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Consumption Stocks in India

Consumption Stocks in India

Consumption is a broad investing theme which covers firms producing products for personal consumption.

These include daily essentials such as food and beverages, household and home care products, paper goods, alcohol, tobacco, cosmetics, and consumer durables like televisions and air conditioners, etc.

Its biggest components are FMCG and consumer durables. Both have a bright future in India. The durables industry is set to grow at 12% for the next 5 years.

The big drivers of consumption in India are a rising middle class with more disposable income and a shift towards incremental spending. In fact, the middle class is projected to drive 75% of total consumption in India by 2030.

Despite the restrictions due to Covid-19 and rising inflation, consumer firms quickly rebounded to near normalcy. Food and personal care firms have already put the pandemic behind them.

Consumption stocks are among the safest stocks in the market. They have low or no debt, they're growing fast, have good margins, cash flows, and return ratios.

However, for this very reason these stocks are extremely popular. Thus, they usually trade at expensive valuations. Investors should be careful to not buy overvalued consumption stocks.

Use Equitymaster's stock screener to find the most overvalued stocks.

Check out the list of consumption stocks on the NSE here.

For more detailed updates, check the latest NIFTY India Consumption stock results and see the latest NIFTY India Consumption long term chart.

Use Equitymaster's stock screener to find the best consumption stocks in the market.

If you're interested specifically in FMCG stocks, read our FMCG sector report and check out the latest FMCG sector results.

Also use Equitymaster's Stock Screener to find the top FMCG companies in India.

Was Friday's 1,200 Point Rally More Emotional than Rational?
Mar 4, 2024
Was the market justified in going up significantly post the GDP growth announcement?

Top Performing Consumption Stocks of 2023 so far. Take a Look...
Oct 14, 2023
A rising middle class with more disposable income and a shift towards incremental spending could be the two key factors driving consumption stocks.

Top 5 Pharma Companies in India by Growth
Apr 30, 2023
China plus one, government's PLI scheme, and growing consumption are driving the growth of these five pharma companies.

Trading Strategy for Budget 2023
Jan 19, 2023
In this video, I'll show you an options strategy for Budget 2023. I also discuss sectors I'm bullish on leading up to the Budget.

Tata Steel vs JSW Steel: Which Steel Stock is Better?
Jul 11, 2022
As steel consumption rises, these companies seem to be promising leaders in the industry. Who has a better chance?

The Russia-Ukraine War: Lessons for Indian Investors
Apr 11, 2022
How do we profit from our market experience during the war in Ukraine?

This Small-cap Textile Stock Hits a Record High After Vijay Kedia Buys Stake. Here's why it Could Rally More...
Feb 7, 2022
China plus one strategy, the GST council's move to defer the rate hike, rising consumption, and other reasons have sent textile stocks soaring.

The Worst Sector in the Market
May 10, 2021
The worst sector in the stock market according to the charts.

My Best Investing Recommendations for 2020
Dec 30, 2019
What are best places to park your money in 2020?

How You Can Play India's Biggest Theme in the Coming Years
Apr 30, 2019
India will be the biggest consumption market in the next few years. How can you benefit from this?

Liquor Industry All Set for New Highs. A Watchlist of 5 Best Liquor Stocks that Could Witness a Spirited Rise
Dec 12, 2023
These five liquor stocks could benefit from the growing demand for premium liquor.

Why Tata Consumer Share Price is Rising
Jun 27, 2023
As consumers' purchasing power improves and consumption patterns evolve, Tata Consumer looks poised to capitalise on these opportunities.

Top 5 Power Companies in India by Growth
Jan 30, 2023
With power consumption on the rise, these five power companies are worth keeping an eye on.

Adani Power vs Tata Power: Which Power Stock is Better?
Aug 5, 2022
Rising electricity consumption provides a lot of scope for growth. Which company has a better chance at capturing it?

Power Stocks Rise with Temperature. Is the Momentum Here to Stay?
Apr 13, 2022
Power stocks surge with an expectation of high demand during summer.

Top 5 Consumption Stocks to Add to Your Watchlist
Apr 11, 2022
Consumption stocks add much needed balance to your investment portfolio. In the long run, they also offer steady returns.

Avoid the Worst Sector in the Market
May 11, 2021
The worst sector in the stock market according to the charts.

Tata Steel Shares Surge to Record High Post Q4 Results. Here's What Investors Need to Know
May 6, 2021
Tata Steel swung to quarterly profitability as the economic recovery drove a rebound in steel consumption.

You Should Ignore the Media and Focus on What You Can Control
Dec 26, 2019
Focus on various long-term trends are playing out in India largely ignored by the mainstream media.

ICICI Prudential Bharat Consumption Fund: A Worthy Proposition?
Apr 3, 2019
PersonalFN analyses if investing in the New Fund Offer: ICICI Prudential Bharat Consumption Fund will be worthy proposition based on its investment objective, asset allocation, investment strategy and the outlook.

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Consumption Stocks in India

Was Friday's 1,200 Point Rally More Emotional than Rational?Mar 4, 2024Was the market justified in going up significantly post the GDP growth announcement?

Top Performing Consumption Stocks of 2023 so far. Take a Look...Oct 14, 2023A rising middle class with more disposable income and a shift towards incremental spending could be the two key factors driving consumption stocks.

Top 5 Pharma Companies in India by GrowthApr 30, 2023China plus one, government's PLI scheme, and growing consumption are driving the growth of these five pharma companies.

Trading Strategy for Budget 2023Jan 19, 2023In this video, I'll show you an options strategy for Budget 2023. I also discuss sectors I'm bullish on leading up to the Budget.

Tata Steel vs JSW Steel: Which Steel Stock is Better?Jul 11, 2022As steel consumption rises, these companies seem to be promising leaders in the industry. Who has a better chance?

The Russia-Ukraine War: Lessons for Indian InvestorsApr 11, 2022How do we profit from our market experience during the war in Ukraine?

This Small-cap Textile Stock Hits a Record High After Vijay Kedia Buys Stake. Here's why it Could Rally More...Feb 7, 2022China plus one strategy, the GST council's move to defer the rate hike, rising consumption, and other reasons have sent textile stocks soaring.

The Worst Sector in the MarketMay 10, 2021The worst sector in the stock market according to the charts.

My Best Investing Recommendations for 2020Dec 30, 2019What are best places to park your money in 2020?

How You Can Play India's Biggest Theme in the Coming YearsApr 30, 2019India will be the biggest consumption market in the next few years. How can you benefit from this?

Liquor Industry All Set for New Highs. A Watchlist of 5 Best Liquor Stocks that Could Witness a Spirited RiseDec 12, 2023These five liquor stocks could benefit from the growing demand for premium liquor.

Why Tata Consumer Share Price is RisingJun 27, 2023As consumers' purchasing power improves and consumption patterns evolve, Tata Consumer looks poised to capitalise on these opportunities.

Top 5 Power Companies in India by GrowthJan 30, 2023With power consumption on the rise, these five power companies are worth keeping an eye on.

Adani Power vs Tata Power: Which Power Stock is Better?Aug 5, 2022Rising electricity consumption provides a lot of scope for growth. Which company has a better chance at capturing it?

Power Stocks Rise with Temperature. Is the Momentum Here to Stay?Apr 13, 2022Power stocks surge with an expectation of high demand during summer.

Top 5 Consumption Stocks to Add to Your WatchlistApr 11, 2022Consumption stocks add much needed balance to your investment portfolio. In the long run, they also offer steady returns.

Avoid the Worst Sector in the MarketMay 11, 2021The worst sector in the stock market according to the charts.

Tata Steel Shares Surge to Record High Post Q4 Results. Here's What Investors Need to KnowMay 6, 2021Tata Steel swung to quarterly profitability as the economic recovery drove a rebound in steel consumption.

You Should Ignore the Media and Focus on What You Can ControlDec 26, 2019Focus on various long-term trends are playing out in India largely ignored by the mainstream media.

ICICI Prudential Bharat Consumption Fund: A Worthy Proposition?Apr 3, 2019PersonalFN analyses if investing in the New Fund Offer: ICICI Prudential Bharat Consumption Fund will be worthy proposition based on its investment objective, asset allocation, investment strategy and the outlook.