Top PSU Stocks That Have Gained Over 200% In Last 1 Year

The Nifty PSE index has gained 83 per cent in the last one year, while the Nifty 50 index has gained 55 per cent in this period. So far in 2021, the PSE index has gained over 50 per cent as against 30 per cent rise in Nifty.

The past performance shows that the PSE index has outperformed the benchmark. The Nifty PSE declined 13 per cent, 5 per cent and 21 per cent, respectively, in 2020, 2019 and 2018 as against 15 per cent, 11 per cent and 3 per cent rise in the Nifty 50 index, respectively.

Most experts are also positive on the public sector stocks in the near-to-medium term and expect further rerating of these stocks in future based on disinvestment plans, supply concerns etc. The recent sale of Air India to the Tata Group is a positive trigger for PSU stocks. While the process of privatization can be lengthy and tedious, it can also be a huge potential opportunity for stocks.

Most of the PSU stocks have given positive returns for their investors in the last 1 year. Let’s take a look at the stocks that have gained over 200 per cent.

Hindustan Copper: The stock has gained more than 290 per cent in the last one year. Rise in copper prices, decrease in production in China are some of the major reasons for its growth. It is a Government owned corporation in the Central Public Sector Enterprise under the Ministry of Mines and is the sole copper producer and is engaged in exploration, exploitation, mining of copper and copper ore including beneficiation, smelting and refining of minerals. In Q1, the firm registered a growth of 53.6 percent in consolidated net profit at ₹45.63 crores. The government has recently decided to sell 5 per cent stake in the firm through an offer for sale.

NALCO: The stock has gained about 250 per cent in the last one year. Aluminum prices recently hit their record highs and Nalco’s stock price increased due to decline in production in China. NALCO is a Navratna Company registered in 1981 under the Ministry of Mines. The company’s operations are in mining, metals and electricity. Firm reports huge jump in net profit in Q1 ₹347.73 crore as compared to ₹16.63 crore in the year-ago quarter. Revenue from operations up 79.2 percent ₹2,474.55 crore vs. ₹1,380.63 crore in the year-ago period.

Voyage: The stock has gained more than 240 per cent in the last one year. The main reason for this increase is the rise in commodity prices. Also, the government’s infra boost also added to the positive sentiment. Ace investor Rakesh Jhunjhunwala also added the stock to his portfolio in the June 2021 quarter. In Q1, SAIL returned to black and posted a net profit of ₹3,897.36 crore Vs. ₹1,226.47 in the year-ago quarter. net income more than doubled ₹20,754.75 crore as compared to ₹9,346.21 crore in the year-ago period. SAIL is the largest steel making company in the country and is engaged in manufacturing of flat products, such as hot rolled (HR) coils, HR plates, cold rolled (CR) coils, pipes and electric sheets, and long products, such as thermo mechanical Treated (TMT) bar and wire rod.

Indian Banks: The stock has gained 220 per cent in the last one year. In Q1, the public sector lender reported a 220 per cent increase in its net profit ₹1,182 crore vs. ₹369 crore in the year-ago quarter. total income was ₹11,500 crore in Q1 as compared to ₹11,447 crore in the year-ago period. The lender’s stellar growth has been the result of growth in its bottom line, non-interest income and expenses, and a reduction in operating efficiencies.

IRCTC: The stock has gained 217 per cent in the last one year. The stock had performed consistently since it made its debut in October 2019, rising nearly 900 percent since listing as of October 19, 2021. Over the past 3 months, the stock has risen more than 100 percent due to ticket increases. Bookings and travel plans as soon as the economy opens up after the COVID restrictions. In addition, the announcement of a stock split added to the gains. It was also listed at a premium of over 100 percent ₹644 against its issue price ₹320. The expansion plans of the firm show the potential for further growth in the stock in the long run. The company is expanding its business to bus, air tickets as well as tour and travel planners. This may open a new potential opportunity for the firm to consolidate its position. In addition, the firm is also looking to apply for a payment aggregator license from the RBI, which will not only be easier for the customers but will also bring in additional revenue.

Apart from these, Oil India, SBI, BHEL, ONGC, J&K Bank, Bharat Electronic etc are also some other PSU stocks which have more than doubled investor wealth in last 1 year.