Best Gold Stocks to Buy – The popularity of wearing gold jewellery is diminished by high crime rates. People have started to invest in gold stock and gold ETF instead of buying gold jewellery.
Investors buy gold to hedge against risks including inflationary pressures, geopolitical instability, and economic crises that could lead to the metal’s price being very volatile. That has been the circumstance since the start of 2022. In the first few months of the year, gold saw double-digit rises as a result of concerns about inflation and international affairs.
There are several benefits to buying gold stocks rather than the metal itself when investing in gold.
It’s possible that investing in gold company will yield higher total returns than investing in actual gold ( gold metal ). This is done so that these companies can boost production while lowering expenses ( by cost cutting technologies ). These factors might enable gold mining companies to outperform the price of the metal.
It’s health that is real wealth, not pieces of gold and silver”
– Mahatma Gandhi
However, not all gold stocks outperform physical gold. Therefore, before making a purchase, investors must carefully choose the top Gold Stocks in India. With so many companies specialising in gold mining, investors have several possibilities.
Continue reading for a list of the 6 Best Gold Stocks to Buy in 2023 that we have compiled for you.
6 Best Gold Stocks to Buy in 2023
1. Titan Company
Titan Company Limited (Titan Co) is a company in the apparel and accessories sector. The company is currently valued at Rs.2,39,693 crore (market value). One share of the company is currently trading for 2,671.55 on the BSE market and 2,672.40 in the NSE market. The business was founded in the year 1984.
According to the company’s report, overall revenue for the previous year was Rs 20,156.05 crore, and total sales were Rs 20,099.64 crore. The business’s net profit was Rs. 1,517.63 crore. In the current year, Titan Company Limited has paid taxes totaling Rs. -537.17 crore. [Best Gold Stocks to Buy]
| BSE Code: | 500114 |
| NSE Code: | TITAN |
| MKT Cap | ₹ 2,40,353 cr | ROE | 25.87 % |
| P/E Ratio (TTM) | 81.62 | EPS (TTM) | 33.09 |
| P/B Ratio | 25.84 | Div Yield | 0.28 % |
| Industry P/E | 26.80 | Book Value | 104.53 |
| Debt to Equity | 0.78 | Face Value | 1 |
2. Muthoot Finance Ltd.
Muthoot Finance Limited is a company in the finance (including NBFC) sector. The corporation is valued at Rs. 41,791 crore in its whole (market value). One share of the company is now priced at Rs. 1,047.90 in the BSE market and Rs. 1,046.00 in the NSE market. The business was founded in the year 1997.
According to the company’s report, overall revenue for the previous year was Rs. 8,722.791 crore, and total sales were Rs. 8,714.642 crore. The business’s net profit was Rs 3,018.3 crore. In the current year, Muthoot Finance Limited has paid taxes of Rs. 1,020.193 crore. [Best Gold Stocks to Buy]
| BSE Code: | 533398 |
| NSE Code: | MUTHOOTFIN |
| MKT Cap | ₹ 41,806 cr | ROE | 23.38 % |
| P/E Ratio (TTM) | 10.84 | EPS (TTM) | 96.10 |
| P/B Ratio | 2.23 | Div Yield | 2.88 % |
| Industry P/E | 27.63 | Book Value | 468.44 |
| Debt to Equity | 2.65 | Face Value | 10 |
3. Rajesh Exports
Rajesh Exports Limited is a company in the apparel and accessories sector. The company is worth a total of 16,713 crores (market value). One share of the company is currently trading at 571.20 in the BSE market and 569.60 in the NSE market. The company was established in the year 1995.
According to the company’s report, overall revenue for the previous year was Rs. 46,901.889 crore, and total sales were Rs. 46,899.113 crore. The business’s net profit was Rs. 403.223 billion. In the current year, Rajesh Exports Limited has paid tax totaling Rs -71.468 crore. [Best Gold Stocks to Buy]
| BSE Code: | 531500 |
| NSE Code: | RAJESHEXPO |
| MKT Cap | ₹ 16,741 cr | ROE | 8.53 % |
| P/E Ratio (TTM) | 16.70 | EPS (TTM) | 33.95 |
| P/B Ratio | 1.35 | Div Yield | 0.18 % |
| Industry P/E | 26.80 | Book Value | 421.50 |
| Debt to Equity | 0.07 | Face Value | 1 |
4. Manappuram Finance Ltd.
Manappuram Finance Limited is a company in the finance (including NBFC) sector. The total valuation (market value) of the company is ₹8,802 crore. The price of one share of the company is ₹ 103.10 in BSE market today and ₹ 102.90 in NSE market today. The company was established in the year 1992.
As per the report provided by the company, the total income for the last year stood at Rs 4,353.341 crore and the total sales stood at Rs 4,311.303 crore. The company’s net profit stood at Rs 1,230.312 crore. Manappuram Finance Limited has paid tax of -356.441 crores in the current year. [Best Gold Stocks to Buy]
| BSE Code: | 531213 |
| NSE Code: | MANAPPURAM |
| MKT Cap | ₹ 8,798 cr | ROE | 22.77 % |
| P/E Ratio (TTM) | 7.50 | EPS (TTM) | 31.60 |
| P/B Ratio | 1.05 | Div Yield | 0.72 |
| Industry P/E | 27.38 | Book Value | 143.99 |
| Debt to Equity | 2.97 | Face Value | 1 |
5. Vaibhav Global
Vaibhav Global Limited is a company in the apparel and accessories sector. The total valuation (market value) of the company is ₹6,437 crore. The price of one share of the company is ₹381.80 in BSE market today and ₹381.45 in NSE market today. The company was established in the year 1989.
As per the report provided by the company, the total income for the last year was Rs 542.86 crore and the total sales were Rs 430.685 crore. The company’s net profit stood at Rs 127.369 crore. Vaibhav Global Limited has paid tax of -5.984 crores in the current year.[Best Gold Stocks to Buy]
| BSE Code: | 532156 |
| NSE Code: | VAIBHAVGBL |
| MKT Cap | ₹ 6,304 cr | ROE | 22.74 % |
| P/E Ratio (TTM) | 40.45 | EPS (TTM) | 9.48 |
| P/B Ratio | 5.57 | Div Yield | 1.54 % |
| Industry P/E | 26.35 | Book Value | 68.79 |
| Debt to Equity | 0.15 | Face Value | 2 |
6. Kalyan Jewellers
T. S. Kalyanaraman created Kalyan Jewellers, launching the company’s first jewellery store in 1993 in Thrissur, Kerala, India, with an initial capital of 7.5 million (about $94,000). The corporation also has a long history in the wholesale, retail, and trading of textiles. [Best Gold Stocks to Buy]
| BSE Code: | 532156 |
| NSE Code: | VAIBHAVGBL |
| MKT Cap | ₹ 10,033 cr | ROE | 7.52 % |
| P/E Ratio (TTM) | 26.07 | EPS (TTM) | 3.74 |
| P/B Ratio | 3.20 | Div Yield | NA |
| Industry P/E | 26.35 | Book Value | 30.46 |
| Debt to Equity | 1.28 | Face Value | 10 |
Factors to Remember Before Investing in Gold Stocks
Gold is not a cheap commodity, so a bad hand could cost you your hard-earned cash. If you are considering purchasing gold shares in India or already own some, bear the following in mind:
Select Your Investment Strategy
Investing in gold stocks can be done in one of three ways: directly through gold mining companies, through gold exchange-traded funds, or through gold mutual funds. Prior to making a purchase, it is crucial to weigh the benefits and drawbacks of each of these modalities by carrying out independent research.
Keep Up With the Times
In order to completely understand your assets, you must stay up to date on everyday occurrences.
Tax Benefits
Additionally, gold stocks have some tax benefits. Funds, such as the SBI Gold Fund, can be thought of as non-equity instruments. Gold Stocks can be sold for long-term capital gains once a year has passed since the first investment.
Conclusion
You can now think about buying Gold-related Stocks in India after reading about the different kinds of Gold Stocks you can buy. Even though buying gold stocks is normally a secure investment, you must do your research first.
