Top Blue Chip Stocks NSE List in India (2024)

When it comes to stock market investments, blue chip stocks have always been a symbol of stability and reliability. The best blue chip stocks in India provide investors with a proven track record of consistent performance, robust business models, and significant market influence. What makes blue chip stocks in India particularly attractive is their ability to weather economic downturns and emerge stronger. For instance, post-pandemic, many blue-chip companies rebounded quickly, with some even reaching all-time highs as the market recovered. In this blog, we’ll take you through the blue chip stocks list and explain the features, benefits and and factors affecting blue chip stocks.

List of Best Blue Chip Stocks in India 2024

Here is a list of blue chip stocks in India sorted according to their price-to-intrinsic value rank and other fundamentals like Percentage Buy Reco’s and PE Ratio:

Company Name	Sub-Sector	Market Cap (in Cr)	Stock Price	PE Ratio (%)	Percentage Buy Reco's (%)	Price to Intrinsic Value Rank
Adani Enterprises Ltd	Commodities Trading	3,40,449.93	2937.85	105.09	100	97.37
Indusind Bank Ltd	Private Banks	111818.08	1421.2	12.45	90	85.96
State Bank of India	Public Banks	6,98,484.79	768.6	10.41	75	84.59
Mahindra and Mahindra Ltd	Four Wheelers	3,22,323.43	2654.25	28.60	91.89	80.45
Adani Ports and Special Economic Zone Ltd	Ports	3,13,954.59	1430.6	38.70	93.33	80.2
Coal India Ltd	Mining - Coal	3,02,651.58	483.95	8.09	75	73.81
Reliance Industries Ltd	Oil & Gas - Refining & Marketing	19,77,680.55	2903	28.40	71.42	71.55
Axis Bank Ltd	Private Banks	3,67,123.717	1186.1	13.91	76.19	70.05
Hindalco Industries Ltd	Metals - Aluminium	1,47,554.24	647.7	14.53	95.65	69.92
Oil and Natural Gas Corporation Ltd	Oil & Gas - Exploration & Production	3,71,873.05	285.3	7.55	72	68.17

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 in the blue chip stocks list is from 12th September 2024. This data is derived from Tickertape Stock Screener.

• Stock universe – Nifty 50 
• Market capitalisation – Large cap
• Percentage Buy Reco’s – High
• Price to Intrinsic Value – Sorted from highest to lowest

🚀 Pro Tip: You can use Tickertape’s Stock Screener to research and evaluate stocks with over 200+ filters and parameters.

Top 10 Blue Chip Stocks in India

Here is the overview of the top 10 list of blue chip companies in India

Adani Enterprises Ltd

Adani Enterprises Limited is a prominent infrastructure conglomerate with diverse interests across several key sectors. The company’s operations include coal trading, coal mining, oil and gas exploration, ports, multi-modal logistics, as well as power generation, transmission, and gas distribution. Over the past five years, the company’s revenue has expanded at an annual rate of 18.77%, vastly outperforming the industry average of 4.35%. Additionally, Adani Enterprises has seen its market share nearly double, rising from 35.53% to 68.46% over the same period, underscoring its growing dominance and strategic success in the infrastructure sector.

Indusind Bank Ltd

Indusind Bank Limited is engaged in banking and para-banking services. The Bank is involved in accepting deposits, such as savings accounts, current accounts and fixed deposits, and banking solutions. The company’s revenue has grown at a yearly rate of 15.12%, higher than the industry average of 12.11%, over the past 5 years. In the same period, the company’s market share increased from 4.92% to 5.66%.

State Bank of India

State Bank of India is a well-known blue chip company in India. It is a public sector bank providing a range of products and services to personal, commercial enterprises, large corporates, public bodies and institutional customers. The company’s return on equity (ROE) is 16.72% and its net profit margin is 11.28%. The stock has a market capitalisation of ₹7,39,493 crores and is ranked 6th.

Mahindra and Mahindra Ltd

Mahindra and Mahindra Limited is a leading manufacturer specialising in passenger cars, commercial vehicles, and tractors. The company has demonstrated robust financial health over the past five years, maintaining a current ratio of 130.36%, which is above the industry average of 102.81%. As of September 12, 2024, Mahindra and Mahindra Limited has a market capitalisation of ₹3,22,323.431, reflecting its strong market position and significant presence in the automotive and agricultural sectors.

Adani Ports and Special Economic Zone Ltd

Adani Ports and Special Economic Zone Limited is a leading player in the port infrastructure sector, focusing on the development, operation, and maintenance of port and port-related facilities. The company is poised for significant growth, with an expected earnings increase of 34.09% for the upcoming year, surpassing its three-year compound annual growth rate (CAGR) of 15.17%. As of the latest figures, Adani Ports and Special Economic Zone Limited holds a market capitalisation of ₹3,13,954.5, reflecting its substantial role and growing influence within the port infrastructure industry.

Coal India Ltd

Coal India Limited (CIL) is a holding company. The Company is engaged in the production and sale of coal. It serves power and steel sectors, as well as cement, fertilizer, brick and kilns industries, among others. The company’s revenue has grown at a yearly rate of 9.92% over the past 5 years, which is equal to the industry average. Additionally, the company’s market share has remained 100% during the same period.

Reliance Industries Ltd

Reliance Industries Limited is a major conglomerate engaged in refining and manufacturing a wide range of products, including refined petroleum, petrochemicals, basic chemicals, fertilizers, nitrogen compounds, plastics, and synthetic rubber. The company is projected to deliver a return of 16.67% from its current price level, surpassing its three-year compound annual growth rate (CAGR) of 11.29%. Additionally, Reliance Industries is expected to achieve an earnings growth of 18.23% for the upcoming year, exceeding its past three-year CAGR of 13.05%. Over the last five years, the company has seen its revenue grow at an annual rate of 9.69%, outpacing the industry average of 8.87%. During the same period, Reliance Industries has increased its market share from 32.13% to 33.37%, highlighting its ongoing expansion and competitive strength in its sector.

Hindalco Industries Ltd

Hindalco Industries Limited is an aluminium rolling company. As a recognised blue chip company in India, they are a producer of aluminium and copper. The company’s revenue has grown at a yearly rate of 13.64%, higher than the industry average of 12.97%, over the last 5 years. In the same period, the company’s market share has increased from 89.99% to 92.51% and the company’s net income has grown at a yearly rate of 10.67%, which is also higher than the industry average of 7.48%.

Oil and Natural Gas Corporation Ltd

Oil and Natural Gas Corporation Limited (ONGC) is a prominent global energy holding company specialising in the exploration, development, and production of crude oil and natural gas. Over the past five years, ONGC has maintained a debt-to-equity ratio of 48.95%, which is slightly better than the industry average of 49.36%. The company currently has a market capitalisation of ₹3,71,873.0533, reflecting its substantial standing and influence in the energy sector.

How to Invest in Bluechip Stocks via smallcase

One can buy blue chip shares individually or by buying mutual funds or exchange-traded funds (ETFs) that invest in blue-chip stocks. Funds and ETFs may occasionally own a range of equities and asset types, including Indian bluechip stocks. Other times, the funds or ETFs may only invest in blue chip companies India.

You can also invest in a basket of blue chip stocks via smallcase. Simply go to smallcase.com or the smallcase app, and login via your phone number. Then, go to ‘Discover‘ and enter ‘bluechip‘ in the search bar and hit enter. You’ll find an array of stock portfolios that have bluechip companies. Just pick the one that fits your investment criterion. Here are a few examples of blue chip smallcases:

• Blue-Chip Value Mix: This smallcase managed by StoxBazar and its objective is combining reliable, established and well-known blue chip companies.
• Quantace Bluechip Freedom (Monthly Picks): This smallcase managed by Quantace Research is a basket of stocks and ETFs to out-perform NIFTY (Rec Size:5+ lakh).

Blue-Chip Value Mix smallcase by StoxBazar

Quantace Bluechip Freedom (Monthly Picks) smallcase by Quantace Research

Make sure you do your diligent research before picking the right stock, considering your long-term investment goals and risk appetite. 

• Disclaimer for Blue-Chip Value Mix smallcase.
• Disclaimer for Quantace Bluechip Freedom (Monthly Picks) smallcase.

What are Blue Chip Stocks in India?

Shares of very large, well-known corporations with a track record of reliable financial success are known as “blue chip stocks.” A company that issues blue chip stocks on the NSE is called a blue chip company. These stocks have a reputation for being able to withstand challenging stock market fluctuations caused by economic challenges.

Features of Blue Chip Stocks (India)

A glance at the historical performance of the companies in the blue chip stocks list reveals their ability to weather market volatility while delivering consistent dividends and growth. Here are some of the features of the best blue chip stocks in India.

• Provides Stable Returns

Blue chip stocks are financially sound and usually dependable when it comes to stable returns. While blue chip stocks may not offer high returns as small-cap and mid-cap firms, they offer reliable returns, assist with portfolio diversification, and reduce risk.

• Offer Regular Dividends

Blue chip shares regularly distribute quarterly or yearly dividends to their shareholders. Even though the dividend payout might vary depending on the organisation’s performance and its expansion goals, dividends are meant to reward the shareholders for their investments and faith in them.

• Offers Safety From Risk

Due to their strong financial standing, superior management, and reduced debt, blue chip stocks on the NSE are often less volatile than mid-cap and small-cap stocks. Blue chip companies are typically debt-free or have low debt levels, which is why they only have a limited influence during market volatility or market corrections.

• Ideal for Long-Term Investors

Blue chip firms are better investments if you have a longer time horizon since they offer stability amidst market fluctuations.

Who Should Invest in Blue Chip Companies?

Blue chip stocks in India can be considered a desirable investment opportunity for risk-averse and long-term investors. Blue chip shares in India are known for their market credibility and low-risk factor, making them ideal for conservative, risk-averse investors.

Benefits of Investing in Blue Chip Stocks

Investing in a blue chip company offers several benefits to investors, including stability, steady dividends, and long-term growth potential. These companies are typically leaders in their sectors and have strong financial health. Some of these benefits include:

• Dividends as Passive Income

Regardless of market conditions, blue chip companies pay regular dividends to their shareholders, and it can be considered one of the great ways to earn passive income. 

• Stable & Diversified Portfolio

Blue chip shares are not as fluctuating as other securities and require the least effort from you, and you do not have to track the stock price regularly.  

• Ideal for Long-Term Investment

You can add blue chip stocks with strong fundamentals and future growth to achieve a diversified portfolio. Your asset allocation in the portfolio relies on your risk appetite. If you are a conservative investor who does not want to take much risk, then you can allocate most of your capital to blue chip stocks.

Risks Associated with Investing in Blue Chip Stocks

While even the best blue chip stocks in India are often considered safe and reliable, especially for long-term investments, they are not entirely free of risks. Here are some key risks associated with investing in blue-chip stocks:

• Slower Growth: Blue-chip companies are usually mature and well-established, which means their growth potential may be limited compared to smaller, high-growth companies. While they offer stability, investors may find fewer opportunities for rapid capital appreciation. This can be a disadvantage if you are seeking higher returns over a shorter period.
• Dividend Cuts: Many investors look to blue-chip stocks for consistent dividends, but there is no guarantee that dividends will always be paid. If a company faces financial challenges, economic headwinds, or shifting business conditions, it might reduce or eliminate its dividend payments. This can particularly hurt income-seeking investors who rely on regular payouts.
• Overvaluation: Blue-chip stocks, due to their perceived safety, can sometimes become overvalued. When investors flock to such stocks during uncertain times, their prices may rise disproportionately compared to the company’s earnings growth. Overpaying for a stock can limit future returns and increase the downside risk if the market corrects.

Factors Affecting Blue Chip Stocks

Several factors can significantly impact the performance of blue chip stocks on the NSE:

• Economic Conditions

The economic environment is pivotal in blue chip stock performance. These companies generally thrive in robust economies due to their stable revenue streams and growth opportunities. Conversely, economic downturns can marginally affect their performance.

• Company Fundamentals

The financial health of the blue chip company is a critical determinant. Metrics like earnings reports, revenue growth, profit margins, and debt levels all contribute to stock performance.

• Interest Rates

Changes in interest rates can alter the appeal of stocks from the blue chip company list. Higher interest rates can make bonds and other fixed-income investments more attractive, potentially diminishing stock demand.

• Market Sentiment

Investor sentiment and market psychology exert a significant influence. Positive developments, such as robust earnings reports or successful product launches, can increase stock prices. Conversely, negative news, such as scandals or legal issues, can have adverse effects.

• Industry Trends

Industry-specific factors are instrumental in blue-chip stock performance. Technological advancements, shifts in regulations, and changes in consumer preferences can impact blue-chip companies’ competitive positions and growth prospects.

To Wrap It Up…

Blue chip investments can provide a safe and reliable source of returns for long-term investors. These stocks have a proven track record of financial stability and consistent growth, making them a popular choice for many investors. While there are some drawbacks to consider, blue chip shares in India can provide a solid foundation for a well-diversified investment portfolio. As with any investment, it’s important to do your due research.

Frequently Asked Questions About Blue Chip Stocks