- 10 Sept 2024
- 5 mins read
- By: BlinkX Research Team
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In the complex world of investing, where options are plenty and risks are constant, certain equities stand out as outstanding candidates. Among these are monopoly stocks, which provide a special investing opportunity by dominating markets with little competition. These businesses often present a reliable option for investors seeking stability, predictability, and potential growth, given their significant control over pricing, market share, and profitability.
In this blog we will discuss monopoly stocks based on their market capitalization, we will explore the factors that make them attractive, the benefits they offer, the risks they carry, considerations to keep in mind before investing, and a detailed analysis of their prospects in the Indian market.
What are Monopoly Stocks?
The term "monopoly" often comes up in financial discussions. It refers to a situation where a single seller dominates a market, leaving no room for competition. In the business world, monopoly companies have few, if any, close competitors. For instance, Indian Railways is a monopoly in the railway services sector, as it is the only company that offers such services. As a result, to travel by train, you must purchase tickets from them, and they determine the prices for their products and services.
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Table of Contents
- What are Monopoly Stocks?
- List of Monopoly Stocks in India 2024
- Overview of Top Monopoly Companies in India
- Why Invest in Monopoly Stocks in India?
- Who Should Invest in Monopoly Stocks in India?
- How to Identify Monopoly Stocks?
- Features of Monopoly Stocks in India
- Factors to Consider while Investing in Monopoly Stocks India
- How to Invest in Monopoly Stocks?
- Benefits and Risks of Investing in Monopoly stocks in India
List of Monopoly Stocks in India 2024
The top 10 monopoly stocks in India, primarily dominating the Indian market, are detailed below.
Company Name | Share Price (INR) (26th Aug’24) | Market Capitalization in Cr ₹(26th Aug’24) | PE Ratio | 52 Weeks High | 52 Weeks Low |
Coal India Ltd | 538.10 | 3,31,924.55 | 9.08 | 542.25 | 227.50 |
Hindustan Aeronautics Limited | 4,802 | 3,22,533.46 | 39.12 | 5,674.75 | 1,767.80 |
Asian Paints Ltd | 3,171.35 | 3,02,487.82 | 59.55 | 3,422.95 | 2,670.10 |
Hindustan Zinc Ltd | 528.10 | 2,17,139.14 | 26.68 | 807.70 | 284.60 |
Pidilite Industries Ltd | 3,108.65 | 1,56,908.52 | 83.54 | 3,278.95 | 2,292.55 |
Bharat Heavy Electricals Ltd | 297.30 | 1,03,121.31 | - | 335.35 | 105 |
Marico Ltd | 688.55 | 87,786.47 | 57.85 | 691 | 486.30 |
Multi Commodity Exchange of India Ltd | 4,881.35 | 24,802.58 | 142.24 | 4,935.40 | 1,575.05 |
Indian Energy Exchange Ltd | 188.95 | 16,852.99 | 45.32 | 200.90 | 121.35 |
Praj Industries Ltd | 753.15 | 13,946.82 | 48.64 | 812.95 | 448 |
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.
Overview of Top Monopoly Companies in India
The following is a brief overview of India's top monopoly shares in India
1. Coal India Ltd
- Coal India Ltd was established in 1975
- It is the largest coal producer in the world. It is a state-owned enterprise and operates through its subsidiaries, extracting and supplying coal to various sectors, including power, steel, and cement industries.
- CIL has consistently been a major contributor to the Indian economy, with substantial revenue and profitability.
- The company's primary goal is to meet the domestic demand for coal and ensure energy security for India.
Get more details about Coal India Ltd share price here.
Know the Coal India Ltd share price history here.
2. Indian Energy Exchange Ltd (IEX)
- Indian Energy Exchange was established in 2008
- IEX operates as an electronic trading platform for the trading of electricity in India. It provides a platform for buying and selling electricity in a competitive market, facilitating transparent price discovery.
- IEX has demonstrated steady growth in revenue and profitability.
- IEX aims to enhance the efficiency and transparency of the Indian power market, promote competition, and support the integration of renewable energy sources into the grid.
Get more details about Indian Energy Exchange Ltd share price here.
Know the Indian Energy Exchange Ltd share price history here.
3. Computer Age Management Services Ltd (CAMS)
- Established in 1988, CAMS provides technology-based services to the financial sector, including mutual fund transfer agency services, risk management, and other back-office operations.
- CAMS has shown robust performance with consistent revenue growth.
- The company aims to be the leading provider of financial services outsourcing solutions in India, leveraging technology to offer efficient and reliable services.
Get more details about Computer Age Management Services Ltd share price here.
Know the Indian Computer Age Management Services Ltd share price history here.
4. Hindustan Zinc Ltd
- Established in 1966, Hindustan Zinc, a subsidiary of Vedanta Resources, is one of the largest zinc producers in the world. It is involved in mining, smelting, and production of zinc and lead.
- The company focuses on increasing its production capacity, enhancing operational efficiency, and adhering to sustainable mining practices.
Get more details about Hindustan Zinc Ltd share price here.
Know the Indian Hindustan Zinc Ltd share price history here.
5. Indian Railway Catering and Tourism Corporation Ltd (IRCTC)
- Established in 1999, IRCTC provides catering and tourism services to Indian Railways, including online ticketing, catering services on trains and stations, and travel-related services.
- The company aims to enhance passenger experience through technological advancements, improve service efficiency, and expand its tourism and catering services.
Get more details about Indian Railway Catering and Tourism Corporation Ltd share price here.
Know the Indian Indian Railway Catering and Tourism Corporation Ltd share price history here.
6. Multi Commodity Exchange of India Ltd (MCX)
- MCX was founded in 2003
- MCX is a leading commodity exchange in India, providing a platform for trading in various commodities such as metals, energy, and agricultural products.
- MCX aims to improve market efficiency and liquidity, expand its product offerings, and promote the growth of commodity derivatives trading in India.
Get more details about Multi Commodity Exchange of India Ltd share price here.
Know the Indian Multi Commodity Exchange of India Ltd share price history here.
7. Pidilite Industries Ltd
- Established in 1959, Pidilite is a leading manufacturer of adhesives, sealants, and construction chemicals. Its products include Fevicol, M-Seal, and other brands.
- The company focuses on innovation, expanding its product portfolio, and enhancing market reach to maintain its leadership position in the adhesive and construction chemicals industry.
Get more details about Pidilite Industries Ltd share price here.
Know the Indian Pidilite Industries Ltd share price history here.
8. Praj Industries Ltd
- Founded in 1985, Praj Industries specializes in engineering and manufacturing bio-based technologies for industries such as ethanol production, water treatment, and renewable energy.
- The company aims to be a global leader in sustainable technologies, focusing on innovations in bio-energy and water treatment solutions.
Get more details about Praj Industries Ltd share price here.
Know the Indian Praj Industries Ltd share price history here.
9. Marico Ltd
- Established in 1990, Marico is a major consumer goods company in the FMCG sector, known for its brands in personal care, health care, and food products, such as Parachute and Saffola.
- The company aims to drive growth through innovation, expanding its product portfolio, and enhancing market presence in both domestic and international markets.
Get more details about Marico Ltd share price here.
Know the Indian Marico Ltd share price history here.
10. Asian Paints Ltd
- Established in 1942, Asian Paints is the largest paint company in India, involved in the manufacturing, marketing, and distribution of paints and coatings for residential and industrial applications.
- The company focuses on maintaining its leadership in the paint industry, innovating its product offerings, and expanding its market share both domestically and internationally.
Get more details about Asian Paints Ltd share price here.
Know the Indian Asian Paints Ltd share price history here.
Why Invest in Monopoly Stocks in India?
Companies with monopoly stocks do not encounter competition, which enables them to maintain tight control over the market and price. When those companies aren't under attack by new competition, investors may see steady profits as an indication of their stability. Government-controlled monopolies offer investors greater confidence since they frequently retain long-term dominance of the market and provide stable payment of dividends.
Who Should Invest in Monopoly Stocks in India?
Monopoly stocks in India offer a unique market position and potential for long-term stability, appealing to various investors due to their potential for long-term growth and stability.