Best Alcohol Stocks in India: A Comprehensive Guide!

Dear friends, the alcohol industry is one that will always have demand. That’s why alcohol companies in India are growing rapidly.

If you’re knowledgeable about the stock market and looking for the best alcohol stocks in India, you’ve come to the right place. In this article, we’ve tried to provide a list of good stocks of alcohol companies.

Along with the list of alcohol companies, we’ve also tried to provide brief information about those companies. After reading this article, please do your own analysis and invest.

Explore the best alcohol stocks in India with detailed analysis, key financial metrics, and insights into top-performing companies like United Breweries, Sula Vineyards, and more. Perfect for investors seeking opportunities in the growing alcohol industry.

Alcohol is a unique industry whose demand remains constant regardless of economic cycles. This makes investing in alcohol-related companies an attractive prospect for many.

In India, the alcohol industry has shown remarkable growth, and several companies have emerged as top performers.If you’re a stock market enthusiast seeking to explore the best alcohol stocks in India, you’ve come to the right place.

This article delves into the top alcohol stocks, offering a detailed analysis of their performance, market potential, and fundamental metrics. After reading, you’ll be better equipped to make informed investment decisions.

Top Alcohol Stocks in India with Insights

Here’s a list of India’s leading alcohol stocks, along with brief overviews of their companies. Each entry includes key financial metrics and factors to consider before investing.

1. Khoday India Limited

• Established: September 28, 1965
• Business: Produces malt whisky, rum, and brandy. Popular brands include Peter Scot Whisky and Red Knight Whisky.
• Current Share Price: ₹116
• Market Cap: ₹391 crore

Key Financial Metrics:

• Return on Capital Employed (ROCE): 2.12%
• Return on Equity (ROE): -62%
• No dividends for investors.
• Debt: ₹214 crore.

Why Consider?
Khoday India operates in a stable segment with strong brand recognition but has notable financial challenges, including low returns and high debt. Analyze the company’s annual reports and fundamentals before investing.

2. Jagatjit Industries Limited

• Established: 1944
• Business: Manufactures Indian-made foreign liquor (IMFL) like whisky, vodka, rum, and brandy. It also produces malted milk foods and natural alcohol.
• Current Share Price: ₹209
• Market Cap: ₹975.27 crore

Key Financial Metrics:

• ROCE: 12.7%
• ROE: 9.01%
• PE Ratio: 78.9
• Revenue growth: 2.33% increase in FY23
• Promoter holding: 88.03%

Why Consider?
Jagatjit Industries is steadily growing with a diversified product portfolio. However, high valuation (PE ratio) and limited dividends require careful evaluation.

3. Tilaknagar Industries Limited

• Established: 1933
• Business: Specializes in IMFL, including vodka, brandy, whisky, and rum. It plans to expand production using molasses.
• Current Share Price: ₹246
• Market Cap: ₹4.73 trillion

Key Financial Metrics:

• ROCE: 15.5%
• ROE: 23.9%
• Dividend Yield: 0.10%
• CAGR (5 years): 19.8%

Why Consider?
With consistent profit growth and nearly debt-free status, Tilaknagar Industries has strong fundamentals. Review the company’s latest financial statements before investing.

4. Sula Vineyards Limited

• Established: 1996
• Business: India’s largest wine producer and seller, offering vineyard tourism experiences to raise awareness.
• Current Share Price: ₹612
• Market Cap: ₹5.17 trillion

Key Financial Metrics:

• ROCE: 19.9%
• ROE: 18.3%
• Dividend Yield: 0.86%
• CAGR (5 years): 36.8%

Why Consider?
Sula Vineyards has shown impressive growth in revenue and profitability. However, declining promoter holding raises concerns about investor confidence.

5. G M Breweries Limited

• Established: 1981
• Business: Produces premium alcohol brands like Doctor Brandy and Hot Shot Rum, with operations in Haryana and Goa.
• Current Share Price: ₹649
• Market Cap: ₹1.17 trillion

Key Financial Metrics:

• ROCE: 19.7%
• ROE: 15.0%
• PE Ratio: 11.7
• Dividend Yield: 0.94%

Why Consider?
Debt-free status and stable returns make G M Breweries a reliable option for long-term investors.

6. Globus Spirits Limited

• Established: February 16, 1993
• Business: Manufactures country liquor, foreign spirits, and other branded alcohol products.
• Current Share Price: ₹859
• Market Cap: ₹2.48 trillion

Key Financial Metrics:

• ROCE: 18.5%
• ROE: 14.7%
• Dividend Yield: 0.70%
• CAGR (5 years): 76.7%

Why Consider?
Globus Spirits’ high CAGR indicates substantial growth potential, but declining promoter holdings may require further investigation.

7. United Spirits Limited

• Established: 1826
• Business: A subsidiary of Diageo, producing iconic brands like Johnnie Walker and Black Dog.
• Current Share Price: ₹1112
• Market Cap: ₹80.88 trillion

Key Financial Metrics:

• ROCE: 20%
• ROE: 17.5%
• Dividend Yield: 0.36%
• Revenue (FY23): ₹10,685 crore

Why Consider?
With an extensive portfolio of premium brands, United Spirits remains a market leader. It’s nearly debt-free, making it a safe bet for conservative investors.

8. United Breweries Limited

• Established: 1857
• Business: Produces popular beer brands like Kingfisher and non-alcoholic beverages.
• Current Share Price: ₹1766
• Market Cap: ₹46.98 trillion

Key Financial Metrics:

• ROCE: 11.4%
• ROE: 8.27%
• PE Ratio: 139
• Dividend Yield: 0.42%

Why Consider?
United Breweries has a dominant market presence, but high valuations and modest returns require careful consideration.

Summary of Stock Prices

FAQs

1. Which are the best alcohol stocks in India?
Top alcohol stocks include Khoday India, Jagatjit Industries, Tilaknagar Industries, Sula Vineyards, G M Breweries, Globus Spirits, United Spirits, and United Breweries.

2. What factors should I consider before investing in alcohol stocks?

• Analyze ROCE, ROE, and PE ratio.
• Check dividend yield and debt levels.
• Review the company’s fundamental analysis and future growth potential.

Conclusion

Alcohol stocks in India offer promising investment opportunities, especially with the industry’s stable demand. However, it’s essential to conduct thorough research, evaluate current fundamentals, and consider consulting a financial advisor before investing.

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