Last Updated on Nov 5, 2024 by Aishika Banerjee
Here’s a mind-blowing fact for you – Berkshire Hathaway is the most expensive share in the world, trading at ~$685,000 per share as of 2nd October 2024. Have you ever wondered which is the most expensive stock in India? In this article, let’s look at the top 10 most expensive stocks in India, why you should invest in them, and things to remember before investing in them. Let’s dive in.
Table of Contents
Top 10 Most Expensive Stocks in India – Updated November 2024
| Name | Sub-Sector | Market Cap (Rs. in cr.) | Close Price (Rs.) | PE Ratio | 5Y Average Return on Investment (%) | Debt to Equity (%) | Fundamental Score |
| MRF Ltd | Tires & Rubber | 51,265.56 | 120,876.75 | 24.63 | 9.24 | 0.17 | 5.71 |
| Honeywell Automation India Ltd | Electronic Equipments | 40,138.57 | 45,397.80 | 80.05 | 15.92 | 0.02 | 8.15 |
| Page Industries Ltd | Apparel & Accessories | 48,002.98 | 43,037.05 | 84.34 | 38.21 | 0.12 | 3.50 |
| 3M India Ltd | Stationery | 40,650.12 | 36,085.10 | 69.68 | 18.63 | 0.01 | 8.31 |
| Bosch Ltd | Auto Parts | 104,233.77 | 35,341.10 | 41.84 | 11.54 | 0.00 | 2.80 |
| Abbott India Ltd | Pharmaceuticals | 62,601.40 | 29,460.45 | 52.11 | 27.53 | 0.02 | 8.45 |
| Shree Cement Ltd | Cement | 89,715.86 | 24,865.30 | 37.45 | 11.50 | 0.08 | 5.25 |
| Procter & Gamble Hygiene and Health Care Ltd | FMCG – Personal Products | 52,231.11 | 16,090.55 | 77.38 | 65.58 | 0.00 | 4.89 |
| ZF Commercial Vehicle Control Systems India Ltd | Auto Parts | 27,730.80 | 14,620.10 | 68.23 | 0.00 | 6.93 | |
| Dixon Technologies (India) Ltd | Home Electronics & Appliances | 86,371.73 | 14,434.60 | 234.87 | 19.44 | 0.28 | 7.00 |
Note: The data on this top 10 share price in India list is from 5th November 2024 and is filtered out using Tickertape Stock Screener. Following are the filters used to get the list of the top 10 most expensive stocks in India among 1000s of stocks available.
- Stock Universe: Nifty500
- Close Price: Set to High
🚀 Pro Tip: Utilise Tickertape’s Market Mood Index to gauge market sentiment and make informed investment decisions based on real-time market data and trends.
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Before diving in, let’s understand what smallcase is.
smallcases are modern investment products that help investors build low-cost, long-term & diversified portfolios with ease. A smallcase is a basket or portfolio of stocks/ETFs representing an idea – an objective, theme, or strategy. They are created and managed by SEBI-registered experts.
Among 500+ smallcases, here’s a smallcase that is focused on top stocks:
- Disclosure for Top 250 Stocks
- Disclosure for MI India Top 10
Note: These smallcases are mentioned only for educational purposes and are not meant to be recommendatory. Investors must conduct their own research and consult a financial expert before making any investment decisions.
Details of the Costliest Shares in India
MRF Ltd
MRF Ltd, founded in 1946, is a prominent player in the Tires & Rubber industry and is known for its premium automotive tyres. MRF holds the distinction of having the highest share price in India as of 5th November 2024, with the top highest share price of Rs. 120,876.75. The most expensive company’s market capitalisation stands at Rs. 51,265.56 cr., and its PE ratio is 24.63. This highest price share in India has maintained a 5-year average return on investment of 9.24%, with a low debt-to-equity ratio of 0.17%. MRF’s high valuation and strong market position make it one of the most expensive stocks in India.
Honeywell Automation India Ltd
Incorporated in 1987, Honeywell Automation India Ltd is a leading company in the Electronic Equipment sub-sector, known for offering automation and control solutions. As of 5th November 2024, the stock price was Rs. 45,397.80, making it one of the top share prices in the country. The company’s market capitalisation is Rs. 40,138.57 cr., and it boasts a PE ratio of 80.05. With a 5-year average return on investment of 15.92% and a very low debt-to-equity ratio of 0.02%, this costly share in India remains one of the most expensive shares in India due to its premium technology offerings.
Page Industries Ltd
Founded in 1994, Page Industries Ltd is a leader in the Apparel & Accessories market, primarily known for its ownership of the popular Jockey brand in India. The stock trades at a high price of Rs. 43,037.05 as of 5th November 2024, making it one of most costly stock in India. It has a market capitalisation of Rs. 48,002.98 cr. and a PE ratio of 84.34. With a 5-year average return on investment of 38.21% and a debt-to-equity ratio of 0.12%, the company’s premium pricing is driven by its brand value and consistent performance.
3M India Ltd
3M India Ltd, incorporated in 1987, operates in the Stationery sector, providing innovative products across various industries, including healthcare and office supplies. The company’s stock price of Rs. 36,085.10, as of 5th November 2024, places it among the most expensive shares in India. With a market capitalisation of Rs. 40,650.12 cr. and a PE ratio of 69.68, the company has delivered an 18.63% average return over five years. The low debt-to-equity ratio of 0.01 reflects its stable financial health, making it a high price stock in India.
Bosch Ltd
Established in 1951, Bosch Ltd is a key player in the Auto Parts sector and is known for producing a wide range of automotive components and technologies. The company’s share price, at Rs. 35,341.10 as of 5th November 2024, places it among India’s highest stock prices. Bosch Ltd has a market capitalisation of Rs. 104,233.77 cr. and a PE ratio of 41.84, reflecting its premium standing in the automotive industry. Its debt-to-equity ratio is 0.00, indicating a robust financial position.
Abbott India Ltd
Founded in 1944, Abbott India Ltd is a leading player in the Pharmaceuticals sector, offering a wide range of healthcare products. The company’s stock price of Rs. 29,460.45 as of 5th November 2024 ranks it as one of the most expensive stocks in India. It has a market capitalisation of Rs. 62,601.40 cr. and a PE ratio of 52.11. The company’s 5-year average return on investment stands at 27.53%, and it maintains a low debt-to-equity ratio of 0.02, reinforcing its premium valuation in the market.
Shree Cement Ltd
Shree Cement Ltd, established in 1979, is a leader in the Cement industry and is renowned for its efficient operations. As of 5th November 2024, Shree Cement’s stock price is Rs. 24,865.30, making it one of the costliest shares in India. The company’s market capitalisation is Rs. 89,715.86 cr., and it has a PE ratio of 37.45. Its 5-year average return on investment is 11.50%, with a low debt-to-equity ratio of 0.08, positioning Shree Cement as one of the top 10 stocks in its sector.
Procter & Gamble Hygiene and Health Care Ltd
Incorporated in 1964, Procter & Gamble Hygiene and Health Care Ltd is a key player in the FMCG – Personal Products sector, offering a range of hygiene and healthcare products. The stock price as of 5th November 2024 is Rs. 16,090.55, making it one of the top share prices in the personal products sector. With a market capitalisation of Rs. 52,231.11 cr. and a PE ratio of 77.38, it has delivered a remarkable 65.58% return over five years, reflecting its strong brand equity and premium positioning.
ZF Commercial Vehicle Control Systems India Ltd
ZF Commercial Vehicle Control Systems India Ltd, part of the global ZF Group, operates in the Auto Parts sector and specialises in vehicle control systems. The company’s stock price of Rs. 14,620.10 as of 5th November 2024 ranks it among the most expensive shares in India. With a market capitalisation of Rs. 27,730.80 cr. and a PE ratio of 68.23, it has shown significant potential in the commercial vehicle space. The company’s zero debt-to-equity ratio further underscores its financial health.
Dixon Technologies (India) Ltd
Incorporated on 2 May 2017, Dixon Technologies (India) Limited began operations much earlier and has since become one of India’s largest manufacturers and designers in consumer durables, lighting, and mobile phone markets. The company’s stock price as of 5th November 2024 stands at Rs. 14,434.60, making it one of the top expensive share in India. With a market capitalisation of Rs. 86,371.73 cr. and a PE ratio of 234.87, the company demonstrates its significant value in the energy sector. Its debt-to-equity ratio of 0.28 also highlights its strong financial foundation.
Note: Fundamental Score is a smallcase proprietary score between 1 and 10 assigned to stocks listed on NSE. It is calculated by considering factors like valuation, profitability, market share growth, financial health and earnings growth of the company. The score helps rank the stock over other stocks in the respective sector. The higher the score, the better the company.
Why Invest in the Most Expensive Stocks?
Investing in the most expensive stocks in India can provide opportunities for long-term growth and the potential for high returns. Here are some advantages of investing in the most expensive stocks in India:
- The most valuable share in India is less vulnerable to market risks due to the few investors holding it, most of whom are long-term institutional investors.
- Investing in the most expensive stock in India encourages deep research and analysis.
- Costliest shares in India can make investors more patient and mindful in their long-term investment strategy. Having a limited number of shares in a high-value stock can make an investor more likely to hold on to it for the long term, as opposed to selling a portion for short-term gain.
In contrast, having a larger number of shares in a cheaper stock may make it easier for an investor to sell a portion of it for cash to invest in other opportunities.
- Investing in expensive shares in India can provide a hedge against inflation and a potential source of passive income through dividends.
However, it’s important to note that investing in high-priced stocks also carries a higher level of risk, so it’s important to do your due diligence and consult a financial advisor before making any investment decisions.
How to Identify the Most Expensive Stocks?
Identifying the most expensive stocks involves evaluating several key factors that reflect a stock’s price and its underlying value. Here’s what you might consider:
- Highest market capitalisation: You may want to look at companies with a large market cap. These companies with big share prices are typically industry leaders and their stocks often trade at higher prices due to their established market presence and financial strength.
- Price-to-Earnings (P/E) Ratio: The P/E ratio can be a critical indicator of whether a stock is expensive. A high P/E ratio might suggest that a stock is priced higher relative to its earnings, often reflecting investor confidence in the company’s future growth prospects.
- Share Price: The absolute highest share price in India is also a straightforward indicator. Stocks trading at high prices per share, such as those in blue-chip or highest valued companies, can be considered expensive. However, a high share price alone doesn’t always mean the stock is overvalued; it might reflect strong fundamentals.
- Premium Valuations: Stocks that consistently trade at premium valuations—higher than industry averages—may be considered expensive. These valuations could be due to factors like strong brand equity, market dominance, or robust financial performance.
- Low Dividend Yield: Most expensive shares might have a lower dividend yield, as their high price reduces the yield percentage. If a stock’s dividend yield is significantly lower than the market average, it could be an indicator of a high stock price.
- Growth Potential: Sometimes, high value shares in India are expensive because investors expect substantial future growth. Companies in rapidly growing industries like technology or biotech often have high stock prices that reflect anticipated future earnings.
How to Invest in the Highest Priced Shares in India?
To invest in the highest priced shares in India, it is essential to follow a strategic approach:
- Evaluate the company and the team: Begin by scrutinising the company’s management team’s track record and leadership capabilities. A strong and capable leadership team is often indicative of a well-managed and successful company.
- Financial analysis: Conduct a thorough financial analysis to determine whether the stock is overvalued or undervalued. Compare key financial metrics such as price-to-earnings ratio, cash flow, and other relevant indicators. Assess the stock’s volatility and potential downside risk to gauge its overall value accurately.
- Consider long-term viability: While the highest-priced shares may be suitable for long-term investments, it’s crucial to align your investment strategy with your budget, financial plan, and risk tolerance. Assess whether the stock fits within your long-term investment goals.
- Prioritise budget and risk assessment: Before investing in India’s most expensive stocks, prioritise a thorough budget analysis. Ensure that the investment aligns with your financial capabilities and goals. Simultaneously, a comprehensive risk assessment must be conducted to understand and manage potential downsides.
- Diversification: Consider the principle of diversification to spread risk across different assets. While investing in high-priced stocks, it’s crucial to maintain a diversified portfolio to mitigate potential risks associated with individual stocks.
Remember that investing in the highest-priced shares requires careful consideration and due diligence. By thoroughly analysing the financial health of the company, assessing management capabilities, and aligning your investment strategy with your financial goals, you can make informed decisions to navigate the dynamic landscape of the stock market in India.
Challenges of Investing in the Most Expensive Shares in India
Investing in the most expensive shares in India comes with its own set of challenges, and it’s crucial to approach such investments with caution:
- Independent research: The mere fact that a share is the most expensive does not necessarily make it a suitable investment. Prioritise independent research to thoroughly understand the company and its industry. You can rely on comprehensive analysis rather than solely on the highest share price in India.
- Assess fund structure: You can analyse your fund structure and evaluate whether it aligns with the investment in the costliest share in India. It can be helpful to ensure that your investment strategy complements the overall structure of your investment portfolio.
- Budgetary considerations: While high returns are desirable, it’s crucial not to overspend your budget hastily. You can establish a fixed amount that you can comfortably invest in valuable stocks in India without jeopardising your financial stability.
- Differentiate overvaluation and undervaluation: Differentiate between overvalued and undervalued stocks by conducting a comprehensive analysis of earnings, cash flow, and other financial metrics. Additionally, you can factor in the stock’s volatility to make a well-informed decision before investing in the most expensive share in India.
- Diversification for risk mitigation: Instead of concentrating all investments on a single high-priced share, consider allocating your money to add diversification to your portfolio. Diversification helps mitigate risks associated with individual stocks and ensures a more balanced investment approach.
- Clarify investment goals and risk appetite: Before investing in the most expensive shares, investors should be clear about their investment goals and risk appetite. Aligning investments with personal financial objectives ensures a more strategic and purposeful approach to the stock market.
Advantages of Investing in the Costliest Shares in India
Here are a few advantages of investing in the most expensive shares in India:
- High-priced stocks in India are often linked to financially stable and well-managed companies, instilling confidence in long-term value generation.
- These stocks, with larger market capitalisations, typically exhibit lower volatility, offering a more stable investment environment compared to lower-priced or speculative stocks.
- The most expensive shares in India belong to companies that regularly pay dividends, providing investors with a consistent cash flow, which is particularly attractive in low-interest-rate scenarios.
- Expensive shares often represent companies with solid growth prospects, offering investors an opportunity to participate in their growth trajectory and benefit from potential capital appreciation over time.
Things to Remember Before Investing in the Most Expensive Stocks
An expensive stock doesn’t necessarily mean it is a good investment. Here are some important points to remember before investing in the most expensive stocks in India:
- Perform fundamental analysis – check the company’s financial statement to determine its financial health. Research the industry and its trends to see if the company is well-positioned to benefit from them.
- Look at the company’s management team and track record to gauge their ability to lead the company.
- Compare the stock’s price to its earnings, cash flow, and other financial metrics to determine if it is overvalued or undervalued. Consider the stock’s volatility and the potential for downside risk.
- Although expensive stocks are considered good for long-term investments, make sure to invest in them based on your budget, financial plan, and risk appetite. Hence, consider your budget and risk tolerance before investing in pricey stocks.
Who Can Invest in the Most Expensive Stocks?
Investing in the most expensive stocks might be suitable for:
- Long-Term Investors: Individuals with a long-term investment horizon might find expensive stocks appealing, especially if they believe in the company’s sustained growth and market leadership. Over time, these stocks may provide capital appreciation and potential dividend income.
- High-Net-Worth Individuals: Investors with substantial capital may choose expensive stocks as part of their portfolio to gain exposure to industry-leading companies with strong financials and growth potential.
- Risk-Tolerant Investors: Those who are comfortable with market volatility might invest in expensive stocks, recognising that the high price often comes with high expectations for performance, which can lead to significant price swings.
- Institutional Investors: Large funds and institutions often invest in expensive stocks due to their stability, liquidity, and potential for long-term growth. These investors might prioritise the security and steady returns that established; expensive stocks can offer.
- Investors Seeking Quality: If you prioritise quality over quantity, you might be drawn to expensive stocks. These stocks often represent companies with strong competitive advantages, solid financials, and the ability to generate consistent earnings.
Investing in expensive stocks requires careful consideration of the stock’s fundamentals and your investment objectives. While they can offer stability and potential growth, it’s important to ensure they fit within your overall portfolio strategy.
Conclusion
Investing in the most expensive stocks in India has benefits as well as limitations. Hence, before making any investment decision, it is always beneficial to consult a financial advisor or do thorough research. Tickertape is your one-stop destination for researching, analysing, and investing in stocks. The Asset Pages is the handy ‘Investment Checklist’, which helps make quick analysis on the viability of an investment, and recently, we have introduced the ‘Scorecard’, which makes the checklist quantitative. Learn more about it here, or start exploring the stock pages right away!
FAQs About the Most Expensive Stocks in the Indian Stock Market
1. Which company has the highest stock price in India?
The most expensive share in India is MRF Ltd. Its share price is Rs. 120,876.75 as of 5th November 2024.
2. Should you buy expensive stocks?
Whether to buy expensive stocks depends on various factors, and the decision should align with your investment goals, risk tolerance, and financial strategy. It is worthwhile to seek advice from financial professionals and conduct thorough research before making investment decisions.
3. Why MRF Ltd share price is so high?
One potential reason for the high price of MRF Ltd’s shares may be because investors view the company positively. Think of it like two smartphones with similar features and specifications. One brand consistently has a higher price than the other. In the stock market, investors look at factors like a company’s financial health and future growth. MRF Ltd’s being the most expensive stock right now with a high share price suggests that many investors think the company is strong and has good potential, making them willing to pay more for its shares.
4. Who should invest in the highest priced shares?
The decision to invest in an expensive stock is based on the investor’s goals, budget, risk tolerance, company’s profile, profitability and more such factors. Investors may consider investing in high price shares when there are expectations of a growth in the long term or when the stock is priced lower than its value. However, before deciding to invest, it’s important for investors to either research on their own or consult with a financial advisor.
5. Can highest priced stocks be profitable for investors?
Investing in the highest priced stocks can be profitable for investors, but it comes with certain considerations. The high price of a stock doesn’t guarantee profitability on its own. Investors need to assess various factors, such as the company’s financial health, growth prospects, and market conditions. It’s also important to align the investment with the financial goals.
Explore other popular stock collections on Tickertape –
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As an insatiable reader and learner, I’ve spent the last two years exploring the world of finance. With my creative mind and curious spirit, I love making complex finance topics easy and fun for everyone to understand. Join me on my journey as we navigate the world of finance together!
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