consumer Products is one of the top players in the FMCG sector in the Indian markets.
Headquartered in Mumbai the company has a big product portfolio. These include tea, coffee, salt, pulses, spices, ready-to-eat products, snacks, etc.
The company is the world’s 2nd largest tea producer and one of the top coffee growers in the country. Its popular brands include Tata Tea, Tata Coffee Grand, Tata Water Plus, Tata Gluco Plus, Tata Salt, Tata Sampann, Tata Nx, etc.
The company has achieved a sales growth of 12.88% over the last 5 years.
Top Food and Beverage Stocks In India #4 – ITC
ITC, known for its tobacco business has transitioned itself to become one of the top FMCG players in the country.
The company’s product portfolio includes ghee, dairy, and frozen foods, luxury chocolates, agricultural commodities, hotels, branded packaged foods, personal care products, etc.
In addition to this, the company also has entered the hotel business. The company offers a dividend yield of 4.59% which makes it an attractive stock.
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Top Food and Beverage Stocks In India #5 – Britannia
Founded in 1892, Britannia Industries Limited is one of the oldest companies in India.
Based in Bangalore, Britannia Industries is known to be one of the biggest players in the Indian biscuit market. Its popular brands include Good Day, Tiger, NutriChoice, Milk Bikis, Jim Jam, Little Hearts, and Marie Gold, etc.
The company also produces other dairy products(milk-based beverages, cheese, curd, and dairy whiteners), bread, wafers, and baked salted snacks. They also are present in over 79 global markets.
For the year 2022, the company earned revenues of Rs. 14,434 crores. They have achieved a PAT CAGR of 8.72% over the last 5 years.
Top Food and Beverage Stocks In India #6 – Varun Beverages
Founded in 1995, Varun Beverages Ltd. manufactures bottles and distributes beverages. The company operates as a franchisee of carbonated soft drinks and non-carbonated beverages for the popular brand Pepsi.
The company is the world’s 2nd largest bottling company for Pepsi outside of the US. The popular brands that they deal in include 7 Up, Mountain Dew, and Miranda in carbonated soft drinks.
In non-carbonated beverages, the company distributes Tropicana, Gatorade, Quaker Oats Milk drinks, and Aquafina.
The company has achieved revenue growth at a CAGR of 17.12% over the last 5 years. Its net profit has grown at a CAGR of 27% for the last 5 years. The company has a manageable debt-equity ratio of 0.72.
List of Top 100 Food and Beverages Stocks in India
| Company | Industry | MCap(Cr) | Current Price (Rs) |
|---|---|---|---|
| Nestle India Ltd. | Consumer Food | 198660.73 | 20604.6 |
| Britannia Industries Ltd. | Consumer Food | 103514.35 | 4301.05 |
| Varun Beverages Ltd. | Consumer Food | 93617.55 | 1441.25 |
| Marico Ltd. | Consumer Food | 60522.81 | 468.25 |
| Jubilant FoodWorks Ltd. | Consumer Food | 28871.53 | 437.75 |
| Devyani International Ltd. | Consumer Food | 19395.67 | 160.9 |
| Hatsun Agro Product Ltd. | Consumer Food | 19178.63 | 859.45 |
| Zydus Wellness Ltd. | Consumer Food | 9709.31 | 1522.8 |
| Bikaji Foods International Ltd. | Consumer Food | 9355.37 | 375 |
| KRBL Ltd. | Consumer Food | 9056.63 | 384.75 |
| Godrej Agrovet Ltd. | Consumer Food | 8352.27 | 434 |
| Sapphire Foods India Ltd. | Consumer Food | 7422.4 | 1180 |
| Hindustan Foods Ltd. | Consumer Food | 6618.56 | 591.8 |
| Avanti Feeds Ltd. | Consumer Food | 4955.25 | 365.4 |
| LT Foods Ltd. | Consumer Food | 3687.13 | 106.18 |
| Mrs. Bectors Food Specialities Ltd. | Consumer Food | 3497.29 | 594.6 |
| Dodla Dairy Ltd | Consumer Food | 2854.76 | 479.85 |
| Tasty Bite Eatables Ltd. | Consumer Food | 2320.1 | 9041.7 |
| Prataap Snacks Ltd. | Consumer Food | 1667.79 | 698.8 |
| ADF Foods Ltd. | Consumer Food | 1647.29 | 749.7 |
| Heritage Foods Ltd. | Consumer Food | 1559.44 | 167.65 |
| Vadilal Industries Ltd. | Consumer Food | 1415.93 | 1977.8 |
| Gulshan Polyols Ltd. | Consumer Food | 1331.87 | 256.25 |
| AVT Natural Products Ltd. | Consumer Food | 1274.92 | 83.54 |
| GRM Overseas Ltd. | Consumer Food | 1039.2 | 173.95 |
| Parag Milk Foods Ltd. | Consumer Food | 987.01 | 84.09 |
| Chaman Lal Setia Exports Ltd. | Consumer Food | 931.2 | 180 |
| Sheetal Cool Products Ltd. | Consumer Food | 710.8 | 676.95 |
| Foods & Inns Ltd. | Consumer Food | 701.42 | 137.8 |
| Sukhjit Starch & Chemicals Ltd. | Consumer Food | 609.8 | 390.65 |
| Empyrean Cashews Ltd. | Consumer Food | 551 | 278.35 |
| KSE Ltd. | Consumer Food | 542.59 | 1695.6 |
| IFB Agro Industries Ltd. | Consumer Food | 453.56 | 483.35 |
| SKM Egg Products Export (India) Ltd. | Consumer Food | 388.37 | 147.75 |
| Annapurna Swadisht Ltd. | Consumer Food | 370.64 | 225.7 |
| Euro India Fresh Foods Ltd. | Consumer Food | 369.27 | 148.9 |
| Vadilal Enterprises Ltd. | Consumer Food | 295.36 | 3421 |
| Milkfood Ltd. | Consumer Food | 292.21 | 598 |
| Coastal Corporation Ltd. | Consumer Food | 286.65 | 214 |
| Waterbase Ltd. | Consumer Food | 283.32 | 70 |
| Aveer Foods Ltd. | Consumer Food | 259.24 | 643.55 |
| Bambino Agro Industries Ltd. | Consumer Food | 254.36 | 317.6 |
| Megastar Foods Ltd. | Consumer Food | 242.99 | 241.5 |
| Lotus Chocolate Company Ltd. | Consumer Food | 242.12 | 188.55 |
| Dangee Dums Ltd. | Consumer Food | 227.11 | 14.75 |
| Sarveshwar Foods Ltd. | Consumer Food | 226.75 | 78 |
| Ovobel Foods Ltd. | Consumer Food | 172.53 | 181.6 |
| Refex Renewables & Infrastructure Ltd. | Consumer Food | 164.87 | 365.05 |
| Sharat Industries Ltd. | Consumer Food | 145.63 | 60.9 |
| Umang Dairies Ltd. | Consumer Food | 129.31 | 58.77 |
| Kohinoor Foods Ltd. | Consumer Food | 113.44 | 30.6 |
| Flex Foods Ltd. | Consumer Food | 107.08 | 86.01 |
| Freshtrop Fruits Ltd. | Consumer Food | 104.14 | 105.25 |
| Sayaji Industries Ltd. | Consumer Food | 98.59 | 156 |
| Anik Industries Ltd. | Consumer Food | 90.25 | 32.84 |
| Saboo Sodium Chloro Ltd. | Consumer Food | 71.45 | 16.98 |
| Gayatri Bio Organics Ltd. | Consumer Food | 68.94 | 8.75 |
| Sampre Nutritions Ltd. | Consumer Food | 68.61 | 99.87 |
| Kovilpatti Lakshmi Roller Flour Mills Ltd. | Consumer Food | 67.58 | 121.96 |
| Nakoda Group Of Industries Ltd. | Consumer Food | 64.76 | 58.16 |
| Kothari Fermentation & Biochem Ltd. | Consumer Food | 64.68 | 43.12 |
| Tapi Fruit Processing Ltd. | Consumer Food | 60.33 | 154.15 |
| Virat Crane Industries Ltd. | Consumer Food | 59.37 | 29.05 |
| Sunil Agro Foods Ltd. | Consumer Food | 54.2 | 180.5 |
| Tirupati Starch & Chemicals Ltd. | Consumer Food | 52.6 | 65 |
| Universal Starch-Chem Allied Ltd. | Consumer Food | 51.62 | 122.9 |
| Goel Food Products Ltd. | Consumer Food | 50.15 | 133 |
| Modern Dairies Ltd. | Consumer Food | 50.14 | 21.5 |
| MSR Copper Ltd. | Consumer Food | 47.66 | 7.58 |
| Tanvi Foods (India) Ltd. | Consumer Food | 40.52 | 75.51 |
| Ritesh International Ltd. | Consumer Food | 40.45 | 47.3 |
| NHC Foods Ltd. | Consumer Food | 40.03 | 33.77 |
| Chordia Food Products Ltd. | Consumer Food | 35.75 | 88.75 |
| ICL Organic Dairy Products Ltd. | Consumer Food | 35.41 | 59 |
| Prime Industries Ltd. | Consumer Food | 34.11 | 21.79 |
| Oceanic Foods Ltd. | Consumer Food | 30.79 | 27.37 |
| Tasty Dairy Specialities Ltd. | Consumer Food | 26.54 | 12.99 |
| Orient Beverages Ltd. | Consumer Food | 24.37 | 112.5 |
| Spectrum Foods Ltd. | Consumer Food | 23.73 | 48.95 |
| KMG Milk Food Ltd. | Consumer Food | 20.66 | 38.95 |
| Jetmall Spices and Masala Ltd. | Consumer Food | 13.96 | 23.3 |
| IB Infotech Enterprises Ltd. | Consumer Food | 12.97 | 101.24 |
| Valencia Nutrition Ltd. | Consumer Food | 12.23 | 21.9 |
| Prima Agro Ltd. | Consumer Food | 10.26 | 19.75 |
| Mahaan Foods Ltd. | Consumer Food | 8.76 | 25.03 |
| Kore Foods Ltd. | Consumer Food | 8.6 | 7.5 |
| RT Exports Ltd. | Consumer Food | 8.56 | 19.63 |
| ANS Industries Ltd. | Consumer Food | 8.24 | 8.9 |
| Chothani Foods Ltd. | Consumer Food | 7.59 | 14.7 |
| Nijjer Agro Foods Ltd. | Consumer Food | 7.43 | 7.28 |
| Super Bakers (India) Ltd. | Consumer Food | 6.27 | 20.75 |
| Uniroyal Marine Exports Ltd. | Consumer Food | 5.79 | 8.93 |
| Suryo Foods & Industries Ltd. | Consumer Food | 2.99 | 7.56 |
| Tricom Fruit Products Ltd. | Consumer Food | 2.62 | 1.37 |
| Shivamshree Business Ltd. | Consumer Food | 2.19 | 0.48 |
| Shah Foods Ltd. | Consumer Food | 2.17 | 36.38 |
| Goldcoin Health Foods Ltd. | Consumer Food | 2.02 | 6.73 |
| Asian Vegpro Industries Ltd. | Consumer Food | 1.12 | 1 |
| Fortune Foods Ltd. | Consumer Food | 1.07 | 2.45 |
| Transglobe Foods Ltd. | Consumer Food | 0.98 | 67.5 |
In Closing
The processed food market is expected to grow to $220 billion by 2025 and the Indian grocery market is expected to touch $37 billion by then. This is expected to be enhanced by eCommerce platforms further contributing to their growth. These growth expectations have further made it an attractive investment and a must-have sector in our portfolios.
That’s all for this post, let us know which Food and Beverage stocks you feel are the most attractive in the comments below. Happy Investing!
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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.
