In the Indian stock market, mid-cap stocks are an interesting option for investors since they possess the opportunity of high growth potential along with stable performance.
Mid-cap stocks fall between the small-cap and large-cap stocks in the market and provide investors with relatively higher returns than large-cap stocks and relatively lower risk than small-cap stocks. In this article, we will cover some of the best mid cap stocks to invest in India.
List of Top Midcap Stocks for 2024
You can invest in these best mid cap stocks through the best stock market apps.
1. Polycab India Ltd.
Polycab is based in India and is a leading wire and cable manufacturer with a diverse portfolio of products that can be used in different sectors, including power, and infrastructure, among others. Polycab is known for its superior quality and durability.
- Sector: Electrical Equipment
- Market Cap: 97,069 Cr.
- Growth Drivers: Polycab has a strong distribution system and focuses on the development of innovative products to accommodate the rising demand for infrastructure in India. With urbanization and industrialization on the increase, the need for wires and cables will continue to grow, thus making Polycab a large-cap company.
2. Astral Ltd.
Astral Ltd. operates in the piping systems industry and provides a complete range of plumbing and drain solutions for use in homes, businesses, and industries. Astral specializes in offering innovative and high-quality pipes and fittings.
- Sector: Building Materials
- Market Cap: 62,735 Cr.
- Growth Drivers: Currently the Indian government has emphasized infrastructural growth in sectors such as housing, water management, and sewage systems which shall lead to an increased usage of piping systems. The urbanization and an increase in new construction projects are increasing the need for plumbing and drainage solutions thus creating demand for Astral.
- Indian Hotels Company Ltd (IHCL)
IHCL has an impressive portfolio of some of the most recognized brands in the market such as Taj, Vivanta, etc. which are renowned for their luxury and premium services. Thus IHCL is appealing to both domestic and international clients giving the company a competitive edge in the hospitality industry.
- Sector: Hospitality
- Market Cap: ₹86,623 Cr.
- Growth drivers: With the increase in disposable income in India, many customers are likely to embark on more business and leisure travels, increasing the need for hotel facilities thus making it a favorable condition for IHCL. IHCL has adopted the asset-light strategy in which it operates in hotels owned by others and minimizes investments in building new properties.
4. Gujarat Gas Ltd.
Gujarat Gas Limited (GGL) is a natural gas distribution company. It supplies gas to millions of households and companies all over Gujarat and some nearby states, making it the biggest city gas distribution company in India.
- Sector: Oil & Gas
- Market Cap: ₹ 43,692 Cr.
- Growth drivers: Government policies promoting cleaner energy sources and reducing dependency on traditional fuels align well with Gujarat Gas Ltd. With a strong presence in Gujarat, one of India’s industrial hubs and a state known for its proactive industrial policies, Gujarat Gas Ltd. is poised for significant growth.
5. IDFC First Bank Ltd
IDFC First Bank Limited was previously called IDFC Bank and is a private sector bank in India with its base in Mumbai. It was formed in 2015 with the merger of IDFC and Capital First Limited. It provides various services like personal banking, business banking, corporate banking services, and investment banking services.
- Sector: Banking
- Market Cap: ₹56,082Cr.
- Growth drivers: Digital banking is growing in India due to factors such as convenience, accessibility, and Government campaigns like ‘Digital India ‘. Due to this IDFC First Bank is well-positioned in the digital space. IDFC First Bank is aiming at opening new branches to increase market coverage mainly in the second and third-tier cities.
Conclusion
All these five mid-cap stocks exhibit significant growth prospects; but, it is advised to conduct proper research and analysis before investing. In India’s thriving stock market, investors can potentially earn a profit when these mid-cap stocks turn into large-cap giants by investing in companies with strong growth trajectories and solid fundamentals.
