Over 200 stocks from the broader market have given multibagger returns of up to 4,967% during this time.
The investors who looked beyond Nifty have been handsomely rewarded. While Nifty has moved 1,736 points since the last Independence Day, which is a 9.8% gain, (Friday, August 12, 2022), the Nifty MidCap 100 has rallied 6,964 points or 22.61% and Nifty SmallCap 100 has traversed 2,241 points or 23.78%.
At least four stocks have given over 1,000% returns during this period, viz. Taylormade Renewables (4,967%), Remedium Lifecare (3,162%), K&R Rail Engineering (2,372% and Andhra Cements (1,516%). Moreover, five stocks viz. WSIndustries (India), Mercury Ev-Tech, Northern Spirits, Kintech Renewables and Nintec Systems have returned over 500% during this time.
There are 19 stocks which have given between 300% and 500% returns, namely Shree Global Tradefin, Mazagon Dock Shipbuilders, Inox Wind Energy, Zen Technologies, Jindal Saw, Rail Vikas Nigam (RVNL) and Jupiter Wagons, among others. Thirty eight stocks have given 200-300% returns which include names like Apollo Micro Systems, Medico Remedies, Neuland Laboratories, Jindal Stainless, Apar Industries, Davangere Sugar Company, Dynamic Cables and Lloyds Engineering Works, Centum Electronics, Ramkrishna Forgings, Mrs. Bectors Food Specialities and Kirloskar Brothers.
The rest 144 stocks have given up to 200% returns. Some of the stocks in this pack include JBM Auto, Force Motors, Suzlon Energy, Premier Explosives, The Karnataka Bank, Kalyan Jewellers, Ion Exchange (India), Ujjivan Financial Services, Texmaco Rail & Engineering, Welspun Enterprises, Ircon International, Uco Bank, The Jammu & Kashmir Bank, De Nora India, REC, Zensar Technologies, Sarda Energy & Mineral, Finolex Cables, KPI Energy Green, RBL Bank, Talbros Automotive Components, Sonata Software and KPIT Technologies.
“It has indeed been a tremendous ride for our equity markets from last Independence Day to this Independence Day when one considers the fact that domestic investors took the FII (Foreign Institutional Investors) bears by the horn for the first 8 months before the latter started their buying into India. While the benchmark indices itself moved up only 10% during this one-year period, the PSU index rose over 30%, with individual stocks across sectors rising over 100%,” S Ranganathan, Head of Research at LKP securities.From this Independence Day to the next one, Ranganathan remains optimistic about the PSU stocks, arguing that value creation will likely unfold in these companies over the next 12 months. “As India lays the foundation for Amrit Kaal, the PSU companies in our view would start winning both hearts and minds of domestic investors,” he said.
Analyst V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services remains bullish on capital goods, autos and auto components, pharmaceuticals and construction-related segments though he is moderately optimistic about the market for the next one year. He estimates around 15% returns in the next one year with the bulk of the returns coming in early 2024. In his view, the current strength of the Indian economy and the huge FPI inflows during the last three months have triggered the rally.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)