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List of Top Battery Stocks in India

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No one can debate that batteries are used in our everyday lives in almost every electronic item we use. From TV remotes to electric vehicles, batteries have become essential elements in our daily lives. However, they are seldom credited for the role they play. This has seen a change as India's growing focus on renewable energy production has increased, leading to an increase in the demand for batteries. Battery stocks, in this context, represent the stocks of companies that manufacture or supply batteries.

What are Battery Stocks? 

Growth in Demand for Batteries

  1. There has been considerable growth in the Indian battery market in the recent past. 

  2. This can be credited to government initiatives that promote the usage of electric vehicles. 

  3. This, in turn, has led to an increase in the demand for energy storage systems. 

  4. To add to the reasons for the rise in demand more environmental awareness, urbanisation and advancements in tech also play a role.

  5. India’s commitment to reducing carbon emissions, increasing its renewable energy production and adopting electric vehicles are more such reasons.

Stagnation in Growth of Battery Market

  1. Despite these reasons, the Indian battery market is not able to reach its full potential. 

  2. This is mainly due to challenges like high battery costs, lack of standardisation and limited infrastructure for recycling.

Government’s Role in Growth

  1. Government initiatives like Make In India and the National Program on ACC Battery Storage help with the country’s domestic battery production. 

  2. The government’s Production-Linked Incentive (PLI) program also boosts battery manufacturing capacity. 

  3. By 2029 the Indian battery market is expected to reach $15.65 billion.

What to Consider When Investing in  Battery Stocks 

Certain factors need to be considered before investing in battery stocks. Some of them are listed below:

Stay Updated: 

  • Stay on top of the latest happenings in the battery sector in India. 

  • Look into the latest developments, trends and growing demand for battery technology.

Look Beyond the Surface: 

  • It is important to take a deep look into a battery stock company’s fundamentals.

  • From the company’s battery share price, revenue growth, and profitability, investors should also look at what makes a particular company unique.  

  • It is important to understand a company’s strengths and weaknesses.

Embrace Innovation: 

  • For investors, opting for the stocks of battery companies that are embracing technology and innovation. 

  • This will help them stay updated on the battery market, thus providing them with better investment opportunities too.  

Embrace Sustainability: 

  • Traders need to know about every battery stocks company that is open to switching to clean and sustainable energy sources. 

  • Because of the increase in demand for renewable energy storage, these companies are more likely to experience growth

Top  Battery Stocks in India - Overview  

Here’s a look at some of the top battery stocks in India:

Panasonic Carbon India Co Ltd

  • The company is a subsidiary of Panasonic Corporation. 

  • Known for manufacturing carbon rods in 40+ sizes and six grades. 

  • In the last five years, the company’s current ratio has been 2138.25 

  • This is higher than the industry average of 177.76.

HBL Power Systems Ltd

  • HBL Power Systems Limited supplies engineered products and services. 

  • The company is known for designing and manufacturing specialised batteries 

  • In the last five years, the company’s net income has grown yearly at 25.55%, 

  • This is more than the industry average of 4.78%.

Amara Raja Energy & Mobility Ltd 

  • Amara Raja Batteries Limited is known for manufacturing lead-acid storage batteries

  • These batteries are used for industrial and automotive applications in India. 

  • Over the last 5 years, the company's revenue has grown yearly at 8.91%, higher than the industry average of 4.51%. 

  • Its market share also increased from 29.05% to 35.69% during the same time.

Goldstar Power Ltd

  • Goldstar Power Limited is one of the top lithium manufacturers in India 

  • The company supplies numerous companies, such as inverter/UPS manufacturers, automobile manufacturers, general industrial applications, etc

  • Over the past 5 years, the company’s net income has grown at a yearly rate of 68.98%, higher than the industry average of 4.78%. 

Exide Industries Ltd

  • The company is known to manufacture and sell lead-acid storage batteries. 

  • These batteries are made for the automotive, power, telecom, infrastructure projects, computer industries, railways, mining, and defence sectors. As of 8th August 2024, the company’s market capitalisation is Rs. 41,322.75 cr. Over the past five years, the company’s debt-to-equity ratio has been 4.32%, lower than the industry average of 8.56%.

Key Features of Indian Battery Stocks  

Here are some of the main features of Indian battery stocks: 

Market Demand: 

  • The demand for battery stocks in India is not only curtailed to electric vehicles.

  • With the rise in the need for renewable energy storage and portable devices, battery stocks in India have become more popular.

Supply Chain Resilience: 

  • Battery production is heavily dependent on a complex global supply chain. 

  • This supply chain provides access to raw materials, is governed by geopolitical stability and provides manufacturing capabilities for battery stocks

Regulatory Landscape: 

  • Some of the major impacts on battery stock come from government policies and environmental regulations

  • Staying on top of regulatory changes WRT emissions, recycling, energy storage incentives etc will help investors make informed decisions

Conclusion

Batteries are both reliable and extremely versatile and are undoubtedly an essential component of our modern lives. But that is not where the usefulness of the battery stops. Batteries have also become a crucial part of India's journey towards a greener, more sustainable tomorrow. With this in mind, there is no doubt that the popularity of battery stocks will only continue to grow over the coming years. 

Disclaimer: Investments in the securities market are subject to market risk, read all related documents carefully before investing.

This content is for educational purposes only. Securities quoted are exemplary and not recommendatory.

For All Disclaimers Click Here: https://bit.ly/3Tcsfuc

Frequently Asked Questions

2. How can I invest in the best battery sector shares in india?

Answer Field

You can easily invest in the best battery sector shares in India through your stockbroker

3. .Is it a good time to invest in battery stocks in india?

Answer Field

With the growing need for greener and a more sustainable future, batteries have become a crucial need. So yes, this need will only keep growing making it a good time to invest in battery stocks in India.

4. Why are battery stocks rising in india?

Answer Field

The Indian government’s push for a greener, sustainable future has catapulted the importance of batteries to the forefront. This as led to a battery stocks rising in India

5. Do battery industry stocks give dividends?

Answer Field

Yes, you can invest in battery stocks that provide high-yeilding dividends. 

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