What is blue chip stock in stock market
Hello friends we heard lot about blue chip stock lets understand quickly details are below A blue-chip stock refers to the shares of a large, well-established, and financially sound company that has a history of stable performance and reliable returns. These stocks are typically leaders in their respective industries and are known for their strong balance sheets, consistent earnings, and regular dividends. In the context of the Indian stock market (NSE - National Stock Exchange)blue-chip stocks often include companies that are part of the Nifty 50 index, which represents the top 50 companies listed on the NSE based on market capitalisation and liquidity. Features of Blue-Chip Stocks: 1. Market Leadership:These companies are leaders in their industries. 2. Stable Returns:They offer consistent returns over the long term. 3. Dividend Payouts: Many blue-chip companies pay regular dividends. 4. Resilience: They tend to perform relatively well during market downturns. 5. Investor ...