Top 5G Stocks in India: Overview, Recent Performance & Advantages
India is at the forefront of the 5G revolution, rapidly rolling out and adopting this transformative technology nationwide. The 5G revolution promises to transform various sectors, offering faster speeds, lower latency, and more reliable connectivity. 5G will unlock new possibilities and solutions, benefiting businesses and consumers in sectors ranging from healthcare and manufacturing to entertainment and education.
According to Ericsson ConsumerLab, India is one of the most enthusiastic markets for 5G, with about 30 million users expected to switch to 5G phones in 2023. The demand for 5G technology in India is massive, significantly impacting the economy and society. This blog post highlights the top 5G-related stocks in India, chosen for their strong performance and potential.
Top 5G Stocks – Highest Market Capitalisation
Here is a list of the best 5G stocks in India based on their market capitalisation:
| 5G Company Name | Market Cap (in Cr) | Share Price | PE Ratio |
|---|---|---|---|
| Reliance Industries Ltd | ₹20,02,982 | ₹2,863.20 | 28.77 |
| Bharti Airtel Ltd | ₹8,33,506 | ₹990.20 | - |
| Tech Mahindra Ltd | ₹1,29,125 | ₹1,317.45 | 54.77 |
| Vodafone Idea Ltd | ₹1,02,497 | ₹15.00 | -3.28 |
| Indus Towers Ltd | ₹93,399 | ₹339.35 | 15.47 |
| ITI Ltd | ₹29,547 | ₹293.45 | -51.94 |
| Tejas Networks Ltd | ₹19,731 | ₹1,160.80 | 313.29 |
| HFCL Ltd | ₹14,871 | ₹94.15 | 45.09 |
| Sterlite Technologies Ltd | ₹6,160 | ₹121.80 | -120.80 |
| Mahanagar Telephone Nigam Ltd | ₹2,406 | ₹36.10 | -0.74 |
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 is from 6th June 2024. This data is derived from the Tickertape Stock Screener.
🚀 Pro Tip: You can use Tickertape’s Stock Screener to research and evaluate stocks with over 200+ filters and parameters.
Overview of the Top 5G Stocks in India Based on Market Capitalisation
Here is a brief overview of the 5G share list of 5G stock prices provided above:
Reliance Industries Ltd
Reliance Industries Limited is engaged in refining and manufacturing refined petroleum products and petrochemicals and oversees Reliance Jio’s operations. Over the past five years, the company’s revenue has grown at a yearly rate of 17.25%, higher than the industry average of 15.87%. Additionally, the company’s market share increased from 29.31% to 31.04% in the same period.
Bharti Airtel
Bharti Airtel Limited, or simply Airtel, is an Indian multinational telecommunications company based in New Delhi. Airtel operates in 18 countries across South Asia, Africa, and the Channel Islands. In India, Airtel offers 5G, 4G, and LTE Advanced services. Depending on the country, it also provides fixed-line broadband and voice services. Airtel has implemented Voice over LTE (VoLTE) technology across all Indian telecom circles. It ranks as the second largest mobile network operator in both India and the world.
Tech Mahindra Ltd
Tech Mahindra Limited is engaged in the business of computer programming, consultancy and related services. It’s segments include Information Technology (IT) Services and Business Processing Outsourcing (BPO). The company’s debt-to-equity ratio has been 11.37%, which is lower than the industry average of 13.65%, over the past 5 years.
Vodafone Idea Ltd
Vodafone Idea (Vi) is an Indian mobile network operator headquartered in Mumbai and Gandhinagar. Vi offers a comprehensive range of services across India, including 2G, 3G, 4G, LTE Advanced, VoLTE, and VoWiFi. The company’s revenue has grown at a yearly rate of 7.97%, higher than the industry average of 7.67%, over the past 5 years. In the same period, the company’s market share has increased from 19.76% to 20.04%.
Indus Towers Ltd
Bharti Infratel Limited provides Telecom Tower Infrastructure sharing for telecommunication services. The 5G company in India deploys, owns and manages telecom tower communication structures, for various mobile operators. The company’s revenue has grown at a yearly rate of 28.56%, higher than the industry average of 21.16%, over the past 5 years. In the same period, the company’s current ratio has been 137.14, also higher than the industry average of 42.06.
ITI Ltd
ITI Limited, formerly Indian Telephone Industries Limited, is a key public sector enterprise in India. It operates under the Department of Telecommunications, Ministry of Communications, Government of India. Established in 1948 as a departmental factory and incorporated as a public company in 1950, ITI Limited now boasts six manufacturing units located in Bangalore, Naini, Mankapur, Raebareli, Palakkad, and Srinagar. These facilities produce a variety of equipment, including switching, transmission, access, and subscriber premises devices.
Tejas Networks Ltd
Tejas Networks Ltd. provides carrier-grade communications equipment and solutions for the telecom industry. The company is a supplier of optical networking equipment to telecom carriers across the world. The company’s debt-to-equity ratio has been 1.46%, lower than the industry average of 54.25%, over the past 5 years. In the same period, current ratio has been 686.59, higher than the industry average of 121.1.
Sterlite Technologies Ltd
Sterlite Technologies Limited is primarily engaged in telecom products and solutions. Over the past five years, the company’s revenue has grown at a yearly rate of 16.73%, higher than the industry average of 11.16%. In the same period, the company’s market share has increased from 28.65% to 36.58%.
Mahanagar Telephone Nigam Ltd
Mahanagar Telephone Nigam Limited (MTNL), headquartered in New Delhi, India, is a wholly-owned subsidiary of Bharat Sanchar Nigam Limited (BSNL). MTNL offers telecommunication services in Mumbai, New Delhi, and Mauritius, Africa. Over the past five years, the company’s current ratio has been 49.82, higher than the industry average of 40.06.
However, if you’re confused about which stocks to pick, you can explore smallcases:
- smallcases are readymade portfolios of stocks/ETFs, that are based on a theme idea or strategy
- They’re created and managed by SEBI-registered experts
- smallcase.com offers over 200+ stock portfolios, created by 180+ managers
- Some of the popular smallcases among new investors are as follows:
Disclosures for aforementioned smallcases
What are 5G Related Stocks in India?
5G, short for Fifth Generation, is the latest wireless standard globally. Unlike previous technologies, 5G efficiently manages large-scale connections at high speeds, enabling seamless integration of machines and devices alongside users. Its capabilities make it ideal for advanced applications like cloud computing, artificial intelligence, machine learning, Natural Language Processing, and the Internet of Things (IoT).
5G related stocks in India are stocks of companies manufacturing and assisting in the rollout of 5G technology in India. Here is a list of the top 5G companies based on different fundamental factors.
Best 5G Stocks In India – 1 Month Return
| 5G Company Name | Seb Sector | Dividend Yield (%) | 1M Returns |
|---|---|---|---|
| Vodafone Idea Ltd | Telecom Services | - | 11.65% |
| Bharti Airtel Ltd | Telecom Services | - | 7.21% |
| Tejas Networks Ltd | Telecom Equipments | - | 2.37% |
| Tech Mahindra Ltd | IT Services & Consulting | 2.73% | 0.94% |
| Reliance Industries Ltd | Refining & Marketing | 0.37% | -1.13 |
| Indus Towers Ltd | Telecom Infrastructure | - | -5.62% |
| Mahanagar Telephone Nigam Ltd | Telecom Services | - | -7.56% |
| ITI Ltd | Telecom Equipments | - | -8.46% |
| HFCL Ltd | Telecom Equipments | 0.19% | -11.32% |
| Sterlite Technologies Ltd | Telecom Equipments | - | -14.09% |
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 5G share price list is from 6th June 2024. This data is derived from the Tickertape Stock Screener.
🚀 Pro Tip: You can use Tickertape’s Stock Screener to research and evaluate stocks with over 200+ filters and parameters.
5G Related Stocks In India – 1-Year Return
| 5G Company Name | PB Ratio | Return on Equity (%) | 1Y Returns |
|---|---|---|---|
| ITI Ltd | 12.44 | -14.45% | 170.46% |
| Bharti Airtel Ltd | - | - | 124.54% |
| Indus Towers Ltd | 4.42 | 9.43% | 115.80% |
| Vodafone Idea Ltd | -1.38 | - | 112.77% |
| Mahanagar Telephone Nigam Ltd | -0.12 | - | 80.95% |
| Tejas Networks Ltd | 6.64 | -1.49% | 65.27% |
| HFCL Ltd | 4.73 | 10.10% | 40.42% |
| Reliance Industries Ltd | 2.42 | 7.77% | 27.20% |
| Tech Mahindra Ltd | 4.55 | 17.32% | 21.28% |
| Sterlite Technologies Ltd | 2.94 | 6.81% | -17.90% |
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 is from 6th June 2024. This data is derived from the Tickertape Stock Screener.
🚀 Pro Tip: You can use Tickertape’s Stock Screener to research and evaluate stocks with over 200+ filters and parameters.
Top 5G Stocks – Highest Day Volume
| 5G Company Name | Relative Volume | Highest Day Volume |
|---|---|---|
| Vodafone Idea Ltd | 1.49 | 745058401 |
| HFCL Ltd | 1.33 | 9331913 |
| Indus Towers Ltd | 1.28 | 8910910 |
| Reliance Industries Ltd | 1.34 | 3594150 |
| Mahanagar Telephone Nigam Ltd | 1.08 | 3238648 |
| Sterlite Technologies Ltd | 0.37 | 2592609 |
| Tech Mahindra Ltd | 0.95 | 1386032 |
| ITI Ltd | 0.58 | 844807 |
| Tejas Networks Ltd | 0.52 | 650236 |
| Bharti Airtel Ltd | 1.32 | 111990 |
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 is from 6th June 2024. This data is from the Tickertape Stock Screener.
🚀 Pro Tip: You can use Tickertape’s Stock Screener to research and evaluate stocks with over 200+ filters and parameters.
The Expected Market Size of the 5G Sector in India
As of 15th May 2024, 5G mobile subscriptions in India have crossed the 165 million mark and are expected to reach 860 million by the end of 2029. India has one of the highest average data usage per user in the world, paving the way for greater possibilities in the 5G sector in India.
Budget Allocations for the Telecommunications Sector in the Union Budget of 2024-25
Finance Minister Nirmala Sitharaman presented the seventh consecutive Union Budget, outlining the Modi government’s economic plans for the year. Here are a few budget allocations for the telecommunication sector that may be relevant for the 5G industry in India:
- The government allocated Rs. 1,11,876.67 cr. for the telecommunications sector in the interim budget. Rs. 82,916.20 cr. was designated for Bharat Sanchar Nigam Limited (BSNL). The proposed allocation for telecom projects and public sector firms under the Telecom Ministry totals approximately Rs. 1.29 lakh cr. The government’s non-tax revenue collection estimate from the telecom sector for 2024-25 remains at Rs. 1.2 tr., unchanged from the Interim Budget estimate and 28.5% higher than the revised target of Rs. 93,541 cr. for 2024-25. This estimate persists despite the June 5G spectrum auction, which netted Rs. 11,340.8 cr.
- For the 2024-25 budget, an additional Rs. 17,000 cr. will come from the Universal Service Obligation Fund (USOF) for various schemes, including compensation to telecom service providers, Bharatnet, and research & development.
- BSNL’s funds are earmarked for capital infusion, technology upgrades, restructuring, and a voluntary retirement scheme (VRS) for both BSNL and MTNL.
- The budget includes Rs. 17,510 cr. for pensionary benefits for Department of Telecommunications employees, including those absorbed by BSNL and MTNL since 1 April 2014. It has also allocated Rs. 3,668.97 cr. for MTNL bond payments.
What to Look for When Investing in 5G Stocks?
To select the right 5G stocks, focus on these key factors:
- Market Share and Customer Base: Check the popularity and reach of service providers of the 5G sector stocks in India.
- Network Coverage and Quality: Evaluate the reliability and extent of 5G services offered by the 5 G related company that may interest you.
- Innovation in Products and Solutions: 5G companies that offer unique and advanced 5G solutions.
- Financial Health and Growth Prospects: Examine the 5G company’s financial stability and potential for growth.
- Strategic Partnerships: Consider alliances with other industry players that allows 5G companies to build a strong foothold and enhance ecosystem presence.
To Wrap It Up…
India leads in adopting 5G technology, providing ample growth prospects for investors. Key players in the Indian 5G market are Reliance Jio, Bharti Airtel, Vodafone Idea, MTNL, Tech Mahindra etc. However, investing in this sector entails risks, and it’s essential to conduct thorough research and evaluate your risk tolerance before investing.
Frequently Asked Questions About 5G Stocks in India
The following are the top 5G stocks based on their 1-year returns:
1. ITI Ltd
2. Bharti Airtel
3. Tejas Networks Ltd
4. Vodafone Idea Ltd
5. Mahanagar Telephone Nigam Ltd
Note: This data in this 5G network share price list is from 7th June 2024.
5G enhances city infrastructure by connecting sensors through the IoT, improving traffic flow and air quality. However, future advancements will likely revolutionise this field further.
Here are the top 5G infrastructure companies in India sorted according to their market capitalisation:
1. Reliance Industries Ltd
2. Bharti Airtel
3. Tech Mahindra Ltd
4. Vodafone Idea Ltd
5. Indus Towers Ltd
Note: This list’s data was taken on 7th June 2024.
Discover Other Collections:
Keep yourself informed and up-to-date on a variety of thematic sectors by reading the articles below:
