Monopoly Stocks

Monopoly Stocks – Best Monopoly Shares in India

The below table shows the monopoly stocks in India based on the percentage of market share they occupy.

Monopoly StockPercentage of Market ShareMarket Capitalization( Cr)Current Price (₹)
ITC77% in cigarettes523,098.42419.10
Coal India82% in coal production255,907.29415.25
Nestle96.5% share in cerelac industry251,032.782,603.65
HAL100% in defence manufacturing207,260.063,099.10
Pidilite Industries70% share in adhesive145,869.162,868.00
Hindustan Zinc78% in zinc industry122,280.73289.40
BHEL67% in the power equipment sector75,473.72216.75
IRCTC100% in ticketing business73,000.00912.50
Marico73% in oil products64,665.19500.15
CONCOR68.52% in cargo carrier52,749.66865.75
APL Apollo50% share in pre-galvanised and structural tube industry40,926.551,474.70
CDSL59% in depository business17,970.871,719.70
MCX92% in India’s commodities exchange sector16,586.943,258.55
CAMS70% within the mutual fund industry14,717.382,994.80
IEX95% of short-term electricity contracts in India12,169.08136.85
Praj Industries60% in ethanol plant installation industry8,450.81459.75

In this article, we are going to learn about what is monopoly, its types, and the top monopoly stocks in India.

Content:

What is Monopoly?

According to Irving Fisher’s definition, a monopoly is a market in which there is “no competition,” which results in a circumstance wherein one particular person or business is the exclusive provider of a particular good or service. 

Since we are on the topic, let’s also look at the question of what is monopoly market. Monopoly markets are ones in which one firm has complete control over the supply and pricing of a good or service. When only one vendor controls all of a product’s supply, the market is said to be a monopoly.

Types of Monopoly

It’s quite ironic that the word monopoly has different types, but to name a few, we have broadly classified monopoly into seven different types.

  1. Simple Monopoly

Simple monopoly exists when there are no other suppliers of the good or service in question. The product or service must also be unique or otherwise difficult to replicate. When selling to its customers, a simple monopoly corporation always maintains a consistent price for its goods.

  1. Pure Monopoly

A pure monopoly is a single vendor in a market or industry with substantial entry barriers, such as high establishment costs, whose product has no substitutes. Microsoft Corporation was the first to have a monopoly on personal computer operating systems.

Pure monopoly is a rare occurrence. Buyers will have to accept pure monopoly pricing, no matter how unfair it is.

  1. Natural Monopoly

Natural monopoly is a situation that originates from natural causes. It also shares monopoly features such as the production of a unique good, price and quantity difference, and entry restrictions, among others. Natural monopoly provides the industry with the distinct advantage of producing the product at a lower cost. This particular instance aids them in gaining a larger share of the market.

  1. Legal Monopoly

A legal monopoly exists when a single company has exclusive rights to produce a good or service by virtue of intellectual property protections like patents, trademarks, or copyrights. Since the monopolist developed the product (or method), it has a virtual monopoly on the market. By extending the time it takes for companies to recover the substantial investments they make in research and development, patents help them remain competitive.

  1. Public or Government Monopoly

A public monopoly is a government monopoly established to provide a vital service or good. The following are some of the reasons why the government establishes monopolies:

  • The production and shipping costs are too high.
  • To have one reliable and helpful provider is seen as better for the public good.

When the government takes over industry in the name of the people, it forms a public monopoly.

  1. Discriminating Monopoly

When a monopoly business decides to charge different prices to different groups of customers, it is said to be discriminating. An online store might provide different prices for customers in different PIN codes, with more affluent areas being charged a higher rate.

  1. Imperfect Monopoly

A single company that makes a good that has no close substitutes is an imperfect monopoly. In imperfect monopolies, it is easier for buyers to switch to a close substitute than in a pure monopoly. In the real world, this market is pretty common.

Best Monopoly Shares in India – 1Y Return

The below table shows the Best Monopoly Shares in India based on the 1Y Return.

StocksMarket Cap (₹ Cr)Closing Price (₹)1Y Return
Bharat Heavy Electricals Ltd75,473.72216.75188.62
Hindustan Aeronautics Ltd207,260.063,099.10122.69
Coal India Ltd255,907.29415.2588.84
Central Depository Services (India) Ltd17,970.871,719.7077.16
Indian Railway Catering and Tourism Corporation Ltd73,000.00912.5050.66
Container Corporation of India Ltd52,749.66865.7546.76
Praj Industries Ltd8,450.81459.7537.40
Pidilite Industries Ltd145,869.162,868.0024.08
APL Apollo Tubes Ltd40,926.551,474.7023.04
ITC Ltd523,098.42419.1010.46

Monopoly Stocks in India – 1M Return

The below table shows the Monopoly Stocks in India based on the 1M Return.

StocksMarket Cap (₹ Cr)Closing Price (₹)1M Return
APL Apollo Tubes Ltd40,926.551,474.707.75
Pidilite Industries Ltd145,869.162,868.007.07
Hindustan Aeronautics Ltd207,260.063,099.106.06
ITC Ltd523,098.42419.101.75
Bharat Heavy Electricals Ltd75,473.72216.75-0.72
Indian Railway Catering and Tourism Corporation Ltd73,000.00912.50-4.06
Container Corporation of India Ltd52,749.66865.75-8.54
Coal India Ltd255,907.29415.25-8.78
Praj Industries Ltd8,450.81459.75-10.12
Central Depository Services (India) Ltd17,970.871,719.70-10.72

Monopoly Stocks List – PE Ratio

The below table shows the Monopoly Stocks List based on the PE Ratio.

StocksMarket Cap (₹ Cr)Closing Price (₹)PE Ratio
Bharat Heavy Electricals Ltd75,473.72216.75-598.49
Coal India Ltd255,907.29415.259.6
ITC Ltd523,098.42419.1025.61
Praj Industries Ltd8,450.81459.7533.1
Hindustan Aeronautics Ltd207,260.063,099.1039.52
Container Corporation of India Ltd52,749.66865.7546.97
APL Apollo Tubes Ltd40,926.551,474.7056.24
Central Depository Services (India) Ltd17,970.871,719.7057.75
Indian Railway Catering and Tourism Corporation Ltd73,000.00912.5074.49
Pidilite Industries Ltd145,869.162,868.0084.64

Monopoly Shares in India –  Highest Daily Volume

The below table shows the Monopoly Shares in India based on the Highest Daily Volume.

StocksMarket Cap (₹ Cr)Closing Price (₹)Daily Volume
ITC Ltd523,098.42419.1073,253,754.00
Bharat Heavy Electricals Ltd75,473.72216.7552,563,647.00
Coal India Ltd255,907.29415.2525,435,001.00
Indian Railway Catering and Tourism Corporation Ltd73,000.00912.503,393,550.00
Hindustan Aeronautics Ltd207,260.063,099.102,864,705.00
Container Corporation of India Ltd52,749.66865.752,284,557.00
Praj Industries Ltd8,450.81459.751,039,404.00
Central Depository Services (India) Ltd17,970.871,719.70864,617.00
APL Apollo Tubes Ltd40,926.551,474.70540,429.00
Pidilite Industries Ltd145,869.162,868.00469,743.00

Looking for the Best Stocks in different sectors? Check out the following articles:

Best Banking Stocks in India
Best Blue Chip Stocks in India
Top 10 FMCG Companies in India
Top Pharma Companies in India
Best IT Sector Stocks
Agricultural Stocks in India
Best Auto Sector Stocks in India
Best Renewable Energy Stocks in India
Best Insurance Stocks to buy in India 2024
Best Hotel Stocks in India
Fertilizer Stocks in India

Introduction to Monopoly Businesses in India

IRCTC

The Indian Railway Catering and Tourism Corporation, also known as IRCTC, is a Mini Ratna (Category-I) Central Public Sector Enterprise that falls under the purview of the Ministry of Railways in the Indian government. 

The Indian Railway Catering and Tourism Corporation (IRCTC) was established on September 27, 1999, as an extension of the Indian Railways with the goals of modernizing, professionalizing, and managing the catering and hospitality services provided at stations, on trains, and other locations; promoting domestic and international tourism through the development of budget hotels, unique tour packages, information, and commercial publicity; and global reservation systems. The IRCTC was established as an extension of the Indian Railways.

HAL

Hindustan Aeronautics is in the business of manufacturing aircraft and helicopters, as well as repairing and maintaining aircraft and helicopters. Its customers can expect these services from the company.

Because it is the only Indian firm specializing in aircraft production and providing its Maintenance and related services, HAL plays a pivotal position in India’s defense program. This is due to the fact that HAL is the only Indian company that possesses these capabilities.

Coal India

The primary activities of Coal India Ltd. include the mining and production of coal, as well as the operation of coal washeries. The electricity and steel industries are the company’s primary markets for its products. Consumers from other industries include those in the cement, fertilizer, and brick kiln industries, among others.

ITC

ITC was founded in 1910 and has since grown to become the most successful cigarette manufacturer and retailer in the country. At the moment, ITC conducts its operations within the following five business categories: FMCG Cigarettes, FMCG Others, Hotels, Paperboards, Paper and Packaging, and Agri-Business.

With a market share that is greater than 80 %, ITC is the dominant player in the organized domestic cigarette market. It offers a diverse selection of brands, some of which include Insignia, India Kings, Classic, Gold Flake, and American Club, amongst others.

Pidilite Industries

Pidilite Industries Limited is a market leader in India when it comes to the production of adhesives and sealants, construction chemicals, products for craftsmen and do-it-yourselfers, as well as polymer emulsions. The majority of the goods have been developed through extensive research and development conducted in-house. 

There are millions of people in India who associate the word Fevicol with adhesives, and our company is consistently listed among the most trusted brands in the country. M-Seal, Fevikwik, Fevistik, Roff, Dr. Fixit, Fevicryl, Motomax, Hobby Ideas, and Araldite are some of the other well-known brands that we carry.

CONCOR

Container Corporation Of India (CONCOR) is in the business of providing inland transportation of containers through rail. This is their primary line of business. It also develops cold chains, manages air cargo complexes, and includes port management.

Praj Industries

The Praj Industries Ltd. company was established in 1985 and has its headquarters in Pune. They have a presence all over the world with more than 750 references in more than 75 different countries. It started out as a supplier for an ethanol plant, but today it has grown into a global firm that offers a variety of solutions with a concentration on the industries of agriculture, energy, and the environment.

BHEL

Bharat Heavy Electricals Ltd. is an integrated power plant equipment manufacturer that is involved in the design, engineering, manufacture, erection, testing, commissioning, and servicing of a wide range of products and services for the core sectors of the economy. 

These core sectors include power, transmission, industry, transportation, renewable energy, oil and gas, and defense. Bharat Heavy Electricals Ltd. also provides services for these core sectors. It is India’s most prestigious engineering and manufacturing enterprise, and the government of India owns and directs its operations.

CDSL

The Central Depository Services Limited is a Market Infrastructure Institution (MII), which is a component of the structure of the capital market. As such, it offers services to all market participants, including issuers, investors, and exchanges, as well as clearing corporations and depository participants (DPs). It is both an enabler for transactions involving securities as well as a facilitator for holding securities in their dematerialized form.

APL Apollo

APL Apollo Tubes Limited, also known simply as APL Apollo, is one of the most successful producers of branded steel products in India. The company’s headquarters are located in Delhi NCR, and it operates ten manufacturing facilities that produce over 1,500 different types of MS Black Pipes, Galvanised Tubes, Pre-Galvanised Tubes, Structural ERW Steel Tubes, and Hollow Sections. These products are used in a variety of industries, including urban infrastructures, housing, irrigation, solar plants, greenhouses, and engineering.

Nestle India Limited

Nestle India Limited is a wholly-owned subsidiary of Nestle, a multinational corporation based in Switzerland. It operates in the food market and holds established market positions in most product categories in which it operates in India, being the largest FMCG player in the country.

Known for various products sold under the brand name “Maggi,” it was a leader in the packaged food sector. The company is a top competitor in most product categories, including dairy products and nutrition, beverages, prepared dishes and cooking aids, chocolates and confectionery, among others.

Hindustan Zinc

Hindustan Zinc was established in 1966, gaining over half a century of experience in mining and smelting zinc and lead. HZL is one of the lowest-cost producers of zinc globally and the sole integrated producer of zinc, lead, and silver in India. It was ranked number one in the metal and mining category of the 2019 Dow Jones Sustainability Index for the Asia Pacific region.

The company is a subsidiary of Vedanta Limited, with a 64.9% stake, while the remaining 29.5% is controlled by the Indian government.

Marico Limited

Marico Limited is one of the most successful consumer product firms in India, focusing on beauty and wellness industries worldwide. It has a presence in over 25 countries across Asia and Africa, catering to various sector