Best Big Data Stocks in India 2023

Let us first under what is big data – Image people using a website like google all over the world. If one were to sit an analyse the data that runs into billions and is always a work in progress conventional tools may not help. When we use different models to analyse such humongous amount of data that has volume, velocity (continuous) and variety, it falls into the realm of big data. 

The companies that present solutions to analyse such as data are big data stocks. It not a new comparatively new genre, especially after the explosion of e-commerce websites that have keep innovating.
 

List and overview of Top 10 Big Data Stocks to Buy

Tata Consultancy Service: TCS offers various solutions for big data such as TCS Datom, TCS Daezmo and TCS Dexam. These solutions help helps firms with data democratization and platform-agnostic implementation for faster time-to revenue and low risks, claims TCS. The stock of TCS is near 52-week high and has been above short-, medium and long-term averages too. Shares of India’s biggest software services company has seen upgrades brokers in the past three months.

Infosys: The company’s claims that its Big Data and Analytics Testing services ensure 100% validation of all structured and unstructured data. The stock of Infosys is trading above short and long-term averages and has got upgrades from some brokerages recently. However, the stock also saw a negative breakdown below first support in recent past.

HCL Technologies: The company offers data-driven strategies to its clients to help them improve their product offering.  The stock is near a 52-week high and its RoCE has been improving in the last two years, earning upgrades from brokers. MFs, however, have reduced their exposure to the stock in the last quarter. 

Wipro: The stock’s book value per share has been improving for last two years but it has seen a negative breakdown from first support level and has also seen waning support from mutual funds. The MF holding in the stock has also come down in the last quarter.

Tech Mahindra: The stock of is near 52-week high and above short-, medium and long-term averages. It has also got upgrades from brokers in the recent past. MFs, however, decreased their shareholding in the company in last quarter.

L&T Technology Services:  The stock of is near 52-week high with high Piotroski score with high return on equity as well as EPS growth. Many brokers have upgraded their target price for the stock in past three months. 
MphasiS: The stock is a 52-week high and above long-term averages. Fundamentals of the company have improved further with earnings matching expectations, earning upgrade from brokers on target price. The stock has also seen positive breakout from first resistance.  

Happiest Minds Technologies: The company has managed to gain a foothold in big data despite being a late entrant thanks to its marquee promoters. Fundamentals of the company have stayed strong but it has low Piotroski Score and has also seen decline in net cash flow. 

L&T Mindtree: The company’s earnings and return on assets have improved in the last two years, leading to stock upgrade from brokers. FII/FPIs have also show higher interest in the stock.

Tata Elxsi: The stock of Tata Elxsi has shown improvement in return on equity since last two year and has got upgrade from brokers in the past three months. However, earnings need to improve to sustain interest from investors. 

Overview of the Big Data Industry 

A NASSCOM report says businesses spent $215 billion on solutions for big data analytics in 2021 and expects Indian analytics industry to touch $16 billion by 2025. Indian companies are getting more and more orders from global biggies in their quest to analyse data on the go. According to a report by The Insight Partners, the global big data analytics market size is expected to hit $638.66 billion by 2028 and a chunk of this will also flow to Indian outsourcing industry. 

Factors to Consider Before Investing in Big Data Stocks in India

Business model:  One should carefully evaluate what each company is offering in big data. Is it just collection of data or also tools for analytics? 

Fundamentals: Investment into a stock should be done only after thorough checks into the earnings, debt and other parameters of financial health of a company. 

Competition: Invest into a company that has some kind of leverage over its peers and has gained substantial market share. 

Client base: A company with a wider client base is better than one that leans heavily on few clients.

Performance Overview of Big Data Stocks in India  

Conclusion

As the market for big data is growing so is the opportunity for Indian information technology companies that provide solutions for such data analytics. The revenue pie of big data for IT companies has been growing and may help lift their stocks in future.