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Fastest, biggest & most consistent: D-Street bulls swear by these wealth creators

, ETMarkets.com|
Updated: Dec 08, 2017, 01.55 PM IST
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TCS has emerged as the biggest wealth creator in value terms for fifth straight year.
TCS has emerged as the biggest wealth creator in value terms for fifth straight year.
NEW DELHI: Ajanta Pharma is the fastest wealth creator for the third time in a row, TCS has emerged as the biggest wealth creator in value terms for fifth straight year, while Asian Paints is the most consistent for the second time, a detailed study by brokerage Motilal Oswal Securities for a five-year period suggested.

Among the fastest wealth creators, Ajanta Pharma saw its share price rising by a whopping 96 per cent annually over 2012-17, while the company has seen its profits rising by 45 per cent compounded annually during the same period.

The Flash
KRBL, Bajaj Finance, Dalmia Bharat, Symphony and Alembic Pharma are some of the other fastest wealth creators on Dalal Street that have seen 67-88 per cent CAGR rise in their share prices over the five-year period. PE multiples of five of six stocks listed above were in single digits as of 2012. These stocks now trades at up to 62 PE multiples. See table

Fastest, biggest & most consistent: D-Street bulls swear by these wealth creators

Titans
When it comes to huge gains in value terms, nobody can beat TCS. The IT giant has added Rs 2,49,900 crore to investor wealth in five years. These gains accounts for 6.4 per cent of the gains in top 100 wealth creators accumulated together. HDFC Bank, Reliance Industries, ITC and Maruti Suzuki, the gang of big boys, dominated this category over the past five-year.

Fastest, biggest & most consistent: D-Street bulls swear by these wealth creators

Mr dependable
Asian Paints has been the most dependable stock. The stock has appeared among Motilal's top 100 wealth creators in each of the last 10 studies.

This stock has recorded the highest price CAGR of 30 per cent over the 10-year period 2007 to 2017. Interestingly eight of the top 10 most consistent wealth creators are consumer-facing companies. Here's a look:

Fastest, biggest & most consistent: D-Street bulls swear by these wealth creators

Note: Motilal Oswal Securities ranks the top 100 companies in descending order of absolute Wealth Created, subject to the company's stock price at least outperforming the benchmark Sensex. These top 100 wealth creators are also ranked according to speed (i.e. price CAGR during the period under study).
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