Compounded Annual Growth Rate (CAGR), in simple terms, is the annual growth of one’s investments over a specific period of time. It helps investors compare different investments on a consistent basis and make informed decisions. Usually, smaller companies have a high growth potential as compared to larger mature companies. However, here are a few large-cap companies with high CAGR returns over a period of five years:
SRF
SRF is a chemical-based multi-business entity engaged in the manufacturing of industrial and speciality intermediates. Its diversified business portfolio covers fluorochemicals, speciality chemicals, packaging films, technical textiles and coated and laminated fabrics.
In the past five years, the company’s share price increased from ₹ 398.13 to ₹ 2292.00, delivering multibagger returns of 475.69 percent. In terms of CAGR, its share price grew by 41.92 percent. SRF is a large-cap company with a market capitalization of ₹ 68,007 crores.
CG Power & Industrial Solutions
CG Power & Industrial Solutions is a global enterprise providing end-to-end solutions to utilities, industries and consumers for the management and application of efficient and sustainable electrical energy. It offers products, services and solutions in two main business segments — Power Systems and Industrial Systems.
In the past five years, the company’s share price increased from ₹ 59.60 to ₹ 404.40, delivering multibagger returns of 578.52 percent. In terms of CAGR, its share price grew by 46.66 percent. CG Power & Industrial Solutions is a large-cap company with a market capitalization of ₹ 61,303 crores.
Varun Beverages
Varun Beverages has been associated with PepsiCo since the 1990s and is a key player in the beverage industry and one of the largest franchisees of PepsiCo in the world. It produces and distributes a wide range of carbonated soft drinks, non-carbonated drinks and packaged water sold under trademarks owned by PepsiCo.
In the past five years, the company’s share price increased from ₹ 115.13 to ₹ 850.05, delivering multibagger returns of 638.34 percent. In terms of CAGR, its share price grew by 49.16 percent. Varun Beverages is a large-cap company with a market capitalization of ₹ 1,06,334 crores.
Tube Investments of India
Tube Investments of India is a leading manufacturer of a wide range of products for major industries such as automotive, railway, construction, mining, agriculture, and so on. Its business verticals include engineering, metal-formed products, bicycles, TMT bars and truck body building.
In the past five years, the company’s share price increased from ₹ 269.45 to ₹ 2853.00, delivering multibagger returns of 958.82 percent. In terms of CAGR, its share price grew by 60.31 percent over the past five years. Tube Investments of India is a large-cap company with a market capitalization of ₹ 56,947 crores.
Written by Simran Bafna
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