Warren Buffett is a fan of brands. In his opinion, a strong brand can provide a solid safety moat for a company. And his preference for brands makes sense. Companies with a strong brand are able to earn returns well above their cost of capital.
That too year after year for a long period of time. This brings us to the question as to which companies have strong brands in India. As per the data of Interbrand carried by Financial Express, the top five brands in terms of brand values are - the
Tatas Group,
Reliance,
Bharti Airtel,
State Bank of India (SBI) and
Infosys.
While these companies/groups may rank high in terms of brand value; however, investors must remember that this is just one criterion to look at while considering a company for an investment. They still need to dig deeper into things like fundamentals, corporate governance, valuations, etc before arriving at an investment decision.
Top 5 brands in India
Data Source: Financial Express
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