Broader market winners! How investors found 15 multibaggers in a muted Nifty year?

Even as the benchmark Nifty has delivered a muted performance so far this year amid global uncertainty and intermittent bouts of volatility, a clutch of stocks has significantly outperformed the broader market, turning into multibaggers for investors.

The list includes Aditya Infotech, Aeroflex Industries, Atlanta Electricals, Avalon Technologies, Bajaj Consumer Care, Garware Hi-Tech Films, GE Power India, HFCL, Kirloskar Oil Engines, KSH International, MTAR Technologies, Rubicon Research, Schneider Electric Infrastructure, Sigma Advanced Systems and Sterlite Technologies.



The sharp gains have come despite a challenging backdrop for equities. Investor sentiment remained cautious through much of the year due to geopolitical tensions, volatile crude oil prices, uncertainty over global interest rates and concerns around corporate earnings. While the broader market struggled for direction, select companies benefited from strong earnings, sector-specific tailwinds and renewed investor interest.

According to Sanjay Doshi, Head of Research & Investments at Abakkus Flexi Cap Fund, the resilience in corporate earnings, particularly among small- and mid-cap companies, has been one of the key reasons behind the outperformance of several stocks.

"We have seen a positive surprise in corporate earnings, especially in the small and mid-cap space during Q4 FY26, following a strong performance in the previous quarter as well. While the March quarter remained resilient, the full impact of the West Asia crisis is likely to be more visible in the June quarter rather than in Q4," Doshi said.

He noted that many companies were protected in the March quarter because they had adequate inventories of raw materials, helping them absorb supply disruptions and rising input costs.

However, Doshi expects the June quarter to reflect the delayed impact of higher crude oil and natural gas prices, disruptions in raw material procurement, currency depreciation and rising logistics and insurance costs, all of which could put pressure on corporate margins.

"A weaker monsoon also remains a key risk, particularly for rural income and consumption-linked sectors. This could result in some earnings downgrades during the upcoming quarter," he said.

Despite these near-term challenges, Doshi believes the risks to the overall FY27 earnings outlook remain manageable.

"With easing tensions in the West Asia conflict, we could see improvement from the second quarter of FY27 onwards. While near-term volatility and earnings downgrades cannot be ruled out, we expect sequential improvement in earnings, limiting the risk to the overall FY27 earnings trajectory," he added.

Analysts say the rally in many multibagger stocks has also been driven by company-specific developments, including capacity expansion, stronger order books, product launches, improving profitability and sectoral themes such as defence, electronics manufacturing, power equipment, telecom infrastructure and specialty manufacturing.

While these stocks have delivered exceptional returns in a year when the benchmark indices have largely moved sideways, analysts caution that investors should focus on earnings growth and valuations rather than chase momentum alone. As the June quarter earnings season begins, management commentary and guidance will play a key role in determining whether these high-flying stocks can sustain their performance through the rest of the year.

Data: Ritesh Presswala

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)