Best Green Hydrogen Stocks in India 2024

In this article, we will discuss

As India moves beyond fossil fuels, the renewable energy sector is under the spotlight. Although the Government of India initially pushed for electric vehicle adoption with FAME (Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India) subsidies, the focus has seemingly now shifted towards hydrogen energy.

Union Road Transport and Highways Minister Nitin Gadkari has, in many instances, formally advocated for the adoption of green hydrogen as a viable alternative fuel. The benefits of hydrogen as a fuel source for vehicles extend beyond environmental friendliness. In fact, widespread adoption of the fuel can help India significantly cut down on its fossil fuel import bills.

As this sector gains prominence in India and across the world, let us explore the best green hydrogen stocks you can add to your portfolio in 2024.

The Best Green Hydrogen Stocks in India in 2024

The table below lists eight of the top hydrogen stocks for 2024, along with some of their key fundamental metrics.

StockSectorMarket Cap(₹ crore)P/E RatioP/B RatioDiv. Yield(%)EPS(₹)3-Year Revenue CAGR (%)5-Year Returns(%)
Reliance Industries LimitedEnergy (Oil & Gas: Exploration & Production)19,68,97128.142.370.2777.3213.22116.88
Oil and Natural Gas Corporation Limited3,31,1757.901.104.2733.3416.2472.79
Bharat Petroleum Corporation Limited1,28,5934.442.370.67133.418.1356.43
Indian Oil Corporation Limited2,33,2124.981.601.8233.1920.0357.74
JSW Energy LimitedUtilities (Power or Gas Generation, Transmission and Distribution)84,774.8151.584.370.399.998.19685.75
NTPC Limited3,14,89916.152.092.2320.1116.39141.18
GAIL (India) Limited1,14,47214.191.762.3012.2725.3949.68
Larsen & Toubro LimitedIndustrials: Construction & Engineering4,97,28439.314.740.6692.037.93159.4

Note: All of the values in the table are valid as of March 25, 2024.

Now, let us explore each of these stocks in more detail to better understand their contribution to the green hydrogen energy sector in India and their future growth prospects.

  • Reliance Industries Limited

Reliance Industries Limited is a leading producer, distributor and marketer of various fossil fuels in India. The company has announced various green hydrogen energy production initiatives, which include the establishment of a state-of-the-art giga facility for green hydrogen production in collaboration with Denmark’s Stiesdal A/S in Jamnagar, Gujarat. Additionally, Reliance Industries is planning on investing in a green hydrogen facility in Tamil Nadu as well.

  • Oil and Natural Gas Corporation Limited

In line with the National Hydrogen Mission, the Oil and Natural Gas Corporation (ONGC) has announced its intention to invest nearly Rs. 85,000 crores for the production of 1 million metric tonnes per annum (mmtpa) of green hydrogen and green ammonia.

The PE and PB ratios of ONGC are significantly lower than the sectoral PE of 22.67 and PB of 2.01. This indicates that the stock is undervalued and could potentially be an attractive long-term investment option.

  • Bharat Petroleum Corporation Limited

Bharat Petroleum Corporation Limited (BPCL), a state-owned oil and gas marketer and distributor, has recently expressed its plans to enter the green hydrogen energy industry. The company is planning to set up a green hydrogen plant capable of producing 1,000 kilowatts of energy inside the Cochin International Airport. The hydrogen energy produced by the plant will be used to power the various vehicles operating in the airport.

  • Indian Oil Corporation Limited

The Indian Oil Corporation Limited (IOCL) is also making inroads into the green hydrogen production space. The company is planning to float a tender for the construction of a hydrogen energy production unit at Panipat with a 10 kilo-tonne per annum capacity. Additionally, IOCL also has plans to set up hydrogen units at all of its refineries by 2046.

On close examination of its fundamentals, IOCL appears to be undervalued in terms of the PE ratio and PB ratio when compared with the sectoral average of 22.67 and 2.01, respectively. This makes the stock a good contender for long-term investment.

  • JSW Energy Limited

JSW Energy Limited, an entity in the power generation and transmission space, has announced that it will set up a 3,800-tonne plant in Karnataka for hydrogen energy production. The company has also inked a 7-year deal with one of its group entities, JSW Steel, for supplying the produced hydrogen.

  • NTPC Limited

NTPC Limited, through its wholly-owned subsidiary, NTPC Renewable Energy Limited, has set several green hydrogen energy pilot projects in motion. The initiatives include 500 kW and 50 kW hydrogen energy microgrids in NTPC stations in Delhi and Andhra Pradesh, respectively. The company is also planning to deploy 10 hydrogen Fuel-Cell Electric Vehicles (FCEVs) in Leh and Delhi.

Comparing the PE and PB ratios of NTPC Limited with the sectoral averages of 30.50 and 3.53 respectively, it appears that the stock is currently undervalued. This makes it one of the most attractive green hydrogen stocks in India.

  • GAIL (India) Limited

A major player in the natural gas sector, GAIL (India) Limited is also aiming to break into the green hydrogen energy space with a sophisticated plant in Madhya Pradesh. The plant is capable of producing 4.3 metric tonnes of hydrogen each day with the maximum possible purity. The company is also planning to blend up to 5% hydrogen with natural gas to reduce costs and environmental impact.

GAIL (India) Limited is another one of the many undervalued green hydrogen stocks you can consider investing in. The company’s PE and PB ratios are significantly lower than the sectoral averages of 30.50 and 3.53 respectively, indicating undervaluation.

  • Larsen & Toubro Limited

L&T Energy Green Tech Limited, a wholly-owned subsidiary of Larsen & Toubro Limited, is leading the charge in the hydrogen energy space. A state-of-the-art green hydrogen plant with a 15-tonne annual capacity is already operational at L&T’s manufacturing facility in Gujarat. The company is also planning to double the plant capacity to 30 tonnes per year by installing an additional 400 kW PEM electrolyser in the future.


The National Green Hydrogen Mission, announced on January 4, 2023, aims to position India as a major producer and exporter of green hydrogen energy in the coming decades. As we slowly but surely move towards this goal, the sector is likely to witness a major turning point. By investing in fundamentally strong green hydrogen stocks, you stand to capitalise on the future growth opportunity that the sector has to offer.

Disclaimer: INVESTMENT IN SECURITIES MARKET ARE SUBJECT TO MARKET RISKS, READ ALL THE RELATED DOCUMENTS CAREFULLY BEFORE INVESTING. The asset classes and securities quoted in the film are exemplary and are not recommendatory. SAMCO Securities Limited (Formerly known as Samruddhi Stock Brokers Limited): BSE: 935 | NSE: 12135 | MSEI- 31600 | SEBI Reg. No.: INZ000002535 | AMFI Reg. No. 120121 | Depository Participant: CDSL: IN-DP-CDSL-443-2008 CIN No.: U67120MH2004PLC146183 | SAMCO Commodities Limited (Formerly known as Samruddhi Tradecom India Limited) | MCX- 55190 | SEBI Reg. No.: INZ000013932 Registered Address: Samco Securities Limited, 1004 - A, 10th Floor, Naman Midtown - A Wing, Senapati Bapat Marg, Prabhadevi, Mumbai - 400 013, Maharashtra, India. For any complaints Email - Research Analysts -SEBI Reg.No.-INHO0O0005847

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