PSU Stocks
Public Sector Undertakings (PSUs) are companies in which the majority of the ownership is held by the Indian government. This combination of government and private sector involvement enhances the stability of PSU stocks.
List of Best PSU Stocks
| Name | Price | Analyst Rating | M Cap | Target Price | Alpha | 1Y Return | 3Y Return | 5Y Return | PE | Industry PE | PB | Beta | Div Yld | Net Profit Qtr | Net Profit QoQ % | Net Profit YoY % | Net Profit 3Y Change % | Rev Qtr (in Cr) | Rev QoQ (in %) | Rev 1Y change % | Rev 3Y change % | Profit Mar Qtr | Profit Mar QoQ | Profit Mar 1Y Change% | Profit Mar 3Y Change% | Sector | M Cap | ROE | ROCE | EPS | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
₹137.76 | BUY | LARGE CAP | 185.5 | 8.95% | 4.97% | 79.14% | 125.73% | 5.3 | 34.33 | 0.98 | 0.87 | 2.29% | 13502.26 Cr | 64.85% | 205157.37 | 14.85% | 25.74% | 1.82% | 43.53% | Energy | 194534.18 | 6.41% | 7.14% | 10.01 | 29985724 | ||||||
₹445.05 | HOLD | LARGE CAP | 434.5 | 15.42% | 11.92% | 108.99% | 234.75% | 9.19 | 17.44 | 13.59 | 0.7 | 6.65% | 7165.98 Cr | 68.11% | 103.14% | 30818.17 | 14.53% | 30.67% | 24.62% | 46.79% | 55.45% | Basic Materials | 274272.22 | 96.15% | 70.32% | 57.28 | 17184280 | ||||
₹340.90 | BUY | MID CAP | 490 | 118.48% | 122.33% | 4.71 | 34.33 | 1.67 | 1.18 | 2.92% | 4011.4 Cr | 3.94% | 114623.45 | 14.24% | 0.06% | 24.06% | 1.55% | Energy | 72537.47 | 16.93% | 11.73% | 31.65 | 15593599 | ||||||||
₹295.50 | BUY | LARGE CAP | 316.5 | 3.27% | 2.14% | 77.12% | 137.33% | 17.69 | 28.61 | 2.93 | 0.81 | 3.1% | 4184.96 Cr | 17.35% | 12395.09 | 8.01% | 10.02% | 33.9% | 8.65% | Utilities | 274832.84 | 17.15% | 12.26% | 16.69 | 27444747 | ||||||
₹282.70 | BUY | LARGE CAP | 406 | 5.68% | 66.36% | 31.24% | 4.91 | 34.33 | 1.47 | 1.07 | 3.54% | 7188.4 Cr | 16.1% | 14.17% | 119029.43 | 13.42% | 26.96% | 3.03% | 2.36% | Energy | 122649.55 | 17.06% | 17.64% | 31.21 | 29524543 | ||||||
₹318.45 | BUY | MID CAP | 470 | 175.12% | 230.31% | 4.87 | 26.05 | 1.47 | 1.53 | 4.19% | 4052.44 Cr | 12.29% | 58.28% | 15058.6 | 18.63% | 43.52% | 28.18% | 10.28% | Financial Services | 83855.02 | 21.46% | 9.92% | 60.32 | 8875060 | |||||||
₹396.00 | BUY | LARGE CAP | 500 | 227.49% | 345.54% | 5.18 | 26.05 | 1.5 | 1.35 | 3.81% | 8211.9 Cr | 4.82% | 15.32% | 62.59% | 29140.57 | 0.83% | 17.05% | 40.45% | 28.49% | 3.96% | 15.76% | Financial Services | 130684.03 | 20.4% | 9.74% | 92.47 | 9033117 | ||||
₹77.20 | HOLD | MID CAP | 84.5 | 15.89% | 10.65% | 110.18% | 147.67% | 9.83 | 17.44 | 2.05 | 1.19 | 4.79% | 1747.01 Cr | 3.82% | 17.37% | 7610.79 | 19.33% | 12.19% | 27.35% | 4.61% | Basic Materials | 67872.83 | 24.34% | 28.8% | 7.44 | 25794674 | |||||
₹137.19 | BUY | MID CAP | 190 | 30.04% | 55.49% | 10.5 | 13.76 | 1.7 | 1.11 | 4.1% | 1729.13 Cr | 25.85% | 1.29% | 35173.37 | 6.51% | 52.96% | 8.78% | 18.16% | Utilities | 90203.79 | 14.08% | 14.19% | 18.95 | 18663640 | |||||||
₹478.00 | BUY | MID CAP | 527 | 27.09% | 24.01% | 172.68% | 478.2% | 13.34 | 10.16 | 1.38 | 0.56 | 2.98% | 1435.89 Cr | 0.85% | 4.77% | 8330.09 | 0.14% | 25.5% | 21.65% | 0.7% | Energy | 77751.85 | 13.65% | 14.85% | 43.28 | 9323712 |
What is a PSU Stock?
PSU stock represents ownership in a company where the Indian government holds a majority stake. Typically involved in sectors like energy, banking, infrastructure, and utilities, these companies are listed on stock exchanges. These stocks are known for their relative stability due to government backing and have traditionally been considered a less risky investment option.
Key Characteristics of Public Sector Undertaking Stocks
- Dividend focus: Many PSUs have a history of consistent dividend payouts.
- Growth Potential: While known for stability, some PSUs have shown growth potential due to government initiatives and economic expansion.
- Essential services: PSUs often provide essential goods and services to the public.
PSU Stocks vs Regular Stocks
There are two primary types of companies on the Indian stock market: Public Sector Undertakings (PSUs) and regular (private) companies. Although they both signify ownership of a company, they are not the same in terms of risk profiles, investment objectives, or ownership structures.
PSU Stocks
Ownership: Owned and controlled by the government of India, with a majority stake (over 51%)
Investment Goals: Primarily seen as a source of stable income and long-term capital appreciation, PSUs are known for offering relatively high and consistent dividend payouts.
Risk Profile: These stocks are generally considered less risky than regular stocks due to government backing and focus on stable operations.
Regular Stocks
Ownership: Owned by private entities or individuals, publicly traded companies may have a large number of shareholders, with no single entity holding a majority stake.
Investment Goals: These stocks can offer a wider range of investment goals, depending on the company. Some prioritise high growth potential, while others focus on stable dividends or a combination of both.
Risk Profile: Risk profiles can vary greatly depending on the company's size, industry, and financial health.
Things to consider before investing in PSU Stocks in India
Before you add these stocks to your portfolio, consider these important factors:
Government policies: Analyse if any current and future policies could impact the company. Government decisions can significantly influence profitability and operational efficiency.
Industry outlook: Examine PSUs' future plans. A positive industry outlook can provide a favourable environment for growth.
Financials: Check out the company's revenue growth and debt levels. Strong financials suggest the company can sustain operations and generate profits.
Valuation: Find out if the stock is priced fairly compared to earnings and book value. Proper valuation helps determine if the stock is overpriced or undervalued.
Divestment plans: Are there plans to reduce the government stake in the company? Divestment can lead to changes in management and operational efficiencies.
Market perception: Read about investors' and analysts' views on these stocks. Market perception can impact stock price and investor sentiment.
Dividend history: Research the company's dividend history and yield. Consistent dividends provide a steady income stream and indicate financial stability.
Regulatory environment: Assess if the company obeys the set regulations. Compliance is essential for smooth operations and legal standing.
Corporate governance: Ensure that the company follows best practices and is transparent. Good governance enhances trust and reduces the risk of malpractices.
Frequently Asked Questions
Is diversification important when investing in public sector stocks?
Yes, diversification is crucial. While public sector stocks offer stability, spread your investments across sectors and asset classes to manage risk.
How do PSU sector stocks perform during economic downturns or recessions?
These stocks may exhibit lower volatility than the broader market during economic downturns. However, their performance can still be affected.
Is it worth investing in top PSU stocks?
Public sector stocks can be a valuable addition to your portfolio, offering stability, regular income, and long-term growth potential.
How do changes in government policies and regulations affect a PSU share?
Changes in government policies can significantly impact specific PSU sectors. Stay informed about policy changes that might affect your investment decisions.
How do I analyse the financial performance of PSU stocks before investing?
Research the PSU companies' past performance, including financial statements, dividend history, future plans, and industry trends, before making an investment decision.
Is it worth investing in PSU stocks?
Best PSU stocks can be a valuable addition to your portfolio, offering stability, regular income, and long-term growth potential.
Explore Popular Sectors and Categories:
Penny Stocks | Nifty 50 Stocks | Railway Stocks | Ethanol Stocks | Green Energy Stocks | Solar Energy Stocks | Semiconductor Stocks | AI Stocks | Indices | Multibagger Stocks | Dividend Stocks | EV Stocks | Sugar Stocks | Blue Chip Stocks | Bonus Shares | Defence Stocks | Large Cap Stocks | Mid Cap Stocks | Small Cap Stocks | Green Hydrogen Stocks | Infrastructure Stocks | Undervalued Stocks | Upper Circuit Stocks | Lower Circuit Stocks | Sensex Stocks | FMCG Stocks | Intraday Stocks | Pharma Stocks | Chemical Stocks | IT Stocks | Most Active Stocks
INDmoney is 100% Safe and Secure!
Your security and privacy are our top priority!
27001:2022
ISO Certified
Audited by
cert-in empanelled auditors
AES 256-BIT
SSL Secured
Trusted by 10 million+ happy investors
Open your account in a minute. Invest in Indian Stocks, US Stocks, Mutual Funds, ETFs, Fixed Deposit and NPS.