The top 10 Nifty 50 stocks have crumbled like a house of cards. On Friday, December 20, 2024, the Nifty 50 index lost over 350 points. It marked the Indian stock market’s worst week this year. Investors saw a massive loss of ₹19 lakh crore. 48 out of 50 stocks—except Dr Reddy’s and Cipla—closed in the red. The Sensex also crashed, losing nearly 1,200 points. Shriram Finance (-9%), Tata Motors (-8.4%), and JSW Steel (-8.25%) emerged as the worst performers on the index this week, with many stocks plunging to their 52-week lows.
Does this massive sell-off present a buying opportunity in these beaten-down stocks that shape the broader market’s direction? I’ll save that question for a separate blog. Here, I’ll focus on the top 10 Nifty 50 stocks that have crashed the most this year and are trading at their 52-week lows.
Also read- Stock Market Crash: Nifty posts worst week of 2024
Why do Nifty 50 stocks matter?
The Nifty 50 index serves as a standard for evaluating the general performance of the Indian stock market. The index represents the top 50 companies listed on the National Stock Exchange (NSE). A strong performance by the Nifty 50 typically signifies a healthy state of the market as a whole. Generally speaking, Nifty 50 equities are big, well-known businesses with substantial market capitalization and liquidity. Compared to smaller or mid-cap stocks, this makes them more stable and less volatile. This gives investors a safer choice.
The Indian economy is represented by these 50 equities, which are spread across several industries. These are large-cap firms in sectors such as consumer products, healthcare, technology, energy, and finance. Because of its diversity, the Nifty 50 is a reliable gauge of market trends.
Should you invest during a Market Crash?
So, does a market crash present a buying opportunity?
I will answer this question with the wisdom of Warren Buffett, the renowned investor.
“Opportunities come infrequently. When it rains gold, put out the bucket, not the thimble.”
This quote highlights that market crashes can create rare opportunities to buy quality stocks at discounted prices. Sir Buffett encourages investors to capitalize on these moments when stocks are undervalued
“Be fearful when others are greedy and greedy when others are fearful.”
This quote emphasizes taking advantage of market downturns. While others may panic and sell off their stocks, savvy investors can find value by buying when the market is fearful.
the top 10 Nifty 50 stocks trading at their 52-week lows.
Let’s discuss the top 10 Nifty 50 stocks that are currently trading at their 52-week lows:
1. Reliance Industries Ltd
•Current Price: ₹1,217
•52-Week High (08-Jul-2024): ₹1,608.80
•52-Week Low (20-Dec-2024): ₹1,201.50
2. ITC Ltd
•Current Price: ₹468
•52-Week High (27-Sep-2024): ₹528.50
•52-Week Low (12-Mar-2024): ₹399.35
Read the full analysis- ITC Fundamental Analysis: Building a Solid Strategy
3. Hindustan Unilever Ltd
•Current Price: ₹2,349
•52-Week High (23-Sep-2024): ₹3,035.00
•52-Week Low (16-Apr-2024): ₹2,172.05
4. Adani Enterprises Ltd
•Current Price: ₹2,369
•52-Week High (03-Jun-2024): ₹3,743.90
•52-Week Low (22-Nov-2024): ₹2,025.00
5. Tata Motors Ltd
•Current Price: ₹730
•52-Week High (30-Jul-2024): ₹1,179.00
•52-Week Low (21-Dec-2023): ₹696.25
Read the full analysis- Fundamental Analysis of Tata Motors: Beyond the Dashboard
6. Asian Paints Ltd
•Current Price: ₹2,291
•52-Week High (29-Dec-2023): ₹3,422.95
•52-Week Low (19-Dec-2024): ₹2,265.35
Read the full analysis- Asian Paints Fundamental Analysis: Mastering The Market
7. Nestle India Ltd
•Current Price: ₹2,174
•52-Week High (27-Sep-2024): ₹2,778.00
•52-Week Low (20-Dec-2024): ₹2,145.40
8. Britannia Industries Ltd
•Current Price: ₹4,690
•52-Week High (03-Oct-2024): ₹6,469.90
•52-Week Low (19-Apr-2024): ₹4,641.00
9. IndusInd Bank Ltd
•Current Price: ₹935
•52-Week High (15-Jan-2024): ₹1,694.50
•52-Week Low (20-Dec-2024): ₹926.45
10. Tata Consumer Products Ltd
•Current Price: ₹899
•52-Week High (11-March-2024): ₹1256
•52-Week Low (20-Dec-2023): ₹882
These stocks are well-established, large-cap companies with strong growth potential. Currently, they are available at discounted prices, presenting attractive opportunities for investors. Large-cap stocks are known for providing stability and are typically less volatile, making them an essential part of a balanced portfolio.
While I haven’t provided a detailed analysis for each stock in this blog, I have discussed them in-depth in separate posts. Feel free to explore them for further insights.
Also read: Nifty 50 Stocks List with Weightage in 2024: From A to Z
Bottom Line
The market always corrects itself after delivering hefty returns — it’s simply the nature of the business cycle. In the current year, the Nifty 50 delivered a 13% return before experiencing a 5% decline.
We’ve discussed the top 10 Nifty 50 stocks that have touched their 52-week lows, presenting potential opportunities for investors. While market corrections are inevitable, they also offer unique chances to invest in fundamentally strong companies at discounted prices. The key for investors is to stay focused on the long-term potential, avoid panic selling and stick to your initial strategies.
That’s all for today’s post. Hope you get some valuable insight from here.
Thank You!
Happy Reading!
Disclaimer
The blog is meant for informational purposes and serves the general analysis of the stocks. The contents provided here are based on careful research and analysis utilizing the fundamental and technical indicators over a period of time. The post does not consist any direct recommendation about Investing or trading in the securities market. Thorough research and careful consideration are necessary for individuals to fulfil their responsibility in making financial decisions. Seeking professional advice before making any financial decisions is always advisable.
