Are you crazy about technology and always thinking about investing in the future? Then this blog is just for you! Nowadays there is a buzz about Artificial Intelligence everywhere. This is the technology that has the power to change the future. A great way to take advantage of this technology is to invest in shares of companies related to Artificial Intelligence.
In this blog, we will take a look at 7 artificial intelligence stocks in India that are making waves in the field of Artificial Intelligence. These companies are not only working on state-of-the-art technology but also making a lot of promises for the future. So if you are thinking of investing in the stock market and are also interested in future technology, then do read this blog!
Understanding Artificial Intelligence Stocks
AI stocks refer to stocks of companies that are involved in the development and use of artificial intelligence stocks (AI) technologies. These artificial intelligence companies in India stock may specialize in different areas of artificial intelligence, such as machine learning, natural language processing, robotics, etc.
Since artificial intelligence is a broad field, no single best AI stock represents the entire industry. But, many publicly traded companies are leaders in AI and investing in their stock allows you to be a part of the AI industry.
Top 7 Artificial Intelligence Stocks in India
Here’s a list of some of the best artificial intelligence stocks in India for 2024, categorized based on market capitalization:
1. Persistent Systems
Persistent Systems is an Indian multinational information technology (IT) services company founded by Anand Deshpande in 1990. Its headquarters is located in Pune, Maharashtra, India. This artificial intelligence stocks company focuses on cloud computing, the Internet of Things, endpoint security, big data analytics and software product engineering services.
Persistent Systems is a publicly traded company on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE), India. Its present CEO is Sandeep Kalra.
Let’s take a look at its shares:
- Market Cap: ₹59,313 crore (as of 7 June 2024)
- Current Price: ₹3,850 (as of June 7, 2024)
- 52 Week High/Low: ₹4,490 / ₹2,317
- P/E Ratio: 54.2
- Book Value: ₹322
- Dividend Yield: 0.52%
2. Zensar Technologies
Zensar Technologies Ltd. is an Indian multinational software and services company. This top AI stock was established in 1963.
This artificial intelligence stocks company is a subsidiary of RPG Group, whose chairman is Harsh Goenka. Zensar Technologies is headquartered in Pune, India, and its stock is traded on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).
ZenSar Technologies is one of the digital solutions & technology service firms. The firm specializes in partnering with global organizations across industries on their digital transformation journey.
Let’s take a look at its shares:
- Market Cap: ₹15,257 crore (as of June 7, 2024)
- Current Price: ₹673 (as of June 7, 2024)
- 52 Week High/Low: ₹697 / ₹376
- P/E Ratio: 22.9
- Book Value: ₹157
- Dividend Yield: 0.74%
3. Affle (India)
Affle (India) Limited is a global technology company headquartered in India, specializing in consumer intelligence-driven mobile marketing platforms. Affle leverages a proprietary platform that utilizes consumer data and insights to deliver targeted and effective mobile advertising.
These artificial intelligence stocks possess a strong technology stack that includes Appnext, Jampp, MAAS, Media Smart, RevX, Vizury, and YouAppi, all working together to provide comprehensive mobile advertising solutions.
Let’s take a look at its shares:
- Market Cap: ₹16,843 crore (as of June 7, 2024)
- Current Price: ₹1,201 (as of June 7, 2024)
- 52 Week High/Low: ₹1,337 / ₹971
- P/E Ratio: 56.7
- Book Value: ₹178
- Revenue in FY2024: ₹18,428.11 crore (US$2.4 billion)
- Revenue Growth in FY2024: 50% YoY
4. Tata Elxsi Ltd
Tata Elxsi is one of the world’s leading providers of design and technology services to industries such as automotive, media, telecommunications and healthcare.
Tata Elxsi artificial intelligence stocks provide comprehensive services from research and design to electrical and electronics engineering, software development, analysis and implementation, supported by its design network, international construction sites and international offices.
Let’s take a look at its shares:
- Market Cap: ₹44,341 crore (as of June 7, 2024)
- Current Price: ₹ 7,120 (as of June 7, 2024)
- 52 Week High/Low: ₹9,200 / ₹6,407
- P/E Ratio: 56.0
- Book Value: ₹402
- Dividend Yield: 0.85%,
5. Bosch ltd
Bosch Limited has a presence in automotive technology, industrial technology, consumer goods and energy and building technology. This artificial intelligence stocks company manufactures and markets products such as diesel and gasoline injection systems, automotive aftermarket products, power tools, power tools, safety systems, product and customer efforts and solutions.
Let’s take a look at its shares:
- Market Cap: ₹90,241 crore (as of June 7, 2024)
- Current Price: ₹30,597 (as of June 7, 2024)
- 52-week High/Low: ₹32,230 / ₹17,925
- P/E Ratio: 49.3
- Book Value: ₹4,090 (as of June 7, 2024)
- Dividend Yield: 1.23%,
- Revenue Amount: ₹14,929 crores (approximately $1.67 billion based on current exchange rates)
- Revenue Growth: 26.7% increase compared to the previous fiscal year
6. Oracle Financial Services Software
Oracle Financial Services Software is a leading company in the Indian financial and insurance technology sector. This Artificial intelligence stock was originally an Indian company that was later acquired by the American multinational company Oracle. Established in 1989, the artificial intelligence stocks company was initially an independent Indian company. In 2006, it was purchased by Oracle Corporation.
Let’s take a look at its shares:
- Market Cap: ₹72,890 crore (as of June 7, 2024)
- Current Price: ₹8,406 (as of June 7, 2024)
- 52 Week High/Low: ₹9,023 / ₹3,522
- P/E Ratio: 32.8
- Book Value: ₹907
- Dividend Yield: 2.86%
- Annual Revenue: As of June 8, 2024, the most recent revenue would show a figure for ₹57 billion (roughly US$700 million)
7. Saksoft Ltd
Saksoft Limited is your digital transformation partner in the world of computers! Established in 1999, this Indian information technology (IT) company serves businesses across multiple sectors and helps them move forward in the digital world.
They design, develop and maintain new software applications or websites for your business. Companies ensure that their software products are error-free and of high quality before they hit the market.
They help you understand which technologies are best suited to take your business forward.
Let’s take a look at its Financial Performance:
- Market Capitalization: ₹ 2,749 crores
- Current Price: ₹ 259
- High/Low: ₹ 402 / ₹ 210
- P/E Ratio (Stock P/E): 28.6
- Book Value: ₹ 47.7
- Dividend Yield: 0.31%.
Key Factors to Consider When Investing in Best AI Stocks In India
When investing in artificial intelligence stock market companies in India, the key factors that matter in valuing each stock are more than the number of investments. Key points to note are:
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Market and growth potential:
Research the overall growth prospects of the Indian AI market. Pay attention to the growing trends of AI adoption in various sectors like healthcare, finance, and manufacturing. Check how strong a position the company holds in the artificial intelligence stocks market. Companies with a strong market presence, innovative products and a clear path to market expansion are more attractive.
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Company Fundamentals:
Analyze the financial statements of the company. Look for strong and growing revenues, profitability (if available), a strong balance sheet and manageable debt levels. Companies that invest heavily in research and development are more likely to stay ahead of new technologies and maintain a competitive edge.
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Technological capabilities:
Evaluate the company’s portfolio of AI solutions and patents. Companies with unique and advanced AI technologies are more likely to be successful in the long run. The quality of a company’s AI team is important. Companies that attract and retain top AI talent are more likely to be innovative and successful.
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Strategic Partnership and Cooperation:
Partnerships with other tech companies, research institutes, and government agencies can enhance a company’s AI capabilities and expand its market reach.
The diverse and growing customer base across various sectors indicates strong demand for the company’s AI products and services.
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Official Rules:
Stay updated on government policies and regulations affecting the artificial intelligence stocks industry. Favourable government initiatives can enhance growth, while restrictive regulations can create challenges. Make sure companies follow data privacy, security, and ethical AI use regulations to avoid potential problems.
Conclusion:
The best artificial intelligence stocks in India are poised for significant growth due to increasing use across various industries and government support. Although this blog covers 7 AI stock companies in India, remember that this is just a start. Thorough research is important before investing in any AI stock.
Before investing in Artificial Intelligence stocks in India, it is important to understand the overall technology environment. The semiconductor industry is very important. These chips are the brains of the computer and are needed for AI to run.
If you want to strengthen your stock market investments, look at semiconductor stocks. There is a lot of hope in this sector in the coming times due to the growth of AI and other new technologies. Therefore, buying semiconductor stocks can be a good option.
Disclaimer: The information provided in this blog post does not constitute financial advice and cannot replace the opinion of a financial advisor. You need to note that investment is a very sensitive area hence you should consult your financial expert before investing in artificial intelligence stocks. The content of this blog should not be construed as an endorsement of the featured share(s) or any investment strategy.
FAQs
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What factors should be kept in mind while investing in AI stocks?
Consider the following points when investing in AI stocks:
- Company’s financial position and development prospects
- Investment in Research and Development (R&D)
- The company’s technical capabilities and patents
- Strategic Partnerships and Customer Base
- Competitive landscape and company’s market share
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Which are the best artificial intelligence stock companies in India?
Some of the best AI companies to invest in India are:
- Persistent Systems
- Zensar Technologies
- Affle (India)
- Tata Elxsi Ltd
- Bosch ltd
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What are the government policies for investment in AI in India?
The Government of India is driving favourable policies and initiatives for AI and Digital India, including support for start-ups, research and development investment, and AI education and training programs. These policies promote the AI industry and create a favourable environment for investors.
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How are AI stocks valued?
Pay attention to the following financial metrics when evaluating AI stocks:
- Price-to-Earnings (P/E) Ratio
- Price-to-Sales (P/S) Ratio
- revenue growth rate
- profit margin
- debt level
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What are the risks when investing in AI stocks?
The following are the risks one may face while investing in AI stocks:
- Rapid technological change and innovation
- increased competition
- Regulatory challenges and policy changes
- Economic conditions and market volatility
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When is the best time to invest in AI stocks?
The best time to invest is when market conditions are favourable and the companies’ strong financial position and prospects. Seeking advice from market experts and analysts may also be helpful.
