The National Stock Exchange (NSE) has released the first Nifty EV and New Age automotive index in India designed to monitor the performance of businesses operating in the electric car industry, including those using hydrogen and hybrid technology. This is a big step in the direction of encouraging investment in the developing EV sector. The companies that produce and supply electric or new-age vehicles, as well as the parts, batteries, raw materials, and technologies necessary for this industry, are included in the Nifty EV & New Age Automotive index.
This index is unique in that it only considers companies listed on the Nifty 500. There are 33 notable stocks in the index at the moment. Leaders in the sector like Bajaj Auto, Mahindra, Maruti Suzuki, and Tata Motors are among them. Companies that represent the various facets of the new automotive technologies are also listed, such as Exide Industries, Bosch, and Samvardhana Motherson International.
Future additions to the index might include up-and-coming EV companies like Ola Technologies, Ather Energy, and Hyundai Motor India, emphasizing the industry’s dynamic and changing nature. This potential inclusion would further increase the index’s significance and scope.
Nifty EV and New Age Automotive Index Details
The Nifty EV & New Age Automotive Index has a base value of 1000 and its base date is April 2, 2018. To maintain this index’s accuracy and relevance in tracking the ever-changing EV market landscape, it will go through quarterly rebalancing as well as semi-annual reconstitution. The companies that manufacture EVs, new age automobiles, electric batteries, EV or electric battery component manufacturers, and businesses that manufacture or sell raw materials for EVs and autonomous vehicle technologies are all included in the Nifty EV & New Age Automotive Index.
It also comprises suppliers of technologies for autonomous vehicles and manufacturers of autonomous vehicles. Important principles that investors in Nifty EV & New Age Automotive should take into account before making an investment. The index’s dividend yield is now 0.72. The ratio of price to book is 6.09 and the ratio of price to earnings (P/E) is 33.07.
