Blue Chip Stocks Under 500

The below table shows Blue Chip Stocks Under 500 based on the Highest Market Capitalization.

Content:

• What Are Blue Chip Stocks?
• Top 10 Blue Chip Stocks Under 500
• Best Blue Chip Stocks Under 500 Rupees
• Top Blue Chip Stocks Under 500
• List Of Blue Chip Stocks Under 500
• Who Should Invest In Blue Chip Stocks Under 500?
• How To Invest In The Blue Chip Stocks Under 500?
• Performance Metrics Of Blue Chip Stocks Under 500 
• Benefits Of Investing In Blue Chip Stocks Under 500 
• Challenges Of Investing In Blue Chip Stocks Under 500
• Introduction To Blue Chip Stocks Under 500 
• Top Blue Chip Stocks Under 500 – FAQs

What Are Blue Chip Stocks?

Blue chip stocks refer to shares of well-established, financially sound companies known for their ability to generate stable earnings. These stocks are typically market leaders within their sectors and are often included in major stock indices.

In the stock market, blue chip companies are seen as safe investments because of their long track records of consistent performance and financial stability. They often pay dividends and are favored by investors seeking reliable returns without excessive risk.

These stocks derive their name from the blue chips in poker, which hold the highest value. Investing in blue chip stocks is akin to choosing a high-value, lower-risk asset that can provide steady returns over time.

Top 10 Blue Chip Stocks Under 500

The table below shows the Top 10 Blue Chip Stocks Under 500 based on 1 Year Return.

Best Blue Chip Stocks Under 500 Rupees

The table below shows the Best Blue Chip Stocks Under 500 Rupees based on 1 Month Return.

Top Blue Chip Stocks Under 500

The table below shows the Top Blue Chip Stocks Under 500 based on the highest day Volume.

List Of Blue Chip Stocks Under 500

The table below shows a List Of Blue Chip Stocks Under 500 based on the PE Ratio.

Who Should Invest In Blue Chip Stocks Under 500?

Investors looking for stable returns and lower risk should consider blue-chip stocks under 500 Rs. These stocks represent financially robust companies with a strong market presence, making them ideal for conservative investment portfolios.

Such investments are suitable for those who prioritize safety over high returns. With blue chip stocks, the likelihood of drastic price fluctuations is lower, which appeals to risk-averse investors, retirees, or those nearing retirement.

Investors with limited capital can also benefit from these affordable shares. They offer a cost-effective way to diversify portfolios and gain exposure to leading companies without a significant financial commitment.

How To Invest In The Blue Chip Stocks Under 500?

To invest in blue chip stocks under 500 Rs, start by researching companies with strong fundamentals and a history of stable returns. Look for stocks within your budget that offer growth potential and dividend payouts.

Next, set up a brokerage account if you don’t already have one. Choose a reliable broker that offers access to the stock markets where these blue chip companies are listed. Ensure the broker has low trading fees to maximize your investments.

Finally, regularly monitor your investments to adjust your portfolio as needed. Even stable blue chip stocks require oversight to optimize performance and align with your financial goals as market conditions change.

Performance Metrics Of Blue Chip Stocks Under 500 

Performance metrics of blue chip stocks under 500 Rs include stability in earnings, consistent dividend payments, and less volatility compared to the broader market. These metrics make them appealing for investors seeking dependable investments in the lower-price segment.

One key metric to consider is the dividend yield, which tends to be higher among blue chip stocks. This reflects their ability to generate ample cash flow, enabling regular, reliable dividend payments to shareholders, which is a sign of financial health.

Another important metric is the price-to-earnings (P/E) ratio. Blue chip stocks often have lower P/E ratios, indicating that they are not overvalued compared to their earnings. This suggests a safer investment during turbulent market conditions, making them a preferable choice for conservative investors.

Benefits Of Investing In Blue Chip Stocks Under 500 

The main benefits of investing in blue chip stocks under 500 Rs include access to stable companies with proven track records, reliable dividend payments, and lower investment risk. These stocks offer a solid entry point for new investors and a safe haven during economic uncertainties. 

• Stable Giants: Blue chip stocks under 500 Rs are linked to well-established companies known for their financial stability. Investing in these giants provides a safer investment route as they are less likely to face abrupt financial downturns, ensuring more predictable returns.
• Dividend Delights: These stocks often offer consistent dividends, which can be a reliable source of income. Even in economic downturns, blue chip companies typically maintain dividend payouts, adding a layer of income security for investors focused on generating regular cash flow.
• Low-Risk Leverage: With their proven track records, blue chip stocks under 500 Rs are considered lower-risk investments. This makes them an ideal choice for conservative investors or those nearing retirement who prioritize capital preservation over high-risk gains.
• Accessible Investment: The affordability of stocks under 500 Rs opens the door for investors with limited capital to invest in premium companies. This democratizes access to top-tier stocks, allowing more investors to diversify their portfolios without heavy initial investments.

Challenges Of Investing In Blue Chip Stocks Under 500

The main challenges of investing in blue chip stocks under 500 Rs include limited growth potential, as these established companies often experience slower growth compared to newer firms. Additionally, their popularity can lead to high valuations, making it difficult to find undervalued opportunities in this segment.

• Slower Growth Syndrome: Blue chip stocks under 500 Rs are typically associated with established companies that have already experienced major growth phases, leading to potentially slower growth rates. This can limit the upside potential for investors looking for rapid capital appreciation.
• Valuation Concerns: These stocks are often popular choices among investors, which can drive their prices up to high valuations. Finding blue chip stocks under 500 Rs that are undervalued becomes challenging, as many may already be priced at a premium due to their stability and reputation.
• Market Complacency: Investors in blue chip stocks may face the risk of market complacency. Due to their stable nature, there might be less vigilance in monitoring these stocks, potentially overlooking shifts in the market or the company that could affect stock performance.
• Low Yield Dilemma: While blue chip stocks are known for consistent dividends, the yield might not be as high compared to other investment opportunities. Investors seeking higher income might find the dividend yields of blue chip stocks under 500 Rs less attractive.

Introduction To Blue Chip Stocks Under 500 

ITC ltd

The Market Cap of ITC Ltd is currently Rs. 531,724.29 Cr. Over the past month, the stock has achieved a return of 6.44%, and the one-year return stands at 1.61%. Additionally, the stock is currently 17.33% below its 52-week high.

ITC Limited, based in India, operates as a holding company with diverse business segments. These include fast-moving consumer goods (FMCG), hotels, paperboards, paper and packaging, and agribusiness. The FMCG segment encompasses a wide range of products such as cigarettes and cigars, as well as education and stationery products, personal care items, safety matches, and agarbattis. Additionally, it includes branded packaged foods, which cover categories like staples and meals, snacks, dairy and beverages, biscuits and cakes, chocolates, and coffee and confectionery.

The company’s Paperboards, Paper, and Packaging segment specializes in producing specialty paper and various packaging solutions, including flexibles. The Agri-Business segment focuses on agricultural commodities like wheat, rice, spices, coffee, soya, and leaf tobacco. In the hospitality industry, ITC operates over 120 properties under six distinctive brands. These include ITC Hotels in the luxury segment, Mementos in the luxury lifestyle segment, Welcomhotel and Storii in the premium segment, Fortune in the mid-market to upscale segment, and WelcomHeritage in the leisure and heritage segment.

Oil and Natural Gas Corporation Ltd

The Market Cap of Oil and Natural Gas Corporation Ltd is currently Rs. 356,210.61 Cr. The stock has posted a significant monthly return of 76.80% and a one-year return of 8.13%. Additionally, it is just 3.32% away from its 52-week high.

Oil and Natural Gas Corporation Limited (ONGC) is a prominent India-based company specializing in crude oil and natural gas. The company operates primarily through two business segments: Exploration and Production, and Refining and Marketing. ONGC is actively involved in the exploration, development, and production of crude oil and natural gas, along with the production of value-added products within India. Additionally, it pursues the acquisition of oil and gas acreages outside of India for further exploration and development.

ONGC’s operations are extensive, covering downstream activities such as refining and marketing of petroleum products, petrochemical production, power generation, LNG supply, and pipeline transportation. It also engages in developing special economic zones (SEZ) and providing helicopter services. The geographical scope of its operations is divided into segments within India (including offshore and onshore areas) and international locations. ONGC’s notable subsidiaries include Mangalore Refinery and Petrochemicals Limited, Hindustan Petroleum Corporation Limited, ONGC Videsh Limited, Petronet MHB Limited, and HPCL Biofuels Limited, contributing to its broad portfolio of products and services across the energy sector.

NTPC ltd

The Market Cap of NTPC Ltd is currently Rs. 348,352.73 Cr. The stock has experienced a remarkable monthly return of 111.82% and a one-year return of 12.54%. Furthermore, it is only 4.24% below its 52-week high.

NTPC Limited is a leading power-generating company based in India, primarily focused on the generation and sale of bulk power to State Power Utilities. The company operates through two main segments: Generation and Others. The Generation segment is dedicated to the production and sale of bulk power, which is mainly supplied to state power utilities.

In addition to power generation, NTPC Limited’s Other segment includes a variety of services such as consultancy, project management and supervision, energy trading, oil & gas exploration, and coal mining. The company boasts a broad presence across India with a total of 89 power stations, operating either independently or through joint ventures and subsidiaries. Its subsidiaries include NTPC Vidyut Vyapar Nigam Limited, NTPC Electric Supply Company Limited, Bhartiya Rail Bijlee Company Limited, and several others dedicated to various facets of energy production and management.

Coal India ltd

The Market Cap of Coal India Ltd is currently Rs. 279,294.85 Cr. Over the past month, the stock has seen a substantial return of 97.39%, and its one-year return is at 8.64%. Additionally, the stock is 7.59% away from its 52-week high.

Coal India Ltd. is an India-based coal mining giant, operating across 83 mining areas in eight states. The company boasts a substantial portfolio with 322 mines, including 138 underground mines, 171 opencast mines, and 13 mixed mines. Besides mining operations, Coal India Ltd also oversees various other facilities such as workshops and hospitals, enhancing its infrastructure and employee care.

The company is dedicated to employee development, evident from its 21 training institutes and 76 vocational training centers. It operates the Indian Institute of Coal Management (IICM), a premier corporate training institute in India, offering multi-disciplinary programs. Additionally, Coal India Ltd manages 11 wholly-owned subsidiaries, such as Eastern Coalfields Limited, Bharat Coking Coal Limited, and others, extending its influence and operational capacity across the industry.

Wipro ltd

The Market Cap of Wipro Ltd is currently Rs. 233,988.18 Cr. This past month, the stock has returned 24.08%, although the one-year return is at -10.73%. Additionally, the stock is 21.76% below its 52-week high.

Wipro Limited is a prominent technology services and consulting company, operating mainly through two business segments: Information Technology (IT) Services and IT Products. The IT Services segment delivers a comprehensive range of services including digital strategy advisory, customer-centric design, technology consulting, and IT consulting. It specializes in custom application design, re-engineering and maintenance, systems integration, and package implementation, along with offering advanced services in cloud and infrastructure, business process services, and analytics.

On the other hand, the IT Products segment focuses on providing a variety of third-party IT products, enabling Wipro to deliver extensive IT system integration services. This segment features a wide array of products that cover computing, platforms and storage solutions, networking solutions, and various software products. Wipro’s service offerings are diverse and include applications, artificial intelligence, business process management, cloud solutions, consulting, data and analytics, digital experiences, engineering, and sustainability initiatives.

Indian Railway Finance Corp Ltd

The Market Cap of Indian Railway Finance Corp Ltd is currently Rs. 185,180.73 Cr. The stock has achieved an impressive monthly return of 414.34%, with a modest one-year return of 0.61%. Additionally, it is 36.06% away from its 52-week high.

Indian Railway Finance Corporation Limited serves as the financing arm of the Indian Railways, primarily operating within the Leasing and Finance segment. The core function of the company is to secure funds from financial markets to finance the acquisition or creation of assets, which are subsequently leased to the Indian Railways under finance lease agreements. Its primary activities involve financing the acquisition of rolling stock assets and leasing railway infrastructure assets.

The company also extends its financial services to other entities associated with the Ministry of Railways (MoR). By adopting a leasing model, it supports the acquisition of rolling stock and project assets for Indian Railways. In addition to lending to MoR and other railway entities to support their expansion plans, it provides loans to Rail Vikas Nigam Limited (RVNL) and IRCON. To fund these activities, it raises capital through various sources including term loans and bonds from both domestic and international markets.

Tata Power Company Ltd

The Market Cap of Tata Power Company Ltd is currently Rs. 137,527.41 Cr. This past month, the stock has experienced a substantial return of 118.53%, and the one-year return is 12.93%. Additionally, the stock is only 3.21% below its 52-week high.

Tata Power Company Limited is an India-based integrated power company focused primarily on the generation, transmission, and distribution of electricity. The company operates in various segments, with Generation, Renewables, Transmission and Distribution, and Others as its main categories. The Generation segment involves the production of power from both hydroelectric and thermal sources including coal, gas, and oil. These facilities are owned by the company or operated under lease arrangements, and this segment also includes related ancillary services.

The Renewables segment is dedicated to generating power from renewable energy sources such as wind and solar. The Transmission and Distribution segment manages the transmission and distribution network and involves the sale of power to retail customers. This segment also handles the power trading business. Additionally, the Others segment of Tata Power covers project management contracts, infrastructure management services, property development, lease rent of oil tanks, and satellite communication services, showcasing the company’s diversified operations beyond just power generation.

Power Finance Corporation Ltd

The Market Cap of Power Finance Corporation Ltd is currently Rs. 130,865.54 Cr. The stock has posted a significant monthly return of 199.74%, with a one-year return of 3.78%. Additionally, it is 20.49% away from its 52-week high.

Power Finance Corporation Limited is an India-based non-banking financial company (NBFC) focused primarily on providing financial support to the power sector. Their services span a range of fund-based products, including project term loans and lease financing for equipment purchases. They also offer short and medium-term loans to equipment manufacturers and provide grants or interest-free loans for various studies and consultancies. Additionally, the company extends corporate loans, lines of credit for coal imports, buyer’s lines of credit, and lease financing for wind power projects, among other financial solutions.

Their non-fund-based products encompass deferred payment guarantees, letters of comfort, and performance guarantees related to contractual obligations such as fuel supply agreements. Furthermore, Power Finance Corporation offers consultancy and advisory services tailored to financial, regulatory, and capacity-building needs. To support its core operations, the company has subsidiaries such as REC Limited and PFC Consulting Ltd, enhancing its service capacity and reach within the industry.

REC limited

The Market Cap of REC Limited is currently Rs. 113,057.47 Cr. The stock has experienced a notable monthly return of 249.35%, although the one-year return stands at -3.13%. Additionally, the stock is 22.04% away from its 52-week high. 

REC Limited is an infrastructure finance company based in India, specializing in the power sector. The company primarily offers interest-bearing loans to various entities, including state electricity boards, state power utilities, state power departments, and the private sector. These loans support a wide range of power infrastructure segments. REC Limited operates solely in one business segment, focusing its lending activities on the power, logistics, and infrastructure sectors.

The financial products offered by REC Limited are diverse, encompassing long-term loans, medium-term loans, short-term loans, debt refinancing, and equity financing. They also provide specialized financing options for equipment manufacturing in the power sector, coal mines, and projects that involve regulatory assets of power utilities, excluding the return on equity component. Additionally, their debt refinancing policy supports the extension of term loans for refinancing existing project term loans, including those for renewable energy projects in both government and private sectors. REC Limited also plays a crucial role as a nodal agency for various schemes of the Government of India.

Powergrid Infrastructure Investment Trust

The Market Cap of Powergrid Infrastructure Investment Trust is currently Rs. 11,516.95 Cr. Over the past month, the stock has seen a decrease of 19.41%, but it maintains a one-year return of 2.80%. Additionally, the stock is 29.87% away from its 52-week high. 

POWERGRID Infrastructure Investment Trust is an infrastructure investment trust based in India, focusing on the energy sector. The trust primarily manages assets involving five inter-state Transmission System (ISTS) projects, which were developed through the Tariff Based Competitive Bidding mechanism. These projects strategically span across five different states in India, underlining the trust’s expansive operational footprint.

The asset portfolio of the Trust includes five power transmission projects, featuring 11 transmission lines in total. This includes six 765 kV transmission lines and five 400 kV transmission lines, together covering a circuit length of approximately 3,698.59 km. Additionally, the portfolio includes three substations with a combined transformation capacity of 6,630 mega-volt ampere and 1,955.66 km of optical ground wire. The companies within the trust’s portfolio are Vizag Transmission Limited, POWERGRID Kala Amb Transmission Limited, POWERGRID Parli Transmission Limited, POWERGRID Warora Transmission Limited, and POWERGRID Jabalpur Transmission Limited, with POWERGRID Unchahar Transmission Limited serving as the Investment manager.

Top Blue Chip Stocks Under 500 – FAQs

Here are some of the Best Stock Research Articles listed based on Top Sectors (Industries), Market Cap, and Fundamental Analysis Factors:

Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time The securities quoted are exemplary and are not recommendatory.