Nifty 50 Top 10 Stocks
Like the Sensex, the Nifty is a broad index that represents the whole market.
It is one of the most popular futures and options indices and is accessible for trading both domestically and internationally.
The free float approach, which bases the stock weighting on the stock's free float market capitalisation, is also used to compute Nifty.
The Nifty was introduced on April 22, 1996, however its base year was November 3, 1995, with a base level of 1000. This means that at the present Nifty level of 11,700, money has been created 11.70 times during the previous 24 years.
The index is restructured every two years, and during trading hours, the Nifty figures are accessible in real time. The Nifty 50 futures are traded not just on the NSE but also on the Singapore Exchange(SGX).The financial services sector, which makes up more than 13 essential sectors and has a weight of 38.85% in the Nifty, is the most important.
Aside from the financial industry, the following sectors are weighted: energy (15.30%), IT (13.67%), consumer goods (11.29%), and automobiles (6.08%). Overall, the top 5 sectors make up to over 85% of the Nifty's overall weighting and significantly affect the indexes.
Selection Criteria of Nifty 50 Stocks
To determine which stocks or businesses will be included in Nifty 50 Index, a set of rules and criteria must be adhered to. Following are the parameters used to choose the names of Nifty 50 companies:
Requires Listing on NSE
The first requirement for a firm to be included in the list of "nifty companies" is that it must be listed on the NSE. Additionally, it needs to be on the market for at least 6 months before being listed. Furthermore, the company's shares have to be easily accessible for trading on the NSE's F&O market.
Liquidity
When deciding whether to include a firm or stock in Nifty 50, liquidity is still another crucial consideration. This implies that the stock must have a high volume of trade so that it may be quickly bought and sold when necessary.
Free Floating Market Cap
The National Stock Exchange's top 50 firms are chosen based on their free-float market capitalisation. In order to calculate the market cap of a firm the stock price is multiplied by the total volume of shares offered on the market. For example, if a company has 10,000 shares that are still available and each share costs Rs. 100, the market capitalization of that company will now be 10,00,000.
Restructuring
Top 50 stocks that appear in the Nifty business list are not there permanently, which is the most intriguing fact. The Nifty 50 is restructured or, changed twice a year, in June and December. The strong and valuable corporations in this revision takes the place of all the companies that have lost value and are underperforming. Simply put, the stocks which no longer satisfy specific requirements are eliminated from the list.
Top 10 Nifty 50 Stocks
1. Reliance Industries (Ril)
Market Cap. (in Crore) : 16,40,725.65
A firm with its headquarters in India, Reliance Industries Limited engages in business in the Oil to Chemicals (02C), Oil and Natural gas, Retailing, Digital Services, and Financial Services sectors.
Petrochemicals, refining fuel retailing via Reliance BP Mobility Ltd. , aeroplane fuel, and bulk wholesale marketing are all included in the O2C segment. Multi-feed and refinery off-gas crackers, gasification, aromatics, as well as facilities for downstream manufacturing, logistics, and supply-chain infrastructure, are among its assets.
Exploration, development, and extraction of crude oil and natural gas are included in the oil and gas section. Retail consists of consumer goods and a number of related services. The Digital Services division offers a variety of digital services. The management and deployment of the Company's specified resources to diverse operations, such as insurance broking and non-banking financial services, are included in the Financial Services sector.
2. Hdfc Bank
Market Cap. (in Crore) : 7,81,158.64
Individuals and companies in India, Dubai, Hong Kong, and Bahrain can utilise the financial and banking services provided by HDFC Bank Limited. Treasury, Retail, Wholesale and Other Banking Business are where it operates.
Moreover, the organisation accepts savings deposit, fixed and recurring deposits, salary, pension , public provident fund, and Demat accounts, along with offshore accounts and deposits, overdrafts against term deposit, and sweep-in services. It also offers credit card loans, working capital loans, commercial/construction equipment financing, financing for healthcare/medical equipment and commercial vehicles, dealer financing, and term and professional loans.
Loans against properties, securities, receivables for rental, and assets are also available, as are loans for professionals, loans for rural areas, and loans against gold, consumer, and residential properties. The business provides insurance and investment products in addition to credit, debit, prepaid, and foreign currency cards. It also provides export, import, payment and collection, remittance, bank guarantees, letters of credit, trading, hedging, and merchant and cash management services.
Also, it offers services like short-term financing, discounting of bills , structured finance, export credit, syndication of loan , and collection of documents . It also offers online, wholesale, mobile, and phone banking services. It also offers RTGS, immediate payment, NEFT, financing of channel and vendor, reimbursement account, tax payment, employee trusts, money market, derivatives, cash surplus corporates, and banker services.
The business has 18,620 ATMs and 6,378 branches spread over 3,203 cities and towns. On March 31, 2022, there were 21,683 banking locations of HDFC Bank. The business is headquartered in Mumbai, India, and it was founded in 1994.
3. Icici Bank
Market Cap. (in Crore) : 5,35,296.57
ICICI Bank Ltd provides a diverse range of financial goods and services both domestically and abroad. Treasury, Retail, Wholesale and Other Banking, Life and General Insurance, and other sectors make up its business. The business provides time, recurring, term, and security deposits in addition to savings, salary, annuity, current, and other accounts. In addition, it offers debit, credit, prepaid, travel, and corporate cards; card swipes, borrowings for new firms, and schools and colleges; residence, vehicle, two-wheeler, individual, gold loans, and commercial business loans as well as business loans, loans against securities, and other loans, including venture capital, collateral free loans, term loans, unsecured loans, finance for exporters and importers and overdraft facilities.
In addition, the firm provides insurance, fixed income, pockets wallet, investment (gold monetization schemes, mutual funds, IPOs, and other digital investment services), rural and agricultural business, farmers finance, tractor loans, micro banking, and other assistance to agriculture corporates.
Additionally, it offers services for portfolio management, trade, international exchange, lockers, private and NRI banking, cash management, demat accounts, household wealth, equity markets, custodian, project and technology financing, institutional banking, online, mobile, and telephone banking, time, term, recurring, and security deposits, as well as salary, pension, and other accounts.
As well as providing investment, trading, broking, and underwriting services for securities, the company also provides trusteeship, merchant banking, housing loans, asset management, pension fund management, investment advisory services, points of presence, and management of private equity and venture capital funds.
Its network had 13,379 ATMs and 5,534 branches as of 30 June, 2022. The headquarters of ICICI Bank Limited are in Mumbai, India, where it was established in 1955.
4. Infosys
Market Cap. (in Crore) : 6,17,823.64
The consulting, technology, and outsourcing firm Infosys Ltd. offers end-to-end business solutions to clients operating internationally in a range of industry sectors, helping them to improve business performance. The company's industry segments are mainly financial services and insurance, which include businesses that offer banking, finance, and insurance services, businesses in the energy, manufacturing, utility, communication, and services industries, as well as retailing, consumer packaged products, logistics, and life sciences.
Services offered by the company include IT Solutions, BPO Services, Consulting Services, Engineering Services, and Products as well as Platform. The company's IT services leverage its domain and business expertise along with a variety of services, which include application, infrastructure, learning sevices, independent validation and testing, information management, knowledge, packaged application services, SOA, and systems integration services to create IT-enabled business solutions for clients.
Its engineering services include concept-to-market development and research as well as engineering services to enhance the performance of clients' products. Lifecycle management and plant solutions, and product engineering are some of these operations. IT strategies, learning and complicated change, next-generation commerce, and services for product creation are all part of the company's consulting offerings.
5. Hdfc
Market Cap. (in Crore) : 4,08,164.97
HDFC, an Indian company, was founded in 1977 with the main goal of addressing a social need by assisting households with long-term financing in order to promote home ownership. A world-class company with a stellar reputation for expertise, honesty, and exquisite service, HDFC has transformed the idea of home financing for India's expanding middle class throughout the years.
The primary business of Housing Development Finance Corporation Limited is to provide financing to people, businesses, and developers for the acquisition, development, and maintenance of homes, flats, and commercial buildings. The company's sectors include asset management, loans, life insurance, and general insurance.
A variety of insurance products are available from the company, including those for motor vehicles, health, travel, homes, and personal accidents. It offers specialised goods such crop insurance, liability insurance, cyber security, and property, marine, and aviation insurance for businesses. About 387 branch offices and service locations are run by the company.
6. Tata Consultancy Services (Tcs)
Market Cap. (in Crore) : 11,39,355.42
One of the biggest international IT services and consulting firms is Tata Consultancy Services (TCS). Although it has offices all around the world, its headquarters are in Mumbai, India. In the areas for financial and banking services, telecommunications, education, and healthcare, TCS is well-known. A significant participant in the IT industry is TCS. Its market value is presently over $200 billion, and it employs over 600,000.
IT services are offered by Tata Sons Pvt Ltd's subsidiary TCS. It provides engineering, industrial, business intelligence, BPO, consulting, block chain, cloud services, quality engineering, enterprise solutions, and Internet of Things (IoT) services. The company provides business solutions to a wide range of sectors, including technology, communication, media, insurance, healthcare, retail, consumer products and distribution, industrial production, information services, HI-Tech, energy and utilities, travel, transportation, and hospitality.
TAP, Ignio, TCS BaNCS, TCS iON, TCS Omnistore, TCS Optumera Quartz, Jile,TCS ADD, and TCS MasterCraft, TCS HOBS are among its software offerings. The business operates in north America , Europe, Africa, middle east, Asia-Pacific, Latin America.
7. Itc Ltd
Market Cap. (in Crore) : 3,64,241.62
ITC Ltd. (ITC) is a multifaceted conglomerate company. Fast-moving consumer products, hotels, paperboards and specialised papers, packaging, agribusiness, and information technology are among the industries the company operates in. The business has operations in South-East Asia, Europe, and North America. In India, West Bengal's Kolkata serves as the home base for ITC.
ITC is an exceptional market leader in its historic businesses, including Cigarettes, Hotels, Paperboard, Packaging, and Agri-Exports, but it is also quickly acquiring market share in its newly emerging industries, including Packaged Foods & Confectionery, Branded Apparel, Personal Care, and Stationery. 25 top-tier Indian brands that add and maintain value in India have been developed over the past ten years by ITC's emerging Customer Goods Businesses.
World-class FMCG brands from ITC, including as Aashirvaad, Vivel, Sunfeast, Yippee!,Fiama, Bingo!, B Natural, Savlon, ITC Master Chef, Sunbean, Engage, Fablle, Classmate, Papercraft, Mangaldeep, and others, have attracted promising consumer franchise in a short amount of time.
While a few of these businesses are industry leaders in their respective niches, others are moving forward significantly. Leading international clients receive Information Technology services and solutions from ITC Infotech India Ltd, a completely owned subsidiary of ITC. By tackling client difficulties with cutting-edge IT solutions, ITC Infotech has established a place for itself.
8. Kotak Mahindra Bank
Market Cap. (in Crore) : 365,498
Kotak Mahindra Bank Limited has its headquarters in India. In addition to having a representation office in Dubai, the Bank offers its clients a variety of financial services in India, including retail banking, corporate banking, and treasury services. Treasury, Corporate Center, Retail Banking, Corporate Banking, BMU, and Other Banking Business are some of its sectors.
Wholesale borrowings, loans, and other services pertaining to the corporate sector are included in the Corporate Banking section but are not covered by retail banking. Credit cards, loans, and branch banking are all parts of the retail banking market. Money market, foreign exchange market, derivatives, investments, main dealership of government securities, BMU for asset liability management, and corporate centre, which mostly consists of support operations, are all included in the Treasury, BMU, and Corporate Centre sector.
Bill discounting, leasing and hire-purchase, financing aganist securites, corporate finance, money market activites, management of fixed deposit mobilisation, consumer finance, investment banking, and client money management are other business areas for the company.
9. Hindustan Unilever
Market Cap. (in Crore) : 5,85,189.20
The largest fast-moving consumer goods company in India is called Hindustan Unilever Limited (HUL). It is a subsidiary of the Anglo-Dutch multinational Unilever, one of the top producers of food, personal care, home care, and refreshment products in the world with sales in more than 190 nations. HUL, the biggest consumer goods company in India, sells more than Fifty brands of food, drinks, household and personal care products, as well as other products. Lifebuoy and Dove soap, Pepsodent toothpaste, KwalityWall's ice cream, Sunlight detergent, and Surf excel laundry detergent, Lipton teaare just a few of its brand names. The corporation may trace its beginnings to 1888.
With products and services that really are beneficial to both the consumer and the wider community, HUL aims to build a brighter future every day while also makes it easier for people to feel well, look good, and enjoy life more. With 21,000 workers and 38,273 crores in revenue(the financial year 2019-20), the company is rather large.
HUL is a division of Unilever, which sells food, personal care, home care, and refreshment goods across over 190 countries having sales of €52 billion in 2018. Unilever is one of the world's top providers of these products. Over 67% of HUL's shares are owned by Unilever. The organisation manages its operations with nimbleness and tenacity to produce steady, competitive, lucrative, and ethical growth.
The business is still concentrating on fortifying its core, speeding premiumization, and expanding its market. The business has a significant portfolio of powerful brands that lie on both sides of the price-benefit spectrum. Despite the general economic climate, the corporation continues to support its brands and promote innovation. Along with stronger in-market activations, distinct consumer insights, and increased operational efficiency, the organisation continues to maximise its execution skills.
10. Larsen And Toubro Ltd
Market Cap. (in Crore) : 3,05,619
With a history spanning more than 8 decades, Larsen & Toubro Ltd has contributed significantly to India's overall growth. L&T was founded by two Danish immigrants during the aftermath of World War II and has since expanded to become one of the biggest engineering and construction firms in the world. It has constructed several important roads, airports, metros, industries, power plants, nuclear reactors, and more.
Nearly every month, they still get sizable orders totaling hundreds of crores. In 1946, L&T Pvt Ltd. was established. They established offices in Madras, Calcutta, and New Delhi. In 1950, it went public and became a listed business. It's interesting to note that the Danish team had a friendship with Dr. Homi J. Bhabha, the pioneer of Indian nuclear research.He selected L&T in the 1960s to construct reactors and essential parts for India's nuclear programme.
Since its establishment, L&T has expanded into many other industries. They may be found in the infrastructure, energy, hydrocarbon, defence, IT, systems & equipment, financial, and real estate sectors. Over 50 nations are served by L&T's services. The international corporation now has 35 joint operations firms, 25 joint ventures, and 118 subsidiaries.
The business offers process facilities and nuclear plants custom-designed, constructed "engineered-to-order" equipment and crucial pipe solutions. The nuclear power, fertiliser, petrochemical, oil and gas, and refinery sectors are served by L&T Heavy Engineering.
To Wrap Things Up
The best-performing corporations in the nation are those in the Nifty 50. Based on performance, these 50 firms are continuously replaced. These businesses are also the most sought-after ones by investors due to the minimal risk and excellent long-term profits they provide.
When it comes to sectoral representation, the Nifty is made up of companies from important Indian economic sectors. Financial services make up 40.39 percent of the total mass, followed by Energy 14.38 percent, IT 13.7 percent, Consumer goods 10.66 percent, Automobiles 5.7 percent,Metals 3.6 percent, Construction 3.99%, Pharmaceuticals 2.15 percent, Telecom 1.84 percent,, Fertilizers & pesticides 0.7 percent, Services 0.6 percent, and Media & entertainment 0.4 percent.
Nifty 50 Top 10 Stocks