Top Picks for Intraday Trading Below Rs. 500: High-Value, Low-Cost Stocks in 2025
Overview
Intraday trading with stocks priced below Rs. 500 opens doors for traders aiming to maximize gains with limited capital. These stocks can deliver strong, short-term growth due to their often-volatile nature, making them attractive for active traders. However, low-cost stocks also carry unique risks, such as lower liquidity and price swings that may require careful risk management. With focused technical and fundamental analysis, along with a solid trading strategy, traders can make the most of these affordable opportunities in India’s stock market. When approached with caution, intraday trading in this segment has the potential to yield rewarding outcomes.
Why Do Stocks Under Rs. 500 Attract Traders Interest?
Traders are often drawn to stocks priced under Rs. 500 for several strategic reasons:
Affordability
Lower-priced stocks offer an accessible entry point, allowing traders to purchase more shares without a substantial financial commitment. This affordability is particularly attractive to new traders or those looking to trade smaller amounts while still benefiting from potential gains.
Opportunity for Growth
Many low-cost stocks belong to emerging or rapidly evolving companies with strong growth prospects. These stocks may be positioned to appreciate significantly over time, particularly if the company is expanding its market reach, innovating its products, or pursuing robust growth strategies.
Enhanced Diversification
Trading in stocks under Rs. 500 allows for broader portfolio diversification, even with a limited budget. By spreading investments across multiple affordable stocks, traders can balance risk and optimize potential returns, making their portfolio less vulnerable to the performance of a single asset.
Key Factors for Trading in Stocks Under Rs. 500
When considering stocks priced below Rs. 500, several important factors can help identify promising opportunities while managing risks. Here are essential points to evaluate:
P/E Ratio Lower Than Industry Average
A Price-to-Earnings (P/E) ratio below the industry average can suggest that a stock may be undervalued in comparison to its sector peers. This can offer a potential upside for traders, as stocks with lower P/E ratios often have room to grow, provided other fundamentals are strong. However, combining this measure with other indicators is crucial for a comprehensive view.
High Piotroski Score
The Piotroski Score is a reliable measure of a company's financial stability, evaluating criteria like profitability, cash flow, and operational efficiency. Stocks with a higher Piotroski Score (generally 7 and above) indicate financial soundness, making them a safer choice within this price range. A high score can signal resilience in market volatility and solid operational management, enhancing the stock’s attractiveness.
Robust Financial Growth
Consistent financial growth, demonstrated through steady revenue, profits, and controlled debt levels, is a strong indicator of a company’s overall health. When a company shows continuous growth, it often reflects effective management and a sustainable business model. Stocks with a positive financial trend are more likely to provide stable returns, even if priced under Rs. 500.
Considering these factors—P/E ratio, Piotroski Score, and financial growth—can help investors in identifying quality stocks under Rs. 500, enhancing the likelihood of favourable returns while managing risk effectively.
Top Stocks to Watch Under Rs.500 in 2025 for Trading
Let’s explore three promising stocks under Rs.500 with robust fundamentals, high Piotroski scores, and favourable P/E ratios:
Oil & Natural Gas Corporation Limited : Known for its strong dividend payouts, this stock is priced attractively compared to its industry, showing solid growth potential for long-term investors.
Petronet LNG Limited : Delivers steady dividends and consistent profits, making it a balanced choice for those looking for both income and growth.
Power Grid Corporation Of India Limited : Offers a blend of high returns and strong dividend reliability, appealing to those seeking steady income and proven long-term performance.
Stocks priced under Rs. 500 provide a variety of investment opportunities, and with the Enrich Money platform, traders can seamlessly execute buy and sell orders to take advantage of these prospects.
Oil & Natural Gas Corporation Limited
Oil & Natural Gas Corporation (ONGC) is India’s leading oil and gas exploration company, with a significant role in both production and distribution. It is recognized for steady revenue streams, strong dividend payouts, and a relatively low valuation compared to its industry peers. Although it faces some market fluctuations, ONGC's established presence and growth potential make it an appealing option for long-term investors.
ONGC Limited's current Piotroski Score stands at 8 out of 9 and indicates robust fundamentals and excellent financial health. As of October 2025, the stock has given a 1-year return of almost 37.9%, which has surpassed the Nifty Energy index. ONGC shares have a beta value of 2.64 and are almost 2.6 times riskier than the Nifty 50 benchmark.
The P/E ratio of the company is 7.92, which is relatively low as compared to the industry average of 12.38, reflecting possible undervaluation. Its P/B ratio of 0.94 is lower than the industry threshold of 1.66, demonstrating that the stock is available at a discount compared to its intrinsic value. ONGC additionally provides a dividend yield of 4.72%, compared to the industry average of 2.11%, reflecting its attractiveness for income-oriented investors.
Profitability
The company is showing consistent profitability and operational efficiency. In FY25, ONGC posted a Return on Equity (ROE) of 15.8%, Return on Capital Employed (ROCE) of 15.6%, and Earnings Per Share (EPS) of Rs.37.05, reflecting sustained earnings strength irrespective of fluctuations in the crude oil market.
Valuation
At its present valuation, ONGC is still reasonably priced compared to its sector peers, and thus a good choice for long-term value investors looking to obtain both capital appreciation as well as predictable dividend returns.
Strengths
Its average debt-to-equity ratio over the last five years has been 48.6%, which is slightly below the sectoral average of 49.2%, illustrating prudent debt management.
ONGC remains a prominent player in India's oil and gas industry, contributing a substantial proportion to local production while supporting good dividend payments.
Negatives
ONGC's net profit increased by 9.8% in the last five years, marginally less than the industry growth of 10.4%.
Revenue growth was at 6.9%, lower compared to the sectoral average of 7.4%.
The market share of the company fell from 96.3% to 94.4%, based mostly on heightened competition and private sector participation in production and exploration.
Technical & Investment Outlook
Although the stock has decreased short-term, its long-term fundamentals are intact with good cash flows and favorable valuations. For traders, dips close to support levels could provide short-term trade ideas.
Petronet LNG Limited
Petronet LNG is a prominent Indian company specializing in the import and distribution of liquefied natural gas (LNG). The company operates significant regasification terminals across India, supporting the energy needs of various sectors. As a joint venture of major public sector entities, it contributes significantly to India's energy security.
Petronet LNG's current Piotroski score of 7 out of 9 indicates sound financial health. The current stock price is around Rs.288 as of October 2025, having gone up by a fairly marginal 2.6% recently, although the stock has gone down by almost 16.8% year to date. The stock demonstrates volatility around 2.35 times that of the Nifty index.
The PE ratio of the company is roughly 11.96, lower than the industry average, which is reflective of a reasonable valuation. Its PB ratio is 2.17, reflecting investors paying slightly more than double book value. Petronet is a good dividend yielder with a dividend yield of roughly 3.56%, significantly higher than the sector average of 2.1%, and thus more desirable for income investors.
Profitability
Petronet LNG is showing good returns with ROE of around 22.56% and ROCE of 28.8%, and earnings per share of about Rs.27, indicating good management and profitability.
Valuation
Though recent price movements have seen the stock decline, the stock is trading at healthy valuation multiples and is not overbought, so it is a good opportunity to buy for investors.
Positives
The debt-to-equity ratio averaged over the past few years is low at about 2% on a consolidated basis, indicating little leverage relative to the sector norms.
The company enjoys good liquidity and high institutional holding (~40%), which indicates financial stability.
Negatives
The stock has performed poorly against the overall market on a year-to-date basis and is subject to issues regarding depressed long-term growth in earnings.
Growth in revenues and net income has been moderate versus sector averages.
Market share has dipped marginally under competitive pressures.
Analysis
Petronet LNG has seen a positive trend in its recent prices with a short-term appreciation of 2.6%, superior to its benchmark indices. Its fundamentals are also sound with good profitability ratios and decent dividend yield, notwithstanding the year-to-date fall in its share price. The current scenario in the market provides a good opportunity for value investors and short-term traders seeking momentum plays.
Power Grid Corporation Of India Limited
Power Grid Corporation of India Limited (PGCIL) is a public sector enterprise that manages the transmission of electricity throughout India. It runs the country’s most extensive power transmission network, ensuring stable power distribution. PGCIL plays a crucial role in strengthening India's energy infrastructure and supporting its growing power needs.
PowerGrid Limited has a Piotroski score of 8, reflecting good financial health. The stock has yielded a low price return of approximately 0.58% as of October 2025 and possesses volatility approximately 2.2 times larger than that of the Nifty index.
The firm's current P/E ratio is around 17.2, lower than the sector average of around 23.5, indicating it could be undervalued compared to its peers. The P/B ratio is around 3.22, lower than the sector average of 3.54. PowerGrid has a decent dividend yield of around 3.5%, substantially above the sector average of 1.26%.
Profitability
The stock shows good profitability with Return on Equity (ROE) of around 18.5% and Return on Capital Employed (ROCE) of around 13.5%. Its earnings per share (EPS) is around Rs.16.9, which reflects solid earnings performance.
Valuation
Below overbought levels, PowerGrid's stock appears fairly priced and offers a potentially good buying opportunity to investors in search of stable returns without unduly high price risk.
Positives
The five-year average debt-to-equity ratio has been approximately 1.41 (or 141%), marginally lower than the industry average of 1.83, indicating prudent financial management.
The firm also exhibits high cash flow generation and financial stability of operations.
Negatives
PowerGrid's average growth in net income over the past five years has been approximately 8.9%, lagging behind the industry average of almost 13%.
Revenue growth is equally subdued as, at approx 5.1%, it lags behind sector growth at about 11%.
The firm's market share has dropped from about 43% to 32.5%, reflecting increasing competition.
Summary
Though the stock has faced some short-term setbacks, its valuation offers a compelling entry point with lower P/E relative to the sector and solid dividend yield. The stock has delivered strong returns over one and three years, signaling robust long-term prospects. PowerGrid's healthy profitability and disciplined capital management make it attractive for investors. For active traders, it could serve as a buying opportunity if price support levels hold with signs of upward momentum.
Conclusion
Stocks priced under Rs. 500 offer attractive opportunities for intraday traders, providing affordability, growth prospects, and portfolio diversification. Companies like ONGC, Petronet LNG, and Power Grid Corporation show strong fundamentals and reasonable valuations. With careful analysis and effective risk management, traders can capitalize on these stocks for potential short-term profits.
Enrich Money equips investors with essential tools and insights to discover promising stocks, empowering them to make strategic decisions and achieve solid returns with low capital.
Frequently Asked Questions
How can I discover promising stocks under Rs. 500 on Enrich Money?
Enrich Money offers tools to help you find low-priced stocks with potential for growth.
Does Enrich Money provide tools for technical analysis of low-priced stocks?
Yes, Enrich Money includes a wide range of technical analysis features to evaluate stocks below Rs. 500 effectively.
Can I receive notifications for price movements of stocks on Enrich Money?
Yes, Enrich Money allows you to set custom price alerts for stocks to stay informed.
How often is market data refreshed on Enrich Money for low-priced stocks?
Enrich Money provides live, real-time market data so you can track price changes instantly for stocks .
Does Enrich Money offer educational materials for trading low-priced stocks?
Yes, Enrich Money provides helpful resources, including tutorials and webinars, to guide you through trading low-priced stocks.
Disclaimer: This blog is dedicated exclusively for educational purposes. Please note that the securities and investments mentioned here are provided for informative purposes only and should not be construed as recommendations. Kindly ensure thorough research prior to making any investment decisions. Participation in the securities market carries inherent risks, and it's important to carefully review all associated documents before committing to investments. Please be aware that the attainment of investment objectives is not guaranteed. It's important to note that the past performance of securities and instruments does not reliably predict future performance.
