5 Top Multibagger Stocks in India: It’s raining multi-baggers! It’s been a few days since FY22 came to an end. Interestingly, more than 190 stocks gave multi-bagger returns during the year. Those who boarded the multi-bagger bus early during the year have been rewarded with generous returns.
The word ‘multi-bagger’ is now jargon in the stock market. However, it was first coined by Peter Lynch in his book ‘One Up on Wall Street’. Peter Lynch was a portfolio manager at Fidelity Magellan Mutual Fund. He managed to beat the market by giving mind-boggling annualized returns of 29% per year between 1977 and 1990.
In this article, we shall take a look at a few multibagger stocks in India that managed to shine through the pandemic, the geopolitical crisis, and other micro and macro-level changes.
Table of Contents
What Are Multibagger Stocks?
Multibagger stocks are those stocks that give returns of 100% or more as compared to the original investment. Let’s say that Mr ABC invests ₹ 10,000 in the stocks of a company.
After a year, the value of his holdings is ₹ 20,000. His money has doubled or increased by 100%, therefore he has got multibagger returns.
Stocks that double our money are called two-baggers. Similarly, stocks that give 10 times their returns are called ten-baggers. In general, they’re all known as multibaggers.
5 Top Multibagger Stocks in India in the Past 5 Years
Multibagger Stock #1 – Ruchi Soya Industries Limited
The company has evolved as an integrated player in the edible oil business. Today, Ruchi Soya features as one of the leading manufacturers & marketers of a healthy range of edible oils and a pioneer of soya foods in India. It has a presence across the entire value chain, i.e., from farm to fork.
The consortium of Patanjali Ayurveda Pvt Ltd. has acquired Ruchi Soya for ₹ 4,350 crores. The promoters had a 98% share earlier. However, the company had to come up with an FPO to comply with the rules and regulations. Therefore, the promoters now hold an 80.82% share. DIIs (6.92%), the public (12.25%) and others (0.01%) hold the remaining shares.
| Particulars | Values |
|---|---|
| Face Value (₹) | 2 |
| EPS (₹) | 24.48 |
| ROE (%) | 18.32 |
| Debt to Equity | 0.9 |
| Current Ratio | 2.13 |
| Market Cap (Cr) | 35,433 |
| Promoter’s Holdings (%) | 98.9 |
| Dividend Yield (%) | 0 |
| Stock P/E (TTM) | 39.99 |
| Net Profit Margin | 4.17 |
Price Movement
The shares of Ruchi Soya Industries Limited were trading at ₹ 26.05 levels, about 5 years ago. As on 12th May 2022, they are trading at ₹ 937.20 per share, thereby giving shareholders a whopping return of 3497.70%. This means that if an investor would have invested ₹1,00,000 in the shares 5 years ago, the value of their holdings would have been ₹ 35,97,700 today!
Its share price increased from ₹745.82 to ₹937.2 in one year, giving 25.66% returns.
Multibagger Stock #2 – Adani Transmission Limited
The company with its subsidiaries is engaged in the business of the generation, transmission and distribution of power, mainly in the northern, western and central regions of India. It has a transformation capacity of more than 38600 MVA and a power transmission length of more than 18,500 CKm.
| Particulars | Values |
|---|---|
| Face Value (₹) | 10 |
| EPS (₹) | 10.95 |
| ROE (%) | 22.81 |
| Debt to Equity | 4.89 |
| Current Ratio | 0.75 |
| Market Cap (Cr) | 240,924 |
| Promoter’s Holdings (%) | 74.92 |
| Dividend Yield (%) | 0 |
| Stock P/E (TTM) | 200.05 |
| Net Profit Margin (%) | 12.99 |
Price Movement
In the last five years, the share price of the company rose from ₹ 90.15 per share to ₹ 2187.05, giving multibagger returns of ₹ 2326.01. Holdings ₹ 1,00,000 invested five years ago are valued at ₹ 24,26,012 today!
Similarly, the share price increased from ₹ 1199.01 apiece on 12th May 2021 to the current price levels, almost giving returns of 82.40%.
Multibagger Stock #3 – Tanla Platforms Limited
Formerly known as Tanla Solutions, the company is a cloud communications provider. It enables businesses to communicate with intended recipients and their customers. It is one of the world’s largest CPaaS players and processes over 800 billion interactions annually.
Some of its popular products are Wisely and Trubloq. It derives about three-quarters of its revenue from India and the remaining from other countries.
| Particulars | Values |
|---|---|
| Face Value (₹) | 1 |
| EPS (₹) | 39.73 |
| ROE (%) | 45.02 |
| Debt to Equity | 0 |
| Current Ratio | 1.18 |
| Market Cap (Cr) | 16,034 |
| Promoter’s Holdings (%) | 43.74 |
| Dividend Yield (%) | 0.17 |
| Stock P/E (TTM) | 29.73 |
| Net Profit Margin | 15.21 |
Price Movement
The share price of the company increased from ₹ 50.9 in 2017 to ₹ 1170.6 in 2022. Therefore, if an investor would have invested ₹1,00,000 in its shares five years ago, the value of their holdings would have been ₹ 22,99,804 today!
The stock gave multibagger returns of 2199.80% in the last five years. The stock was priced at ₹ 870.73 apiece last year and gave 34.44% returns since then.
Multibagger Stock #4 – Adani Enterprises Limited
Some of the major businesses of the company are energy & utilities, transportation & logistics, and incubation. As a result, it touches the lives of various Indian every day. It is a market leader in large scale infrastructure development in India. Recently, it achieved the final closure of the Navi Mumbai International Airport project.
| Particulars | Values |
|---|---|
| Face Value (₹) | 1 |
| EPS (₹) | 7.06 |
| ROE (%) | 4.38 |
| Debt to Equity | 0.93 |
| Current Ratio | 0.93 |
| Market Cap (Cr) | 2,25,917 |
| Promoter’s Holdings (%) | 74.92 |
| Dividend Yield (%) | 0.05 |
| Stock P/E (TTM) | 290.96 |
| Net Profit Margin | 1.89 |
Price Movement
The share price of the company increased from ₹ 121.55 to ₹ 2045.2 in the last five years. Thereby, it gave investors a whopping return of 1582.60%. Those investors who had invested ₹ 1,00,000 five years ago have holding worth ₹ 16,82,600 today! The share price increased by 59.12% from ₹ 1285.32 in the last year.
TRENDING
Multibagger Stock #5 – Deepak Nitrite Limited
Deepak Nitrite is a chemical manufacturing company based in Gujarat, India. It manufactures organic, inorganic, fine, and speciality chemicals. In addition, it manufactures intermediates for use in industrial explosives, paints, cosmetics, polymers, optical brighteners, and others.
A third of its revenue comes from markets like Europe, US and Asia-Middle East. The remaining comes from the domestic market. It caters to over 700 customers in 6 continents with more than 100 products.
| Particulars | Values |
|---|---|
| Face Value (₹) | 2 |
| EPS (₹) | 78.20 |
| ROE (%) | 39.60 |
| Debt to Equity | 0.25 |
| Current Ratio | 2.62 |
| Market Cap (Cr) | 27,052 |
| Promoter’s Holdings (%) | 45.72 |
| Dividend Yield (%) | 25.36 |
| Stock P/E (TTM) | 25.36 |
| Net Profit Margin (%) | 17.79 |
Price Movement
The share price of the company increased from ₹ 141.7 in 2017 to ₹ 1918.8 this year. If an investor would have invested ₹ 1,00,000 in the shares five years ago, their holdings would be worth ₹ 13,54,128 today!
Its share price increased from ₹ 1790.56 a year ago to the current levels, giving returns of 7.16% in one year.
Bonus Multibagger Stock: Tata Elxsi Limited
Tata Elxsi is amongst the world’s leading providers of design and technology services. It provides services to the Automotive, Media, Communications and Healthcare sectors. The company is supported by a network of design studios, global development centres and offices worldwide.
It provides integrated services from research and strategy to electronics and mechanical design, software development, validation and deployment. Europe accounts for 36.5% of its revenues, followed by America (36%), India (13%), rest of the world (14.5%).
| Particulars | Values |
|---|---|
| Face Value (₹) | 10 |
| EPS (₹) (TTM) | 88.26 |
| ROE (%) | 30.15 |
| Debt to Equity | 0.0 |
| Current Ratio | 5.26 |
| Market Cap (Cr) | 49,115 |
| Promoter’s Holdings (%) | 44.08 |
| Dividend Yield (%) | 0.54 |
| Stock P/E (TTM) | 89.36 |
| Net Profit Margin | 20.16 |
Price Movement
Its share price surged from ₹774.95 to ₹ 6884.5 in the last five years, giving multi-bagger returns of 788.38%. If an investor would have invested ₹1,00,000 five years ago, the value of their holdings would have been ₹ 8,88,380 today! In the last year, the company’s share price increased from ₹ 3517.69 to the current levels, thereby giving 95.71% returns.
Here’s a list of Multibagger Stocks in India in the Past 5 Years
| Company | CMP (as on 12th May 2017) | CMP (as on 12th May 2021) | CMP (as on 12th May, 2022) | 1-Year Return | 5- Year Return |
|---|---|---|---|---|---|
| Ruchi Soya Industries Limited | 26.05 | 745.82 | 937.2 | 25.66 | 3497.7 |
| Adani Transmission | 90.15 | 1,199.01 | 2,187.05 | 82.4 | 2326.01 |
| Tanla Platforms Limited | 50.9 | 870.73 | 1170.6 | 34.44 | 2199.8 |
| Adani Enterprises | 121.55 | 1,285.32 | 2,045.20 | 59.12 | 1582.6 |
| Deepak Nitrite | 141.7 | 1790.56 | 1918.8 | 7.16 | 1254.13 |
| Tata Elxsi | 774.95 | 3517.69 | 6884.5 | 95.71 | 788.38 |
In Closing
These multi-bagger stocks definitely help investors mint money. However, they can be a tad bit difficult to find. One has to understand the size of the company, its earnings growth, its margins, future growth potential, competitive advantage and more to spot these stocks. Sometimes investors find them and invest in them. Later on, when the markets become unfavourable, they exit.
Many a time, these stocks do not give massive returns for a couple of years. And then, during one fine year, they surge to give investors multi-bagger gains. Long term investors who are patient generally reap the benefits of staying invested. That is it for this article on 5 Top Multibagger Stocks in India in the Past 5 Years. Do you own any of these stocks?
Hey, there! Thank you for stopping by 🙂 Simran is a master graduate in commerce from Bangalore University, an NSE-certified Fundamental Analyst and a NISM-certified Research Analyst. She finds interest in investing and personal finance. Outside of work, you can find her painting, reading and going on long walks.
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It’s pretty interesting how these really good shares have been marked as multibaggers. Usually, people think of multibagger stocks in terms of only penny or small caps companies. Good article, thanks for sharing!
Tell aal time blue chip multibaggers