Are you scared to invest in expensive stocks in Indian stock markets? Do you feel like paying more on expensive stocks and return on your investment will shrink? Small and retail investors generally avoid high price stocks as it also raises concern about valuation.
Small investors like us always tend to buy penny stocks as we think that it will become multibagger stocks. We always scared and avoid to buy high price stocks. Actually, it doesn’t matter whether the stock has a high price or low price. Price must not be the deciding factor for investment as we must look for the potential of any stocks to grow further.
So, before you take your calls, you must check the fundamentals and technical aspect of stock. If a stock is fundamentally strong and the company is in a growth phase, then don’t bother about price. It will give you return irrespective of its high price.
5 Top Expensive Stocks In Indian Stock Markets
I have analyzed some of the most expensive stocks in Indian stock markets like BSE and NSE and come out with 5 top stocks with really high priced. You can consider them to add into your portfolio for a long-term horizon. Let’s check out the awesome big bull of Indian stock markets.
MRF @ 65000
MRF is one of the largest tyre manufacturers and is the market leader in tyre segments with a market cap of around 27500 Cr. Currently, the stock is trading at around 65000 in Indian bourses and has the highest rate per share. Imagine only one unit of MRF share cost you more than 65000 which is really expensive. P/E ratio of MRF is 25 and so for investment perspective, valuation is neither bad.
Eicher Motors @ 31800
Eicher Motors is one of the leading automotive manufacturers and owns the oldest motorcycle brand, Royal Enfield. EML also join hands with Volvo to manufacture and markets commercial vehicles like trucks and buses.
Eicher Motors is trading at around 31800 with a market cap of around 86600 Cr. and is second highest after Tata Motors. Fundamentally the stock is very strong and one can invest if it corrects as the P/E ratio is around 49 which is really high.
Bosch @ 21200
Bosch mainly manufactures the auto ancillary product spark plug for petrol engines and fuel injection equipment for diesel engines. It has a market cap of around 64500 Cr. and is 2nd largest in automotive component segments.
Bosch current share price is 21200 and its P/E ratio is 46.60. However, as the stock is a market leader and so you must grab it for future but invest on it on dips only. Let it correct and so you can buy it around 19000 and 15000.
Page Industries @ 19000
Page Industries is the exclusive licensee of JOCKEY International Inc. for manufacture, distribution, and marketing of the JOCKEY brand. It has also manufacturing Speedo brand and do marketing in India. In premium innerwear segment, Page Industries is the market leader with a market cap of around 21200 Cr.
Page Industries is currently trading at around 19000 and its P/E ratio is 75. You can enter this stock at around 17500 and 12500.
Shree Cement @ 18700
Shree Cement is second largest manufacturers in terms of the market cap of around 65000 Cr. A stock can become a market leader only if it has the potential to grow more. However, Shree Cement has P/E ratio of more than 50 but you can invest in it for a longer period. Let it cool off for some extent and then take your calls.
You can buy it around 17000 levels and add position if it reaches 11000 level.
So, don’t worry about high priced stock and always go for fundamentally strong stocks. You can share your views and opinions on expensive stocks in the comments section. If you like this post then share it on your social networks like Facebook, Twitter, Google+ and others networks.
Author: Ratan Kumar
Ratan Kumar, an enthusiast stock market trader & blogger. Forecasting stock market moves with the use of technical analysis since 2008. For the technical trader & investor, new or experienced, he provides legitimate and valuable advisory from day trading to long-term investment horizon and helped thousands of investors to make money out of stock market.