Which are the top Internet of Things(IoT) stocks in India?
Based on stock screener, these are the top Internet of Things stocks in India:
- #1 SIEMENS
- #2 HAVELLS INDIA
- #3 POLYCAB INDIA
- #4 VOLTAS
- #5 HONEYWELL AUTOMATION
You can see the full list of Internet of Things(IoT) stocks here.
What is Internet of Things (IoT)?
The Internet of Things (IoT) refers to the network of physical objects or "things" that are embedded with sensors, software, and connectivity, allowing them to collect and exchange data with other devices and systems over the internet. These can be anything from everyday objects like home appliances and vehicles to industrial equipment and infrastructure.
IoT technology enables these objects to communicate with each other and with humans, creating a web of interconnected devices that can be remotely controlled and monitored. This can improve efficiency, safety, and convenience in many different areas, from healthcare and transportation to home automation and energy management.
IoT devices can range from simple sensors that monitor temperature or humidity to complex systems that integrate data from multiple sources to make intelligent decisions.
How should you value Internet of Things (IoT) stocks?
Investing in stocks requires careful analysis of financial data to find out a company's true worth. However, an easier way to find out about a company's performance is to look at its financial ratios.
Two commonly used financial ratios used in the valuation of stocks are -
Price to Earnings Ratio (P/E) - It compares the company's stock price with its earnings per share. The higher the P/E ratio, the more expensive the stock.
Price to Book Value Ratio (P/BV) - It compares a firm's market capitalization to its book value. A high P/BV indicates markets believe the company's assets to be undervalued and vice versa.