Best Growth Stocks to Buy in NSE: Fast-Growing Shares This Year
Investing in growth stocks can be a highly rewarding strategy for long-term investors seeking to capitalise on companies with the potential for substantial financial performance improvement over time. As we look towards 2024, the Indian stock market presents several compelling opportunities in various sectors poised for significant growth. For investors in India considering long-term investments for 2024, focusing on best growing stocks in India requires a strategy that combines a keen eye for market dynamics with patience and a tolerance for risk. In this article, we will explore some of the best growth stocks in India for 2024, how to identify them for your portfolio, risks associated with growth stocks, and more.
Trending Growth Stocks List in 2024
Here’s a list of the best high growth stocks in India for 2024. These are the best shares to buy for growth and represent some of the high growth companies in India that have the potential to perform well:
| symbol | Company | ticker | slug | Sector | Market Price | 52W High | 52W Low | Market Cap (Cr.) | PE Ratio | Industry PE | PB Ratio | Div. Yield (%) | ROE (%) | 1YReturns | 3YReturns | 5YReturns | Market Cap Label | Industry Group | Industry | Sub Industry | percentageChange |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| AHLU | Ahluwalia Contracts (India) Ltd | AHLUCONT | /stocks/ahluwalia-contracts-india-AHLU | Construction & Engineering | 1,055.50 | 1,542.45 | 747.80 | 7,077.27 | 18.88 | 49.02 | 4.42 | 0.05 | 26.51 | 32.35 | 160.71 | 265.22 | Smallcap | Capital Goods | Construction & Engineering | Construction & Engineering | -3.13 |
| CAPL | Caplin Point Laboratories Ltd | CAPLIPOINT | /stocks/caplin-point-laboratories-CAPL | Pharmaceuticals | 2,397.15 | 2,539.85 | 1,225.00 | 18,238.49 | 39.90 | 51.73 | 7.77 | 0.21 | 21.49 | 68.68 | 194.62 | 693.63 | Smallcap | Pharmaceuticals, Biotechnology & Life Sciences | Pharmaceuticals | Pharmaceuticals | 0.08 |
| ECLE | eClerx Services Limited | ECLERX | /stocks/eclerx-services-ECLE | Outsourced services | 3,625.75 | 3,877.00 | 2,114.00 | 17,048.37 | 33.33 | 36.03 | 7.58 | 0.03 | 25.79 | 38.61 | 129.54 | 878.48 | Smallcap | Commercial & Professional Services | Software | Data Processing & Outsourced Services | -2.03 |
| GMMP | GMM Pfaudler Ltd | GMMPFAUDLR | /stocks/gmm-pfaudler-GMMP | Industrial Machinery | 1,211.40 | 1,663.40 | 1,143.10 | 5,451.30 | 30.47 | 49.02 | 5.60 | 0.16 | 20.03 | -23.92 | -24.07 | 94.62 | Smallcap | Capital Goods | Machinery | Industrial Machinery & Supplies & Components | -1.47 |
| JIST | Jindal Stainless Ltd | JSL | /stocks/jindal-stainless-JIST | Iron & Steel | 730.05 | 848.00 | 513.50 | 60,196.54 | 22.19 | 29.55 | 4.19 | 0.41 | 20.60 | 31.03 | 279.05 | 1,857.24 | Midcap | Materials | Metals & Mining | Steel | 0.52 |
| MANI | Man Infraconstruction Ltd | MANINFRA | /stocks/man-infraconstruction-MANI | Construction & Engineering | 233.95 | 250.00 | 167.16 | 8,788.26 | 29.26 | 49.02 | 5.79 | 0.68 | 22.57 | 13.68 | 141.56 | 1,404.50 | Smallcap | Capital Goods | Construction & Engineering | Construction & Engineering | 4.39 |
| MARK | Marksans Pharma Ltd | MARKSANS | /stocks/marksans-pharma-MARK | Pharmaceuticals | 293.70 | 358.70 | 130.00 | 13,322.09 | 42.47 | 51.73 | 6.39 | 0.20 | 16.29 | 85.07 | 402.05 | 1,718.58 | Smallcap | Pharmaceuticals, Biotechnology & Life Sciences | Pharmaceuticals | Pharmaceuticals | -1.19 |
| MGAS | Mahanagar Gas Ltd | MGL | /stocks/mahanagar-gas-MGAS | Gas Distribution | 1,248.55 | 1,988.00 | 1,075.25 | 12,344.64 | 9.67 | 21.91 | 2.40 | 2.40 | 27.54 | 4.92 | 47.16 | 19.52 | Smallcap | Utilities | Gas Utilities | Gas Utilities | -0.77 |
| SHAD | Sharda Motor Industries Ltd | SHARDAMOTR | /stocks/sharda-motor-industries-SHAD | Auto Parts | 1,847.45 | 2,952.10 | 1,165.05 | 5,307.94 | 17.72 | 38.53 | 5.28 | 0.56 | 33.97 | 46.66 | 130.00 | 792.06 | Smallcap | Automobiles & Components | Auto Components | Automotive Parts & Equipment | -1.13 |
| UTK | Utkarsh Small Finance Bank Ltd | UTKARSHBNK | /stocks/utkarsh-small-finance-bank-UTK | Diversified Financials | 35.01 | 68.30 | 34.65 | 3,860.33 | 7.76 | 17.61 | 1.30 | 1.42 | 20.01 | -33.94 | -27.06 | -27.06 | Smallcap | Banks | Diversified Financial Services | Diversified Banks | -0.14 |
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 this growth stocks list in India is subject to real-time updates.
What are Growth Stocks?
Growth shares exhibit a growth rate that is much higher than the market’s average growth rate. This means these high growth stocks NSE grow faster than the market’s average stock, which causes earnings to increase faster. This makes them attractive for investors looking for stocks for future growth. These future growing stocks don’t pay dividends.
Many small-cap stocks are considered fast-growing in India, but even some larger growth companies in India exhibit significant potential. Now that we know what is a growth stock, let’s look at some of the top companies that have experienced share growth.
Why Invest in Growth Stocks?
- Higher Capital Growth: Fast growing stocks in India can provide higher capital appreciation compared to other types of stocks.
- Faster Expansion: High growth companies in India expand at a rate much faster than the industry average, offering significant growth potential.
- Wealth Multiplication: Investing in the best growing stocks in India can multiply your wealth both in the short and long term.
- Outperform Inflation: Your investment in the best growth stocks in India may outperform inflation, delivering real growth when considering the growth rate minus inflation.
- Long-Term Gains: With optimal market conditions, your money can double over time through compounding with the highest growing stocks in India.
- Investment Goals & Risk: Always align your investment choices with your goals and risk appetite, and conduct thorough research on the market and stock performance before investing in high potential stocks in India.
Investing in High Growth Stocks in India via smallcase
You can also invest in a basket of fast growing stocks in India via smallcase. Simply go to smallcase.com or the smallcase app, and log in using your phone number. Then, go to ‘Discover‘ and click on ‘All smallcases‘. There you can filter the smallcases based on ‘investment strategy’ by selecting ‘growth’. You’ll find an array of stock portfolios that are based on the growth investing strategy. Thus, just pick the fastest growing company in India that fit your investment criterion.
Make sure that you do your diligent research before picking the best growth stocks India 2024, keeping in mind your long-term investment goals and risk appetite.
How to Invest in Growth Shares?
Top growing stocks in India can be valuable to any investment portfolio, providing diversification and potential returns.
One way to invest in fast growing stocks in India is through traditional stock market investing. Therefore, this involves researching individual companies and buying shares of stock directly. This involves researching individual growing companies in India to invest in and buying shares of stock directly. Another way to invest is via exchange-traded funds (ETFs). Investors can choose from various growth-oriented ETFs, which provide exposure to a diversified portfolio of growth companies.
Mutual funds are another option for investing in the best growth stocks to buy now in India. These are professionally managed investment portfolios that pool money from multiple investors to buy a diversified portfolio of stocks. Like ETFs, there are a variety of mutual funds that focus on growth investing.
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
How to Identify Growth Stocks?
You can easily identify the best future stocks in the growth industry by following these factors.
- High Growth Potential: You can look for the fastest-growing stocks in India, including top return shares, that have a history of high revenue and earnings growth.
- Strong Market Position: Identify future growth stocks that have a dominant position in their industry and a strong competitive advantage.
- Innovative Products/Services: Look for companies that have a pipeline of innovative products or services that have the potential to disrupt their industry. These are often often some of the most growing shares in India.
- Experienced Management Team: Companies with experienced and competent management teams are better positioned to navigate market challenges and drive growth.
- Large and Expanding Market Opportunity: Identify the best growth stocks for the next 10 years in India by researching the companies operating in markets with significant potential for growth.
Features of Fast Growing Shares?
Some of the features of the best stocks in the industry have been listed below:
- Risky Investment: Fast growing stocks in India, including the most growing share in India, have a higher potential for future returns, but they also carry a higher risk than other investing categories like value stocks or corporate bonds. The primary threat is that the actual or anticipated growth won’t carry over into the future.
- High P/E Ratio: Growth shares, including the top 10 growth stocks in India, often trade at a high price-to-earnings (P/E) ratio. Thus, they might not be making money right now, but they might.
- P/E ratio = market value per share / earnings per share
- High PEG Ratio: Price earnings to growth ratio is a ratio that is taken into consideration to evaluate a growth stock or high return stocks in India. The key benefit of PEG ratio over P/E ratio is that it accounts for the annual increase in the overall profits per share of a company. A high PEG ratio suggests that a company has performed very well.
- High RoE: Companies in India that raise money through high growth stocks in India often have a record annual return on total equity. The higher the RoE, the more valuable these best growing stocks in India become for investors.
Who Should Invest in Growth Stocks?
Investing in the top 10 high growth stocks in India offers a pathway to capitalise on some of the most growing shares with the highest growth stocks potential. Therefore, for individuals willing to weather market fluctuations in exchange for the potential of substantial returns, growth stocks can be a strategic addition to their investment portfolio.
Risk-Takers
Investing in high growth stocks in India is tailored for individuals who are inclined towards risk and seek substantial returns on their overall investment. These stocks, often seen among the fastest growing companies in India, are characterised by their potential for significant capital appreciation. Investors looking for the best future stocks in India, including high CAGR stocks, can find opportunities in these dynamic markets.
Long-Term Investors
Ideal candidates for growth stock investment are investors prioritising long-term wealth accumulation over immediate income generation. Since high growth stocks India often reinvest profits into the company rather than distributing dividends, they align with the objectives of individuals seeking wealth appreciation through capital gains. This approach is particularly appealing when investing in a fast-growing company in India that shows promise for future growth.
Investors Interested in Strong Fundamentals
Those keen on company analysis and market trends can identify the top growing companies in India and their issuing entities. Identifying emerging stocks in India or pinpointing the highest growing share in India in the future requires a deep dive into market performance and company fundamentals.
What are the Alternate Options for Growth Stocks?
Growth stocks, including high return shares, are highly volatile and are only meant for people with a high-risk appetite. Investors who don’t see growth shares fit in their portfolio can look at value stocks.
Shares of companies that are trading at a discount are known as value stocks. Value stocks often have strong dividend payout ratios and the price of the stocks is typically lower compared to other stock categories since they are undervalued.
Some investors are also exploring fundamentally strong penny stocks as an alternative. These stocks, while smaller in value, show strong financial health and growth potential that could be a hidden gem in the market.
What are the Risks of Investing in Growth Shares?
Let’s have a look at the potential risks of future stocks to invest in the growth industry.
- Volatility and risk of price fluctuations due to market conditions and changes in investor sentiment.
- Dependence on market conditions that can affect the company’s growth potential.
- Possibility of market saturation as competition increases and growth slows down.
- Risk of overvaluation, where the company’s stock price becomes detached from its fundamentals.
What are the Advantages of Investing in High Growth Stocks?
Whether it’s the fastest growing shares in India or the best growing company in India, growth shares represent a vital component for those focusing on the long term. Here is a list of advantages of investing in the best future stocks of the growth industry.
- Potential for high returns on investment as a result of the company’s strong growth trajectory.
- Diversification of portfolio with exposure to different industries and sectors.
- Protection against inflation as the company’s earnings grow over time.
- Long-term growth potential for sustained returns.
How to Build a Growth-Oriented Investment Portfolio?
- Fundamental analysis to evaluate the company’s financial health, management, and competitive advantage.
- Technical analysis to identify trends and patterns in the company’s stock price
- Growth investing strategies that focus on high-growth companies with a long-term perspective
- Value investing strategies that focus on undervalued companies with strong fundamentals
However, investors must do their own research and/or consult their financial advisor before investing in the best growing shares in India.
To Wrap It Up…
In conclusion, investing in growth stocks or stocks with low value and high growth prospects can be a lucrative strategy for investors looking to maximise their returns over the long term. Therefore, with the right research and strategy, investors can potentially capitalise on the growing share price of these high-growth stocks in India. In the search for top growing stocks in India, it’s important to also consider fundamentally good penny stocks. These stocks, while undervalued, offer excellent growth potential driven by solid earnings, low debt, and favourable market conditions.
FAQs About the Growth Stocks in India
The following are the fastest growing stocks in India 2024. These are some of the best shares to buy for long term in India are:
1. Ahluwalia Contracts (India) Ltd
2. Man Infraconstruction Ltd
3. Mahanagar Gas Ltd
Note: This list of the best growth stocks for 2024 India is for educational purposes only and is not recommendatory.
Value stocks are typically better for investors seeking stability and long-term returns, while growth stocks are ideal for those looking for higher potential returns but with increased risk. The choice depends on your investment goals and risk tolerance.
Evaluating each stock individually and carefully assessing valuations is essential. Many growth stocks have rebounded strongly this year, exceeding expectations, but investors must remain cautious and select the best stocks for their portfolios.
Investing in growth stocks, including the best return stocks, can suit investors seeking faster wealth growth but comes with higher risk. It’s important to assess your investment goals and risk tolerance before choosing the best long-term shares.
Growth stocks offer the potential for high returns, mainly through long-term capital gains, but returns are not guaranteed. Investors should assess both opportunities and risks before investing in top growth stocks for the next decade in India.
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