Jindal Stainless Limited is a well-known Indian company that specialises in manufacturing and selling high-quality steel products domestically as well as internationally. Founded in 1970 in New Delhi, Jindal Stainless Limited provides stainless steel slabs, ferro alloys, cold rolled coils, hot rolled coils, sheets and plates, etc. Further, the company has stronger ties with the ever growing automobile and railway industry, construction and building industries, along with many others.
For the last couple of years, JSL has been performing great in the industry. It has undergone great growth and performance, which makes it a very attractive company to invest in for the investors. Let’s take a closer look at the company and JSL share price. If you’re skeptical as to whether or not to invest in Jindal Stainless Limited, then check out the below points.
- Healthy Financial Background
The current Jindal Stainless share price is ₹163!
According to recent data, the revenue generation of Jindal Stainless Limited has grown from ₹13.76 Billion to ₹40.33 Billion, in just three months. These values definitely hint towards the increasing demands for the company’s products. One major reason behind this booming growth can be the current favourable market conditions. Further, the equity earnings have gone from ₹183.9 (expense) Million to ₹241.6 Million (income). As you can see, the financial performance of the company is quite great, making it a good reason to invest in it.
- Good Returns
Investing in share markets is always a great decision mainly because you get better returns. If you lock your money in a bank’s fixed deposit scheme, then you’ll hardly get returns of 3-4% per year. So, there is no point in taking this approach. Instead, by investing in a high performance and low-risk share like JSL with JSL share price being ₹163, you can earn up to 260% of returns in just a year. And if you keep your money invested for the long term, you can gain up to a massive 607% of returns.
- 1 Month — 2.67%
- 3 Months—55.34%
- 1 Year—260.53%
- 3 Years—156.07%
- 5 Years—607.79%
- Consistent Growth
A company that is growing at a consistent rate is always a better option to invest in even if it offers decent returns. In the case of JSL, it has shown promising growth over the last few years. This growth is consistent because the iron and steel industry in India is among the most thriving sectors. The growing industrialization and globalization are increasing the demands for steel and iron products. So, it is safe to say that JSL will never fall short of business opportunities in future, hence a continuous cash flow.
- Low Debt
No company functions on its own. So, having a minor debt isn’t really a bad sign. But if the debt is huge and the company is struggling to clear it off, it’s a red flag. The best companies are the ones that clear off their debt in a timely manner. Thankfully, Jindal Stainless Limited doesn’t have a huge outstanding debt.
- Safe Investment
In the stock market, they say, the higher the risk, the better the returns, which is true in most cases. However, if you’re planning for a safe investment, then having decent short-returns and booming long-term results is the way to go. JSL shares don’t constitute a higher risk and are offering attractive returns, which is amazing.
- Good for beginners
JSL is a company that has a promising future. Looking at its current performance and the growth of the steel sector, JSL is a great stock to enter the Indian stock market.
- Competitive JSL Share Price
Currently, the JSL share price is ₹163.50, which makes it a great buy for those with a small investment budget. Even if you buy 100 or 200 shares, you can gain impressive returns.
These are the seven reasons to invest in Jindal Stainless Limited. We hope it helps!