This article will guide investors to build long term portfolio with Nifty 50 stocks. It is based upon the study of company’s financial position and stock performance during last four financial years. The period of the study is FY2016 to FY2019.
What is the purpose of studying past performance?
- Covid 19 has proved to be villan for most of Nifty 50 stocks. This has resulted in deep correction of all these stocks. Giving an opportunity to accumulate these stocks at these attractive prices in a systematic manner.
- Selection of stock is the most difficult task for any investor. As it requires deep analysis of financial position as well as current market sentiment towards the script.
- So, in order to assist the investors in selection of right stocks. The article will cover both financial information of these companies along with their stock behavior during FY2016 to FY2019.
- Studying the history will provide insight about the strength of the company as well as the stock.
- In long run, stock always follows financial strength of the company. So, investing just on the basis of personal bias will prove to be harmful for the portfolio performance.
- The stock performance will be shown in chronological manner on the basis of return earned by the stock. The script with maximum profit during this period is ranked first and others will follow their sequence.
Stock 1: Bajaj Finance
The stock has grown at a CAGR of 44.22% during the period Fy2016 to Fy2019. Recently stock has corrected due to covid 19 issue giving an opportunity to buy. The reason for this growth can be seen by looking on the chart:
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 2: Bajaj Finserv
The stock has grown at a CAGR of 41.98% during the period Fy2016 to Fy2019. The stock is now available at attractive rate. The reason for this growth can be seen by looking on the chart:
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 3: Titan
The third stock is Titan that has grown by 35.24% CAGR in last four years. The stock has fallen sharply presently giving an opportunity to invest.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 4: Reliance
The stock has shown a CAGR of 27.01% in last four financial year. It has corrected at an attractive level. The reason can be seen in this chart.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 5: Nestle
The stock that mark fifth place is Nestle which have grown at a CAGR of 25.14%. The stock has good fundamentals.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 6: Britannia
The stock has performed well in last four financial year and grown at CAGR of 23.22%. It is defensive stock that can be added in the portfolio.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 7: Hindalco
Here the stock has grown at CAGR of 23.16% from FY2016 to Fy2019. Recently stock has corrected and can be added in the portfolio.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 8: JSW Steel
The stock has grown at CAGR of 22.42% and stood at eighth rank. The stock has deeply corrected and now available at an attractive price.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 9: HDFC Bank
This stock has provided a compound annual growth rate of 21.09%. So stood at nineth rank in Nifty 50 universe in terms of return during last four financial years.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 10: Vedanta
This stock has given a CAGR of 18.65% during the period of study. It has stood at tenth rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 11: Kotak Bank
This stock has given a CAGR of 18.47% during the period of study. It has stood at Eleventh rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 12: UPL
This stock has given a CAGR of 18.09% during the period of study. It has stood at Twelfth rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 13: Hindustan Unilever
This stock has given a CAGR of 17.97% during the period of study. It has stood at thirteenth rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 14: Indus Ind Bank
This stock has given a CAGR of 17.13% during the period of study. It has stood at fourteenth rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 15: ICICI BANK
This stock has given a CAGR of 16.81% during the period of study. It has stood at fifteenth rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 16: GAIL
This stock has given a CAGR of 15.62% during the period of study. It has stood at sixteenth rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 17: Maruti
This stock has given a CAGR of 15.42% during the period of study. It has stood at seventeenth rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 18: HDFC
This stock has given a CAGR of 15.16% during the period of study. It has stood at eighteenth rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 19: Axis Bank
This stock has given a CAGR of 15.14% during the period of study. It has stood at 19th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 20: Asian Paint
This stock has given a CAGR of 14.98% during the period of study. It has stood at 20th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 21: Larsen & Turbo
This stock has given a CAGR of 14.35% during the period of study. It has stood at 21st rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 22: Tata Steel
This stock has given a CAGR of 13.55% during the period of study. It has stood at 22nd rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 23: SBI Bank
This stock has given a CAGR of 13.20% during the period of study. It has stood at 22nd rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 24: Indian Oil Corporation
This stock has given a CAGR of 13.15% during the period of study. It has stood at 24th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 25: Tech Mahindra
This stock has given a CAGR of 12.90% during the period of study. It has stood at 25th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 26: TCS
This stock has given a CAGR of 12.25% during the period of study. It has stood at 26th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 27: Adani Port
This stock has given a CAGR of 11.39% during the period of study. It has stood at 27th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 28: Shree Cement
This stock has given a CAGR of 10.13% during the period of study. It has stood at 28th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 29: Power Grid
This stock has given a CAGR of 9.26% during the period of study. It has stood at 29th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 30: Grasim
This stock has given a CAGR of 8.66% during the period of study. It has stood at 30th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 31: ITC
This stock has given a CAGR of 8.21% during the period of study. It has stood at 31st rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 32: HCL Tech
This stock has given a CAGR of 7.39% during the period of study. It has stood at 32nd rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 33: BPCL
This stock has given a CAGR of 6.37% during the period of study. It has stood at 33rd rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 34: NTPC
This stock has given a CAGR of 6.04% during the period of study. It has stood at 34rd rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 35: Bajaj Auto
This stock has given a CAGR of 5.22% during the period of study. It has stood at 35th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 36: Infosys
This stock has given a CAGR of 4.91% during the period of study. It has stood at 36th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 37: Ultra Tech Cement
This stock has given a CAGR of 4.90% during the period of study. It has stood at 37th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 38: Wipro
This stock has given a CAGR of 4.75% during the period of study. It has stood at 38th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 39: Zee Enterprise
This stock has given a CAGR of 3.43% during the period of study. It has stood at 39th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 40: ONGC
This stock has given a CAGR of 2.23% during the period of study. It has stood at 40th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 41: Eicher Motors
This stock has given a CAGR of 2.17% during the period of study. It has stood at 41st rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 42: Mahindra & Mahindra
This stock has given a CAGR of 2.03% during the period of study. It has stood at 42nd rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 43: Cipla
This stock has given a CAGR of 0.66% during the period of study. It has stood at 43rd rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 44: Bharti Airtel
This stock has given a CAGR of -1.52% during the period of study. It has stood at 44th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 45: Dr Reddy
This stock has given a CAGR of -2.73% during the period of study. It has stood at 45th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 46: Hero Moto Corp
This stock has given a CAGR of -3.77% during the period of study. It has stood at 46th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 47: Bharti Infratel
This stock has given a CAGR of -4.55% during the period of study. It has stood at 47th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 48: Coal India
This stock has given a CAGR of -5.17% during the period of study. It has stood at 48th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 49: Sun Pharma
This stock has given a CAGR of -12.74% during the period of study. It has stood at 49th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
Stock 50: Tata Motors
This stock has given a CAGR of -18.50% during the period of study. It has stood at 50th rank in this period.
Important Note: FY 2020 Annual Report Not Yet Disclosed By Company
I hope this study will help you in buying good quality Nifty 50 stocks. Also do not forget to comment on this article.