Stock Market Sectors

There are many ways to classify stocks into sectors. According to the NSE Industry Classification, there are 12 macro-economic sectors, 22 sectors, 59 industries, and 197 basic industries. Caution must be exercised, as what might be an industry for certain groups of people/businesses can be a sector for others.

Apart from the websites of the stock exchanges, apps like Upstox will come in handy in finding sector-specific stocks. These platforms group stocks based on industries, helping traders compare.

Different sectors show varying performance depending on market conditions, economic shifts and government rules. Tech companies, banks and drug makers often do well but it is crucial to look at recent trends, profit reports and key economic factors before investing.

One of the simpler ways is to look at the debt-to-equity ratio, ROE and EPS. Growth potential, new developments and market cap are also key factors to consider.

Banking, financial services, IT, healthcare, consumer goods, energy, infrastructure, real estate and automobiles are the major sectors in the Indian capital market. All these sectors impact the economy and provide investment opportunities to the people.

Selecting stock market sectors depends on your investment horizon, risk appetite, growth prospects of the sector and the overall economic condition. A sector-specific analysis before picking the stocks could be helpful to minimise risks. IT, Green Energy, FMCG and Automobile are some of the growing sectors in India.