Around 200 stocks from across sectors soared more than 100 per cent on BSE since the start of this calendar. That, when you leave out the penny stocks, some of which logged stupendous gains too.
Biofil Chemicals & Pharmaceuticals stood out as the biggest wealth creator of 2020, with a 1,207 per cent jump in share price from Rs 17.06 on December 31 last year to Rs 222.95 on December 23.
This means, an investment of Rs 10,000 in Biofil on December 31 last year would have become over Rs 1.30 lakh today.
Other names on the list included Tanla Platforms (up 795 per cent), Hathway Bhawani Cabletel & Datacom (727 per cent), Alok Industries (606 per cent), Adani Green Energy (527 per cent) and Makers Laboratories (527 per cent).
Tanla Platforms, the second bigger gainer of 2020, is a cloud communication service provider. “The stock has managed to deliver more than 1,000 per cent returns to investors in last two years on the back of strong results, improving business outlook and an increase in shareholding by the promoters,” Keshav Lahoti, Associate Equity Analyst at Angel Broking, said about Tanla.
Alok Industries gained momentum after Mukesh Ambani’s Reliance Industries took over the company along with JM Financial Asset Reconstruction Company earlier this year.
Among others, Bharat Immunologicals & Biologicals, Venus Remedies, Vardhman Polytex, AGC Networks, Standard Batteries, Aarti Drugs, Subex, Laurus Labs, Gujarat Themis Biosyn, Mangalam Drugs, IOL Chemicals and CG Power have advanced between 280 per cent and 525 per cent since December 31 last year.
BSE Sensex has advanced nearly 13 per cent from 41,253 on December 31, 2019 to 46,444 on December 23.
Sensex hit a 52-week low of 25,639 in March on the outbreak of Covid-19 pandemic, which led to a nationwide lockdown. However, liquidity measures taken by the government and central banks amid sustained inflows from foreign institutional investors (FIIs) took the benchmark index above the 46,000 mark for the first time in December.
With a 82 per cent rally, Dr Reddy’s Labs emerged as the top gainer in the Sensex pack. It was followed by Infosys (up 71 per cent), HCL Technologies (up 62 per cent), Asian Paints (up 48 per cent) and TCS (up 34 per cent).
Among the top laggards on the index, IndusInd Bank, ONGC, Axis Bank and SBI are down over 21 per cent year to date.
Rusmik Oza, Executive Vice President, Head of Fundamental Research at Kotak Securities, says the market is likely to stay range-bound going forward amid rich stock valuations. He sees Nifty at 13,500 and Sensex at 46,000 by the end of next Calendar. However, he expects companies like CESC, Kalpataru Power and Castrol India to deliver good returns to the investors in the New Year.
AK Prabhakar, Head of Research, IDBI Capital, thinks Nifty can top 15,000 and Sensex 51,000 by the end of 2021.