List of Best Gold Stocks in India to invest in 2024

Best Gold Stocks in India 2024

10 Sept 2024
7 mins read
By: BlinkX Research Team

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As the world's second-largest consumer of gold, India has created a robust market for gold-related investments. Investing in gold stocks offers a way to take advantage of the potential benefits of gold without physically buying the metal. According to the World Gold Council (WGC), there has been a 15% annual growth in the demand for gold equities as investments. In this blog, we will explore the gold stocks in India based on their PE ratios, and explain why investing in them could be advantageous. It will also discuss some useful tips for making informed investment decisions. Whether you're a new investor looking to diversify your portfolio, understanding gold stocks is crucial for maximizing your returns.

What are Gold Stocks?

Gold stocks refer to shares of companies involved in the gold industry. These companies may engage in various aspects of the gold market, including mining, exploration, refining, and trading. Investing in gold stocks means buying equity in these companies, which can offer exposure to the gold market without the need to purchase physical gold.

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What are Gold Stocks?
List of Gold Share Prices in India
Gold Companies in India: A Brief Overview
The Indian Gold Market is in its Golden Age
Why Invest in Gold Stocks?
Tips for Gold Share Investing
How to Invest in Gold Stocks in India via BlinkX?
Other Ways to Invest in Gold Stocks
Performance Parameters to Consider Before Investing in Gold Stocks
How to Choose the Best Gold Stocks in India for Investments?
Features of Gold Stocks in India
Benefits and Risks of Investing in Gold Stocks
Equity and Gold: An Inverse Relationship

List of Gold Share Prices in India

Below is the list of some of the gold-related stocks in India:

Gold Company Name	CAGR of 5 Years (27th Aug 2024)	PE Ratio
Manappuram Finance Ltd	12%	8.18
NMDC Limited	30%	11.1
Muthoot Finance Ltd	26%	19.1
Hindustan Zinc Limited	20%	27.6
Vaibhav Global Ltd	14%	42.3
KDDL Ltd	59%	42.9
Thangamayil Jewellery Ltd	67%	43.3
Titan Company Ltd	27%	92.5
Kalyan Jewellers India Ltd	52.3%	100
Rajesh Exports Ltd	16%	229

Disclaimer: The information provided on the above stocks is for informational purposes only. It is crucial to conduct thorough research before making any investment decisions regarding these stocks. We do not recommend trading any stocks without comprehensive research and professional financial advice. Always consult with a certified financial advisor to ensure informed and appropriate investment choices.

Gold Companies in India: A Brief Overview

From our carefully selected gold stock list in India, let's explore gold stocks that you can consider buying in India.

Manappuram Finance Ltd

Founded in 1992, Manappuram Finance Ltd is a leading non-banking financial company (NBFC) in India, primarily engaged in the business of gold loan financing.
The company also offers a range of other financial products including microfinance, insurance, and vehicle loans.
Manappuram Finance has shown steady growth over the years.
As of the latest financial reports, the company has demonstrated consistent profitability with strong asset quality and a robust capital base.

Get more details about Manappuram Finance Ltd share price here.

Know the Manappuram Finance Ltd Share Price History here.

NMDC Limited

Established in 1958, NMDC Limited is a state-owned iron ore mining company. It is one of the largest producers of iron ore in India, with mining operations across multiple states.
The company also engages in the production of diamond mining and other minerals.
NMDC Limited has maintained a strong financial performance, driven by its significant iron ore production and strategic investments in mining infrastructure.
The company's revenues and profits have generally reflected its operational efficiency and the high demand for iron ore in the global market.

Get more details about National Mineral Development Corporation (NMDC) share price here.

Know the National Mineral Development Corporation (NMDC) Share Price History here.

Muthoot Finance Ltd

Established in 1997, Muthoot Finance Ltd is another major player in the gold loan sector.
The company provides gold-backed loans to individuals and businesses, along with a variety of other financial services including personal loans and insurance.
Muthoot Finance has been a consistently profitable entity, showcasing strong financial health with impressive growth in its gold loan book and diversified financial services.
The company's steady performance is supported by its extensive branch network and customer base.

Get more details about Muthoot Finance Ltd share price here.

Know the Muthoot Finance Ltd Share Price History here.

Hindustan Zinc Limited

Founded in 1966, Hindustan Zinc Limited is a leading producer of zinc, lead, and silver.
The company operates several mining and smelting facilities across India, focusing on the production of non-ferrous metals.
Hindustan Zinc has consistently reported strong financial results due to its dominant position in the zinc production market and efficient operational practices.
The company's profitability is enhanced by favourable metal prices and robust production capacities.

Get more details about Hindustan Zinc Limited share price here.

Know the Hindustan Zinc Limited Share Price History here.

Vaibhav Global Ltd

Vaibhav Global Ltd was founded in 1980, it operates primarily in the retail and manufacturing sectors, specializing in the design, manufacture, and sale of jewellery, watches, and lifestyle products.
Vaibhav Global has shown significant growth in its financial performance, driven by its successful retail operations and strong presence in the e-commerce sector.
The company's revenues and profits have benefited from its extensive product range and global market reach.

Get more details about Vaibhav Global Ltd share price here.

Know the Vaibhav Global Ltd Share Price History here.

KDDL Ltd

Established in 1981, KDDL Ltd is a prominent manufacturer of watch components and accessories.
The company also engages in the retail of luxury watches and other timepieces through its various brands.
KDDL Ltd has shown solid financial performance, with growth in both its manufacturing and retail segments.
The company’s financial health is supported by its diverse product portfolio and its strategic partnerships in the watch industry.

Get more details about KDDL Ltd share price here.

Know the KDDL Ltd Share Price History here.

Thangamayil Jewellery Ltd

Thangamayil Jewellery Ltd was founded in 1988 and is a major player in the retail jewellery market in India.
The company is involved in the design, manufacture, and sale of gold and diamond jewellery.
Thangamayil Jewellery has experienced steady financial growth, benefiting from its strong market presence in South India and its extensive retail network.
The company’s profitability is supported by its focus on quality and customer service.

Get more details about Thangamayil Jewellery Ltd share price here.

Know the Thangamayil Jewellery Ltd Share Price History here.

Titan Company Ltd

Established in 1984, Titan Company Ltd is a leading manufacturer and retailer of watches, jewellery, and eyewear.
The company is known for its popular brands like Titan, Tanishq, and Fastrack.
Titan Company has consistently reported strong financial results, driven by its diverse product offerings and robust retail presence.
The company's growth is supported by its innovative approach and strong brand equity in the consumer market.

Get more details about Titan Company Ltd share price here.

Know the Titan Company Ltd Share Price History here.

Kalyan Jewellers India Ltd

Established in 1993, Kalyan Jewellers is a major jewellery retailer in India, offering a wide range of gold, diamond, and platinum jewellery.
The company operates numerous retail outlets across the country.
Kalyan Jewellers has shown impressive financial growth, fueled by its extensive retail network and strong market demand for its products.
The company's profitability reflects its successful expansion and brand recognition.

Get more details about Kalyan Jewellers India Ltd share price here.

Know the Kalyan Jewellers India Ltd Share Price History here.

Rajesh Exports Ltd

Established in 1989, Rajesh Exports Ltd is one of the largest exporters of gold jewellery in India.
The company is engaged in the design, manufacture, and export of gold jewellery and related products.
Rajesh Exports has demonstrated robust financial performance, supported by its significant export volumes and operational efficiency.
The company’s financial results reflect its strong position in the global jewellery market and effective business strategies.

Get more details about Rajesh Exports Ltd share price here.

Know the Rajesh Exports Ltd Share Price History here.

The Indian Gold Market is in its Golden Age

The Egyptian alchemist Zosimos was the one who first recognized gold as a resource for protection. Although middle-class cultures continue to have problems between gold and the stock market, these arguments are rare among investors. In recent years, there has been a noticeable increase in demand for Indian gold stocks from both individual and institutional investors. Government actions such as the establishment of the Gold Monetization Scheme and limits on imports of gold have also influenced the market. Two other religious and cultural events that significantly affect the Indian gold market are festivals and marriages. A lot of optimism about the future of Indian gold stocks.

Rising incomes that can be spent and the nation's growing middle class are expected to drive up demand for gold, particularly for investments. The Indian government's policies are also anticipated to have a beneficial effect on the price of gold on the stock exchange. There is the scheme called gold monetization which is designed to maximise the country's gold reserves while also lessening the imports. It results in a fall in the price and an increase in supply.

There is one other benefit that is useful for the Indian stock market. Digital gold is increasing in India and has become popular among individuals over the past few years. People can buy and exchange small amounts of gold digitally.

Why Invest in Gold Stocks?

Investors in India are undeniably attracted to gold mining stocks as a reliable hedge against inflation. As time passes, gold's ability to act as an effective safeguard against inflation becomes more apparent. As inflation rates climb higher, the value of a country's currency tends to decrease. When compared to gold, major currencies have continuously decreased over extended periods throughout history. When inflation exceeds current interest rates, gold represents an investment of choice in a nation like India, where many investment tools don't provide substantial profits.

Tips for Gold Share Investing

Investing in gold shares in India can boost the diversity of your portfolio and profit from gold's price rise. Having an approach in place can help you enhance your chances of success. Below are some tips for the same.

How to Invest in Gold Stocks in India via BlinkX?

Investing in gold stocks in India through BlinkX is a straightforward process. Follow these steps to profit from Indian gold stocks:

Sign Up with BlinkX: First, create an account on the BlinkX platform. Then, provide the necessary details and complete the registration process.

Explore Gold Stock Portfolios: Once registered, browse through the available stock portfolios focusing on gold-related equity investments. Evaluate the portfolios based on your investment goals and risk appetite.

Research and Analysis: Conduct thorough research and analysis on the gold stocks included in the selected portfolios. Consider factors such as the performance of gold prices, company fundamentals, market trends, and economic indicators.

Place Your Investment: After selecting a suitable portfolio, invest in it through BlinkX. Specify the amount you wish to invest and complete the transaction using the platform's secure payment methods.

Monitor Your Investments: Track your gold stock investments regularly. Stay updated on market developments and portfolio performance. Adjust your investment strategy as needed to maximize returns and mitigate risks.

By following these steps, you can effectively invest in gold stocks in India via BlinkX and capitalize on opportunities in the gold market.

Other Ways to Invest in Gold Stocks

In India, investing in gold may be carried out via various simple methods. Thereby, we have put together an overview of a couple of the most successful gold investment strategies for you:

Performance Parameters to Consider Before Investing in Gold Stocks

Before making investment decisions, various factors must be considered, including those listed below.

How to Choose the Best Gold Stocks in India for Investments?

While selecting the top gold stocks in India, it's critical to carry out a thorough investigation of gold extraction companies listed on Indian stock exchanges. Investors need to analyze their manufacturing capacity, regulatory environment, and financial performance. To successfully control risk, be updated on market trends and developments that affect gold prices and consider extending your investment among many gold stocks.

Features of Gold Stocks in India

When compared to other stocks, gold companies provide investors with a lot of options to invest in it. Below are some of the features of gold stocks in India.

Secure Your Portfolio Against Pricing: Gold stocks are a good protection against inflation since they increase in value whenever inflation rises.
A Trustworthy property: Gold stocks are frequently considered as a form of secure investment because they guarantee security and stability in periods of markets that are unstable or uncertain economic conditions.
Diversifying your portfolio: Diversification involves allocating assets across many asset classes. Gold stock investments may help diversify a portfolio and lower overall risk.
Liquidity: Gold stocks are very liquid assets, so investors can easily buy and trade them on the stock market.
Exposure to Gold Prices: Purchasing gold equities connects investors to changes in the price of gold, allowing them to profit from a possible increase in its value.

All things considered, investing in gold stocks offers an unusual opportunity to diversify your portfolio and to benefit from the market's stability and development.

Benefits and Risks of Investing in Gold Stocks

The benefits of investing in gold stocks should be balanced against the risks of limited competition and regulatory scrutiny, ensuring high profits and stable returns. Below are some of them.

Risks of Investing in Gold Stocks	Benefits of Investing in Gold Stocks
Market Volatility: Gold prices can be highly volatile due to economic factors like inflation, currency fluctuations, and geopolitical tensions.	Hedge against Inflation: Gold stocks act as a hedge against inflation, maintaining value during economic downturns.
Economic Conditions: Gold stock performance is linked to overall economic conditions; demand rises during uncertainty and falls during growth periods.	Diversification: Investing in gold stocks helps diversify your portfolio, spreading risk across different asset classes.
Company-Specific Risks: Gold mining companies face operational, regulatory, and geopolitical risks, impacting stock profitability and stability.	Low Cost: Entry into gold investment is feasible with a small initial amount, ideal for long-term savings.
Currency Risk: Fluctuations in currency exchange rates affect gold stock values, impacting investors holding assets in different currencies.	Liquidity: Gold stocks offer easy liquidity, allowing investors to buy and sell as needed with relative ease.
Opportunity Cost: Choosing gold stocks over other assets may result in missed opportunities for potentially higher returns from equities or bonds.	Long-Term Capital Gains: Certain gold funds qualify for tax benefits on long-term gains after holding the investment for a year.

Equity and Gold: An Inverse Relationship

Gold is everything that glows. This is an improved version of the original proverb. Nevertheless, knowing the economy's circumstances right now, it is still applicable since it mentions how important it is to diversify your investments appropriately. Most likely, those who had exclusively made stock investments several years prior discovered their oversight the hard way. However, investors who were well-diversified from the beginning and understand other asset classes could offer support when securities disappoint. The most well-known of these asset types is gold.

Equity and gold are not the same, as is frequently said. Therefore, gold tends to decrease and vice versa when equities tend to appreciate. Furthermore, this presents investors with enough potential to profit from either asset class—especially in situations wherein one is losing money. While there has long been an unfavourable link between these two asset categories, it goes above theory.

For those who are unfamiliar, gold ETFs, sometimes known as paper gold or yellow paper, are undoubtedly the simplest and most affordable means of purchasing a valuable metal. Investors looking to buy gold ETF units must have a demat account. Though mutual fund providers advertise these units, they may be purchased and exchanged on marketplaces (at the moment, just the NSE Nifty), just like any other share or stock.

As an outcome, a participant in the depository can keep the paper gold properly without worrying about lockers. Additionally, Gold's ETFs are free from the wealth tax compared to the actual gold. Gold has traditionally been an admirable choice for investors. Investors ought to assess Indian gold mining businesses' share prices.

Conclusion
Numerous variables impact the gold stock market, and changes in the price of gold can impact investing choices. To make fit for the investments, financial objectives, and risk tolerance, there should be a thorough examination from the investors. For every individual, Gold has been a dependable long-term investment option, and its inclusion may have a significant positive impact on a diversified portfolio. The BlinkX online trading app platform makes it simpler to invest in many gold stocks from a single place with just a few clicks.

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FAQs of Indian Gold Stocks

As a hedge against inflation and economic instability, gold stocks are an excellent choice for investors anticipating market volatility, geopolitical worries, or expansionary monetary policies.

While gold stocks may help broaden an investment portfolio, they also come with risks, including those related to price volatility, stock market volatility, operational hazards, regulatory concerns, and macroeconomic variables.

Investors can acquire gold on the Indian stock market through exchange-traded funds (ETFs), mutual funds, and mining companies. This allows investors to gain exposure to gold prices without keeping physical gold.

The best way to buy gold stocks will rely on your own investment goals, preferences, and level of risk tolerance. Among the options are exchange-traded funds (ETFs), mutual funds, and direct investments in mining businesses.

Foreign investment in gold equities is subject to India's capital gain taxes. Depending on the jurisdiction, as well as the length of ownership, different tax rates apply. regulations and taxes You might seek advice from an expert in the stock market.