There are many quality shares available on the stock market for less than Rs 100, and these shares have the potential to grow significantly over time. If you can invest in these quality shares strategically over a longer length of time, you will be able to earn high returns on your investment. Value investing refers to long-term investments in lower-priced quality stocks.
Benjamin Graham, a British-born American scholar and investor, is widely regarded as the father of value investing. Warren Buffet, his wunderkind student, became the world's richest investor by following his investment philosophy and methods. In this investment method, the investor selects specific low-priced quality company stocks with great future growth potential. As a value investor, you cannot simply pick any undervalued stock under Rs 100 offered on the stock exchange. To begin selecting ideal stocks, you must first go through a procedure known as fundamental analysis.
According to Benjamin Graham, the pioneer of value investing, any investment made without prior examination and investigation into the company is merely speculative. As a result, in order to achieve guaranteed results, you must invest after thoroughly researching the firm and its fundamentals.
- L&T Finance Holdings - It is a financial holding company that provides a focused variety of services in the housing, rural and wholesale finance sectors, as well as wealth management services and mutual fund products through wholly-owned subsidiaries. (CMP as of 26th Aug, 2022 - Rs 81.10)
- Ashoka Buildcon Ltd - Its portfolio of 41 PPP projects is the greatest of any private company in India. Aside from highway and bridge construction, the corporation is also involved in building construction, power, railways, and city gas distribution. Ashoka has worked in 22 states across the country, completing major projects for both the Central and State Governments. It has finished projects in the Republic of Maldives. (CMP as of 26th Aug, 2022 - Rs 79.90)
- Federal Bank Ltd - It is located in Aluva, Kerala, and is one of the largest Indian commercial banks in the private sector. Treasury operations, wholesale banking, retail banking, and other banking activities are the four business sectors of the bank. (CMP as of 26th Aug - Rs 115.10 )
- Steel Authority of India - It is India's largest steel manufacturer. The company is a fully integrated iron and steel manufacturer, manufacturing both basic and special steel for the domestic building, engineering, power, railway, automotive, and defence industries, as well as for export markets. (CMP as of 26th Aug, 2022 - Rs 81.70)
- NLC India Ltd - It is a government-owned fossil fuel miner and thermal power generator owned by the Government of India's Ministry of Coal. It produces around 30 million tonnes of lignite per year from opencast mines in the southern Indian state of Tamil Nadu and Barsingsar in the Rajasthan district of Bikaner. In addition, a 1200 MW captive thermal power plant adjacent to the Smelter facility will fulfil the Smelter's power requirements. (CMP as of 26th Aug, 2022 - Rs 75.30)
Overall, by combining your own research with above advice, you should be able to identify the best stocks under Rs 100 and buy them at the appropriate price and at the right time to maximise your return as a successful online trader. For new investors, a FREE Demat Account with full service brokers like Motilal Oswal who provide expert research and recommendations for free can be really helpful as it reduces the risk of them investing in risky penny stocks while chasing higher returns. Open your FREE Demat Account with Motilal Oswal today!