The shares held by a promoter refer to promoter holdings or promoter stake. The stake that promoters hold in a company plays a very important role in the success and growth of a company. Promoters are usually at the top level of management of the company. Therefore when their stake is high or is increasing, it is considered that they believe in the future of the company.
As a general rule, investors prefer companies which have a high promoter’s stake since they consider them to be relatively safer investments. Here are a few stocks that have given multibagger returns in the past year and have a high promoter’s stake:
Bharat Dynamics Ltd
Bharat Dynamics Limited manufactures ammunition and missile systems for India. The company’s shares have given multibagger returns of 116.99% in the past year, as their share price increased from ₹ 382.05 to ₹ 829.00 apiece. Its promoter, i.e., the President of India holds a 74.93% stake in the company.
BLS International Services Ltd
The company is a part of the four-decades-old BLS Group. It has a global presence and provides a diversified range of services. It counts amongst the top three global players in visa application outsourcing. The shares of the company gave multibagger returns of 138.54% in the past year as their share price increased from ₹ 98.58 to ₹ 235.15. It has multiple promoters who collectively hold a 74.59% stake in the company.
Schaeffler India Ltd
The company is engaged in the development, manufacturing and distribution of high-precision roller and ball bearings, engine systems, transmission components and related products. Its shares climbed 109.19% from ₹ 1438.94 to ₹ 3010.10 in the past year, giving multibagger returns to its shareholders. Its promoters hold a 74.13% stake in the company.
Gujarat Mineral Development Corporation Limited
This state-owned company is engaged in the sectors of mining and power. Its shares gave multibagger returns of 136.19% in the past year as its share price increased from ₹70.60 to ₹ 166.75 apiece. The governor of Gujarat is its promoter, with a stake of 74%.
Written by Simran Bafna
Disclaimer
The content in this news article is not investment advice. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
