What exactly does a monopoly mean? A monopoly comes into being when only one seller or an enterprise is engaged in the business of any specific product or a commodity.
In a monopoly, there is no competition whatsoever. With the absence of intense competition in an industry, a company is poised to do better and generate profits with strong cash flows.
Lower Competition = Higher Profits
In India, when you think of monopoly stocks, certainly IRCTC (railway ticketing and catering), CDSL (only listed depository), CAMS (largest registrar and transfer agent for mutual funds) and Indian Energy Exchange (sole listed power exchange) will be the first ones that come to mind.
However, it's not easy to find stocks with these characteristics because high profitability always attracts new players.
While much has been said about investing in monopoly stocks, you must investigate if the company can remain profitable for the future.
Apr 10, 2023
This company is dominating its rivals right now and has positioned itself so well that you'll look back in a decade and wonder why you didn't see the makings of a giant earlier.
Mar 24, 2023
Investors no longer need to choose between high dividend and high growth stocks. There are a few companies that offer both!
Mar 16, 2023
The companies on this list are either dominating their rivals right now or are positioning themselves so well that you'll look back in a decade and wonder why you didn't see the makings of a giant earlier.
Jan 9, 2023
These four companies have dominant market share in their industries but did they perform well in 2022? And what lies ahead in 2023 for them?
Oct 19, 2022
Here's why I'm excited about these 3 smallcap market leaders.
Oct 3, 2022
The seasoned investor has added exposure to this smallcap stock, which is a proxy play from the infrastructure sector.
Aug 12, 2022
These six companies are dominating their sectors with huge pieces of the pie.
Jul 7, 2022
These 5 companies dominate their sectors with a huge piece of the pie.
May 31, 2022
IRCTC's net profit surged 106% while the company also declared a final dividend for 2021-22.
Apr 7, 2022
Defence has been a priority sector for the Indian Government for realising its objective of 'Atmanirbhar Bharat.' How will it impact India's largest defence PSU, HAL? Read on...
Mar 28, 2023
Will a new entrant in the power exchange sector end IEX's monopoly? And how will it impact IEX's growth? Read on to find out.
Mar 23, 2023
Down 20% from its 52-week high, Coal India tumbles 5% in five days. What is dragging this monopoly stock down?
Feb 8, 2023
Here is why shares of India's leading depository are trading at a 52-week low today.
Nov 28, 2022
IEX board has announced a share buyback at a hefty premium to the current market price.
Oct 12, 2022
These renewable energy companies could be future multibaggers. Should you invest?
Sep 3, 2022
Buybacks are usually carried out when the management of the company perceives the shares of the company are undervalued in the market.
Aug 11, 2022
Stocks are rebounding, but these monopoly stocks are still available at big discounts to recent highs.
Jun 18, 2022
Constant product innovation, latest technology, strong supply chain etc can all help companies enjoy monopoly like fortunes.
Apr 19, 2022
Do all monopoly stocks give good returns? As they have a competitive advantage, are they a screaming buy at any price? Read on to find out...
Mar 30, 2022
Its strong order book, reduction in debt to negligible levels and fall in debtor days are a huge positive for the stock.