Best Stocks Under 50 Rs in India 2024

Investing in the stock market provides various options based on the amount you wish to invest. This article focuses on the best stocks under 50, typically representing smaller or emerging companies with high growth potential. While these stocks carry their own risks, they allow small investors to participate in the market and purchase shares in higher volumes due to their low prices.

Additionally, this article will offer insights into the financial performance and market trends of the best stocks under 50 rs.

List of Best Stocks Under 50 by Market Cap

Here is the list of top stocks under 50 Rs by market capitalization

Note: These stocks are chosen based on their market cap and the financial information is accurate as of  6th August 2024

List of Best Stocks Under 50 Based on 5-year Return

Here is the list of best stocks under 50 based on 5-year return

Fundamentally Strong Stocks Under 50

Here is a list of fundamentally strong stocks that we can consider among the best long term shares under 50 rs.

Note: Stocks are listed based on past financial metrics such as debt, ROC, ROCE, PE ratio, and revenues. For a complete assessment, investors should do their own research.

Best Stocks Under 50 - Overview

Let's take a look at the company overviews of the best stocks under 50 rs

1) Trident Ltd

Trident Group, formerly known as Abhishek Industries Ltd, incorporated in the year 1990, is a diversified textile fabric manufacturer headquartered in Ludhiana, Punjab. 

The company's main business line includes manufacturing, trading, and selling textiles like yarn, terry towels, chemicals, captive power, and home textiles. Furthermore, they specialize in making bed linen and wheat straw-based paper. 

The company has 3 manufacturing plants. Out of them, 2 are bath lenin production plants located in Budhni in Madhya Pradesh and Dhaula in Punjab. Its yarn plant, which produces cotton and acrylic yarn, is located in Sanghera, Punjab. 

It has a presence in over 99+ countries, exporting its products to regions including the United States, Europe, the Middle East, and Africa. The contribution of exports as a percentage of the total turnover of Trident Limited is 61%.

With its strong export presence and diverse product portfolio, Trident Ltd offers a great opportunity for investors who are looking for the best stocks under 50.

2) Ujjivan Small Finance Bank Ltd

Established in 2016, Ujjivan Small Finance Bank is a financial services company headquartered in Bengaluru. Its banking services cater to financially underserved and unserved segments.

As a financial services company, it operates through 3 main segments, treasury, retail banking, and corporate segments. Further, it provides services such as providing loans, Micro banking, digital banking, Agriculture and rural banking, and branch banking 

The bank has a presence all over India with over 86 Lakh customers, 752 branches, and 596 ATMs across 26 states. 

Given its focus on financial inclusion and a rapidly growing customer base, Ujjivan Small Finance Bank has become a promising stock under Rs. 50 rs.

3) Utkarsh Small Finance Bank Ltd

Utkarsh Small Finance Bank Ltd started its operations in 2010 as a microfinance institution and later it expanded all over India and got approved by RBI to operate as a Small finance bank.

The services offered by the company include wholesale lending, retail loans, business loans, insurance, and mutual funds. It predominantly offers loans based on a joint liability group-lending model for the extension of collateral-free, small ticket-size loans to economically active poor women for income-generation purposes.

 It runs its business through 889 branches, 320 ATMs, and 619 micro ATMs as of March 24. Major customers of this bank are from Bihar and Uttar Pradesh where 396 out of 888 banking outlets were located in these two states.

Based on fundamental analysis, Utkarsh Small Finance is counted among the best long term shares under 50 Rs.

4) South Indian Bank Ltd

Headquartered in Thrissur, Kerala, South Indian Bank Ltd was incorporated in 1929. It is one of the oldest and the first ‘scheduled bank’ among the private banks in Kerala. It has provided banking services over the decades and expanded its operations 

The main operations of the company include retail and corporate banking, para-banking activities such as debit cards, Treasury operations, NRI banking, digital banking, and Third-party financial product distribution.

The company has around 955 branches and 1,443 ATMs all over India where most of them are located in semi-urban areas. It has a customer base of around 75 lakh people as of now.

Based on fundamental analysis, this South Indian Bank is considered one of the best stocks under 50 for long term.

5) Easy Trip Planners Ltd

The company Easy Trip Planners Ltd was founded in 2008 and now it is the second largest online travel platform in India. Its headquarters is located in New Delhi 

Its operations include organizing travel and trips, end-to-end travel solutions, holiday packages, air tickets, and rail tickets. It also provides ancillary value-added services such as visa processing, travel insurance, and tickets for travel and attractions.

Easy Trip Planners Ltd has around 14 lakh customers and a 753-employee workforce. It also partnered with over 10 lakh hotels all over the world to enhance their travel business.

As a key player in the booming travel industry, Easy Trip Planners is a great choice for investors who are looking for the best stock price under 50 rs.

6) Jaiprakash Power Ltd

Jaiprakash Power Ventures Limited is an integrated energy company incorporated in 1994. It is a part of India's leading Infrastructure conglomerate - Jaypee Group which operates power projects in India. The company is one of the leading players in the power generation and distribution sector.

The company mainly engaged in generating power by operating coal mining, sand mining, cement grinding, and production of thermal and hydroelectric electricity.

With an installed capacity of 2,220 MW, it has three main power plants located at Vishnuprayag Hydro-Electric Plant in Uttarakhand and two thermal power plants in Madhya Pradesh. Furthermore, JPVL has a captive coal mine of 2.8 MTPA in the state of Madhya Pradesh, which caters partially to its thermal power plants' fuel requirements.

7) Brightcom Groups Ltd

Brightcom Group Ltd., incorporated in 2010 and formerly known as Lycos Internet Ltd., is one of the leading digital marketing companies in the world. Its holistic services in Video Advertising, Performance-based Marketing, and AI-driven Solutions help serve a wide array of industries from Media and Entertainment to FMCG, and Telecom. 

Their clientele includes big brands like Google and Unilever, to name a few. Brightcom has its headquarters in Hyderabad, with 25 offices across the world. In the recent past, Brightcom came under regulatory scanner following which a forensic audit was initiated by SEBI, and major management changes were made. Despite these, it continues to build scale through strategic partnerships, becoming an important player in digital marketing.

Factors to Consider Before Investing in Stocks Under 100

Now that we've checked out the best stocks under 50 Rs, let’s understand the key things to consider before investing:

Company fundamentals

Fundamentals of the company plays a strong role while investing in stocks. The important metrics such as revenues, profits, and earnings per share show how the company is performing. Analyzing its growth in revenues and profits will help investors make informed decisions. 

Valuation

Valuing the company shares by various ratios will help investors in knowing if the stock is overvalued or undervalued. Checking their dividend yields helps investors understand the potential returns. 

Liquidity

Usually low priced stocks trade at lower volumes due to perceived risk and lack of familiarity among investors in these stocks resulting in liquidity issues. Hence, investors should ensure that the stock has sufficient trading volume.

Volatility

Stocks under 50 Rs are more volatile resulting in larger price swings when compared to high-priced stocks. Investors must be aware of this and be prepared for fluctuations by assessing their risk tolerance.

Growth potential

Investors should be aware of the company's plans and prospects such as expansion, investment plans, and long-term goals of the company so that the investors have clarity about their investment.

How to Invest in Best Stocks Under 50 Rs?

Listed below are the steps for investing in the stocks under 50 Rs in India:

• Financial Goals: Define your financial goals and assess your risk tolerance.

• Select Stocks: Find out the best stocks under 50 Rs or less on the NSE or BSE and see the key ratios of various stocks. Compare them and study the past performance of those stocks.

• Choose Investment Platform: Find reliable stockbrokers like Rupeezy to open demat account.

• Fund Your Account: Use the bank transfer or any other method provided by the broker to transfer money into your trading account.

• Buy Stocks: Choose the best-performing stocks under 50 Rs and place a buy order for the quantity one is willing to purchase.

• Monitor Your Investment: Regularly monitor your investment portfolio and rebalance it if needed. Stick to your investment plan and avoid making emotional decisions

Conclusion

In the end, the best stock below 50 should be checked from the parameters of the company's financial health, growth prospects, and market positioning. Upside potential in these stocks would be substantially high, but associated risks may also be huge. So, there is a need to diversify your investment into companies having sound fundamentals, business models, and industry trends.

Wrapping it up, in this article we provide the list of best stocks under 50 Rs based on their market capital, fundamentals, and 5-year return. However, investors are advised to do their own research before investing in the stocks.