52-Week High Stocks: Meaning, Risks, & List of Top 52-Week High Shares (2024)
A 52-week high is a stock or security’s highest price in a year. This technical indicator helps analyse the current price and predict future movements. A 52-week high signals a bullish sentiment and is useful for identifying trends despite the one-year period being chosen for convenience. This article will analyse the top 52-week high stocks, their overview, and how to find and invest in them.
Top 52 Week High Stocks from Nifty 500
| Company Name | Sub-Sector | Market Cap (in Cr) | Share Price | % Away from 52-Week High |
|---|---|---|---|---|
| ICICI Prudential Life Insurance Company Ltd | Insurance | ₹1,07,168.55 | ₹753.15 | 0.21 |
| Bajaj Auto Ltd | Two Wheelers | ₹3,01,817.43 | ₹10,891.55 | 0.27 |
| Sun Pharmaceutical Industries Ltd | Pharmaceuticals | ₹4,31,688.35 | ₹1,821.65 | 0.36 |
| Infosys Ltd | IT Services & Consulting | ₹8,00,768.13 | ₹1,943.70 | 0.38 |
| TVS Motor Company Ltd | Two Wheelers | ₹1,30,722.59 | ₹2,813.30 | 0.38 |
| Indus Towers Ltd | Telecom Infrastructure | ₹1,20,300.84 | ₹458.50 | 0.40 |
| Granules India Ltd | Pharmaceuticals | ₹17,059.12 | ₹718.10 | 0.40 |
| Alkem Laboratories Ltd | Pharmaceuticals | ₹71,730.63 | ₹6,170.35 | 0.48 |
| Cipla Ltd | Pharmaceuticals | ₹1,30,707.61 | ₹1,654.90 | 0.53 |
| Bajaj Finserv Ltd | Insurance | ₹2,79,791.57 | ₹1,783.05 | 0.59 |
Disclaimer: Please note that the above list is for educational purposes only, and is not recommendatory. Please do your own research or consult your financial advisor before investing.
Note: The data on this list of stocks away from 52 week high is from 30th August 2024. The data is derived from the Tickertape Stock Screener.
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Understanding 52-Week High Stocks: An Overview
Here are brief overviews of the stocks on the 52 week high share list above:
ICICI Prudential Life Insurance Company Ltd
ICICI Prudential Life Insurance Company Limited is an Indian life insurance provider, formed through a joint venture between ICICI Bank Limited and Prudential Corporation Holdings Limited. The company operates in life insurance and asset management. In 2016, it became the first insurance company in India to be listed on domestic stock exchanges. Over the last 5 years, the company’s revenue has grown at a yearly rate of 16.88%, higher than the industry average of 11.59%, and its market share increased from 4.95% to 6.21%.
Bajaj Auto Ltd
Bajaj Auto Limited is a manufacturer of motorcycles, three-wheelers and parts. The company’s business segments include automotive, investments and others. As of 30th August 2024, the company has a market capitalisation of Rs. 1,07,168.55 cr., and its share price closed at Rs. 753.15. Over the last 5 years, the company’s revenue has grown at a yearly rate of 7.53%, higher than the industry average of 7.44%, and its net income has grown at a yearly rate of 9.36%, also higher than the industry average of 7.87%.
Sun Pharmaceutical Industries Ltd
Sun Pharmaceutical Industries Limited, established in 1983 and headquartered in Mumbai, India, is a leading generic pharmaceutical company. It develops, manufactures, and markets branded and generic formulations, as well as active pharmaceutical ingredients (APIs), both in India and internationally. Over the last 5 years, the company’s revenue has grown at a yearly rate of 10.64%, higher than the industry average of 9.21%, and its net income has grown at a yearly rate of 29.15%, also higher than the industry average of 15.17%.
Infosys Ltd
Infosys Limited and its subsidiaries offer a range of consulting, technology, outsourcing, and digital services across North America, Europe, India, and globally. Their services include digital marketing, workplace solutions, digital commerce, and data analytics. As of 30th August 2024, the company had a market capitalisation of Rs. 8,00,768.13 cr., and its share price closed at Rs. 1,943.70. Over the last 5 years, the company’s revenue has grown at a yearly rate of 13.11%, higher than the industry average of 11.54%, and its market share increased from 18.12% to 20.25%.
TVS Motor Company Ltd
TVS Motor Company Limited manufactures motorcycles, scooters, mopeds, three-wheelers, parts, and accessories. As of 30th August 2024, the company had a market capitalisation of Rs. 1,30,722.59 cr., and its share price closed at Rs. 2,813.30. Over the past 5 years, the company’s revenue has grown at 14.33% yearly, higher than the industry average of 6.71%. In the same period, the company’s market share has increased from 21.57% to 30.45%, and its net income has grown at a yearly rate of 15.29%, which is also higher than the industry average of 3.75%.
Indus Towers Ltd
Indus Towers Limited, based in Gurugram, India, provides telecom infrastructure services for various telecom providers across the country. The company operates and maintains wireless communication towers, including ground-based towers, smart poles, rooftop towers, small cells, and fibre backhauls. As of 30th August 2024, the company had a market capitalisation of Rs. 1,20,300.84 cr., and its share price closed at Rs. 458.50. Over the last 5 years, the company’s revenue has grown at a yearly rate of 29.12%, higher than the industry average of 25.76%.
Granules India Ltd
Granules India Limited, founded in 1984 and headquartered in Hyderabad, India, produces and sells active pharmaceutical ingredients (APIs), pharmaceutical formulation intermediates, and finished dosages (FDs) both in India and internationally. The company’s APIs cover various therapeutic areas, including anti-retrovirals, anti-hypertensives, anti-histamines, anti-infectives, analgesics, anti-coagulants, anti-fibriotics, and platelet inhibitors Over the last 5 years, the company’s revenue has grown at a yearly rate of 13.88%, higher than the industry average of 9.21%, and its market share increased from 1.04% to 1.2%.
Alkem Laboratories Ltd
Alkem Laboratories Limited is a global pharmaceutical firm involved in the research, development, manufacturing, and sale of pharmaceutical and nutraceutical products. Operating in India, the United States, and internationally, the company provides a range of offerings, including branded generics, generic drugs, active pharmaceutical ingredients, biosimilars, and nutraceuticals. Over the last 5 years, the company’s revenue has grown at a yearly rate of 11.76%, higher than the industry average of 9.21%.
Cipla Ltd
Cipla Limited, along with its subsidiaries, manufactures, develops, sells, and distributes pharmaceutical products globally, including in India, the US, and South Africa. The company operates in two main segments: Pharmaceuticals and New Ventures. Cipla provides a range of products, including generic and branded medicines, vaccines, active pharmaceutical ingredients, and formulations. Over the last 5 years, the company’s revenue has grown at a yearly rate of 9.51%, higher than the industry average of 9.21%, and its net income has grown at a yearly rate of 21.96%, also higher than the industry average of 15.17%.
Bajaj Finserv Ltd
Bajaj Finserv Ltd. provides a range of financial services in India through its subsidiaries. It operates across several segments: Life Insurance, General Insurance, Windpower, Retail Financing, and Investments. The company offers various loans, including personal, business, home, car, and gold loans, as well as loans for home renovation and two- and three-wheelers. Over the last 5 years, the company’s revenue has grown at a yearly rate of 20.97%, higher than the industry average of 11.59%, and its market share increased from 5.01% to 7.47%.
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What are 52-week High Stocks?
Stock exchanges have specific trading hours. The ‘closing price’ is the final price at which a stock is bought during trading hours. This price is crucial for determining whether a stock has reached a 52-week high. Analysts compare the closing price of a stock to all other closing prices over the past 52 weeks. If the latest closing price is the highest, it indicates that a stock is at its 52-week high.
Why are 52-week High Stocks Important?
A stock hitting a 52-week high is significant in the stock market, carrying several implications for investors and traders. Here are key reasons why this milestone matters:
- Positive Momentum: A new 52-week high indicates that a stock’s price has steadily risen over the past year, resulting in potentially the highest stock price in the past year. This positive momentum often attracts more investors and traders, who see the stock as a strong performer and want to join the upward trend.
- Investor Confidence: When a stock hits a 52-week high, it boosts investor confidence in the company’s performance and future prospects. It suggests the company is delivering good financial results and meeting or surpassing market expectations, leading to increased buying interest and potentially higher stock prices.
- Technical Analysis: Technical analysts often use 52-week highs as buying signals. They follow the “trend is your friend” principle, viewing this milestone as a bullish sign and expecting the stock to continue its upward path.
- Public Attention: Nifty 52 week high stocks often gain significant media coverage. Financial news outlets and analysts highlight these stocks, attracting more investors. This increased attention can lead to further price increases as more people become aware of the stock’s performance.
However, it’s important to remember that a 52-week high doesn’t guarantee future success or continued price increases for the 52 week high stocks in NSE. Investors should also consider the company’s financial health, industry trends, and overall market conditions before making investment decisions.
Are 52-Week High Stocks a Good Investment Opportunity?
Investors often favour stocks reaching their 52-week highs, seeing these 52 week high breakout stocks as winners and more attractive investment options. This perception can influence others to follow suit, boosting the stock price further—a phenomenon known as momentum. Both seasoned investors and newcomers recognise this trend.
The 52-week high symbolises ongoing success, attracting investors with the promise of more gains. However, it’s crucial for investors to remain rational, basing their decisions on thorough research rather than emotional impulses. Assessing a company’s financial stability, future potential, the investor’s investment objective, and risk tolerance is essential before joining in on any investment trend.
Risks Associated with Investing in 52-Week High Stocks
While the “52-week high effect” presents an intriguing investment strategy with potentially higher subsequent returns, it’s important for investors to consider the associated risks before diving in. Here are some factors to keep in mind:
- Overvaluation Concerns: Stock prices near their 52 weeks high may indicate that the market has already recognised positive news or strong performance, leading to potential overvaluation. Investors should be cautious about buying into stocks near 52 week high that have already experienced significant price appreciation without a fundamental basis.
- Market Volatility: Investing in NSE 52 week high stocks can expose investors to increased market volatility. As prices reach new highs, there may be heightened levels of uncertainty and fluctuations in the market, which could lead to rapid price movements in both directions.
- Potential Reversal: While the “52-week high effect” suggests that the NSE 52 week high stocks near their highs tend to outperform in the short term, this trend may not continue indefinitely. Stocks hitting 52 week high may experience a reversal in price direction, especially if market conditions change or if the underlying fundamentals deteriorate.
How to Find 52-Week High Stocks?
You can use the Tickertape Stock Screener to find 52-week high stocks. Here’s how:
- Create a 52 week high breakout stocks NSE screener with the help of the 200+ filters on the Tickertape Stocks Screener.
- Find the stocks that have recently hit their 52 week highs.
- You can also use the individual stock pages to learn more about the 52-week high stocks and review their recent fundamentals.
- Consult a financial advisor and do your own research before making any final decisions about investing in 52 week near high stocks in India.
To Wrap It Up…
A stock hitting its 52-week high suggests potential for significant gains ahead, prompting investors to consider purchasing more shares. Despite the associated risk, such moves can sometimes yield potentially rewarding results. However, on the flipside, stocks trading at their 52-week high are sometimes overvalued, trading above their intrinsic value. Therefore, as mentioned above, investors should ideally be wary of ongoing trends and conduct their own market research or consult a financial advisor before investing.
Frequently Asked Questions About 52-Week High Stocks
When a stock hits a 52-week high, it signals strong performance and outlook for the company. Investors might see this as a sign of positive financial results, meeting or surpassing market expectations. This can boost confidence in the company, leading to more buying interest and potentially driving the stock’s price up.
Here is a Nifty 500 52 week high stock list:
1. ICICI Prudential Life Insurance Company Ltd
2. Bajaj Auto Ltd
2. TVS Motor Company Ltd
3. Sun Pharmaceutical Industries Ltd
4. Infosys Ltd
5. TVS Motor Company Ltd
Note: The data on this 52 week high stocks list was taken on 30th August.
The 52-week high marks a stock’s peak price over the past year. Rather than viewing it as a sell sign, it’s seen as an opportunity to buy or increase holdings. Identifying market trends is crucial in trading. The 52-week high acts as a momentum indicator.
When a stock or bond hits its lowest price in the past year, typically over a span of 52 weeks, it’s referred to as the 52 week low stocks. Investors often consider this figure when deciding whether to invest in a specific stock.
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