Best Fertilizers Stocks to Invest in India
Investing in capital markets is one way to grow your money. The returns on stocks can be much higher than returns on other types of assets; however, this depends on the stock. A good place to start investing is in fertilizer stocks.
There are many fertilizer stocks on the Indian stock exchange. This article will help you determine which companies are the leaders in the sector. You will also learn more about possible growth opportunities in the future.
How does the fertilizer industry stand in India?
The Indian fertilizer industry is one of the largest in the world. About 10% of India’s GDP comes from this sector, and about 100 million people are employed in the industry. In India, the number of people has grown exponentially in the last 25 years. India’s fertilizer companies have grown at a similar rate as agriculture has also grown.
Keeping this in mind, here are the top five fertilizer stocks in India. Be advised that we do not recommend purchasing them. This information just provides our opinion, and you should do your research.
1. Tata Chemicals Limited
The Tata Group is a well-known conglomerate in India. Tata Chemicals Limited makes and sells speciality chemicals for the agriculture industry. With more than 285,000 workers, Tata chemicals Limited is also the biggest employer in the Satna District of MP.
The Tata Chemicals stock is great if you want a long-term investment. Tata Chemicals has been in business for more than 80 years. It has grown through targeted acquisitions and the development of new products and services. During the fiscal year 2021-22, the company made $1.7 billion in sales and $170 million in net income. The fertilizer stocks of the company have grown the most in the industry as a whole.
2. Chambal Fertilizers and Chemicals Ltd
Chambal Fertilizers and Chemicals Ltd has the largest portfolio of fertilizers and related products of any other company in India. The company produces 15% of the total urea produced in India annually, making it one of the largest fertilizer producers in the country. Chambal’s manufacturing plants can handle 1.5 million tonnes of material per year. Chambal is one of the most interesting fertilizer stocks to invest in. In recent times, the company’s stock has grown steadily, with some downturns reported recently.
3. Gujarat Narmada Valley Fertilizers & Chemicals Ltd
In Gujarat, India, GNFC is one of the biggest companies with a diverse portfolio of fertilizers and other products. The company is led by Managing Director and CEO A.K. Muralidbudh. The business was launched in 1976. The Gujarat state government and the Fertilizer Development Corporation oversee the company.
GNFC has grown over the years to become one of the biggest fertilizer companies in the world. Since a few years ago, GNFC stock has been one of the most wanted fertilizer stocks on the Indian market. The GNFC share price is around Rs 600 as of 28 November 2022.
GNFC has a good record on the stock market. In India, the products are used in many industries, including agriculture and chemical manufacturing.
4. Rashtriya Chemicals and Fertilizer
Rashtriya Chemicals and Fertilizer is the country’s fourth-largest government-owned company that makes fertilizer. The company is also becoming a leader in the market for renewable energy.
Rashtriya Chemicals and Fertilizer have been manufacturing products in India since 1974. It is now the second-largest fertilizer company owned by the government. During the fiscal year 2022, it made $2 billion in sales and $98 million in net income. The RCF share price is around Rs 120 as of 28 November 2022.
5. Coromandel International Ltd.
Coromandel International Ltd. is a part of the Murugappa Group, which is based in Hyderabad. About 60% of the company is owned by East India Distilleries Parry, based in Chennai. The company has grown in the market and its physical infrastructure in the past few decades. At least 16 new units have been set up in different parts of the country. Coromandel International has manufacturing units in Uttar Prades, Gujarat, Assam, Jharkhand, Chhattisgarh, Rajasthan, Punjab, and Himachal. In 2020, Coromandel International had a total of $540 million in equity. In 2022, it made $1.7 billion in sales and $170 million in net income.
These are the five most popular fertilizer stocks in India at the moment. It is without a doubt that investing in the share market has risks. Before you invest in capital markets, conduct thorough research on all aspects of the stock. This article provides basic information on the five top-performing fertilizer stocks. It is recommended to do more research before you invest.
Conclusions
Fertilizer stocks come with their own risk. Given that India is likely to be the most populous country by the end of the current decade, the requirement for food will continue to grow in India. Therefore, there will be a greater need for fertilizers to improve the growth of crops in the fields. For this reason, many people are considering investing in fertilizers stocks in India. However, there are many stocks to choose from.
Buying stocks can be a useful way to make money over a long period. Most people do not invest because they are unsure or do not have the necessary information. It is best to consult an expert in such cases. If you are ready to take the next step, read more articles on capital markets, investment and finance on Piramal Finance. You can also consult the experts at Piramal Finance to learn more about loan products.