An analysis of equities over the past four quarters revealed nine stocks that have consistently achieved gains of at least 25% in each of the last four quarters, thereby transforming into multibaggers.
These stocks include Insolation Energy, Transformers and Rectifiers (India), Shilchar Technologies, V2 Retail, Housing & Urban Development Corporation, Sobha, NBCC (India), Paisalo Digital and Gujarat Themis Biosyn.
One of the standout performers, Insolation Energy has delivered returns of 2,400% in the last one year period. Insolation Energy operates in the renewable energy sector, focusing on the production and distribution of solar energy solutions.
Transformers and Rectifiers, meanwhile, is a close second in the list with a return of 700%. The company is involved in the manufacturing of a wide range of transformers, catering to various industries including power, industrial, and infrastructure sectors.
Shilchar Technologies, a company specializing in the manufacture of transformers, has seen robust growth due to the uptick in infrastructure projects and industrial demand. The company’s shares have delivered just over 500% returns in the reporting period.
V2 Retail, a well-known name in the retail sector, has managed to capture healthy gains in the last one year by gaining 457%. State-owned Hudco, which is into financing housing and urban development projects across India, rose about 392% over the last four quarters.
NBCC (India), another major player in the construction sector, has reaped the benefits of a number of government contracts and redevelopment projects, ensuring consistent growth, which was also reflected in the appreciation of stock price by around 301%.
What should investors do?
Indian equities are currently trading near all-time highs, buoyed by buying in index heavyweights, political stability, and foreign investors returning into the domestic markets.
Technically, analysts said Nifty has achieved a short term consolidation breakout target of 24,000 levels, and managed to close above it. If the index holds above 24,000 levels, then the rally could extend towards 24,250-24,500 in the short term.
“No surprises to guess that the recent move has been supported by the private banking sector, which is a usual favourite among foreign investors,” said Jaykrishna Gandhi, head of business development at institutional equities at Emkay Global Financial Services.
At current valuations, a stock-specific approach may be prudent. Sectors like IT, capital goods, private banks and healthcare appear well-positioned to deliver consistent earnings growth,” said Atul Parakh, CEO of Bigul.
8.jpeg)
