Up to 100% return in this sale season! The 5% stocks that have rallied right under your nose

Against the wind, I am going home again…

It would be such a wonderful thing if you could hum such a song in times of coronavirus. A handful of stocks on Dalal Street are indeed doing such a thing amid this merciless bear hammering.

They are not only keeping their heads above water amid the ongoing global equity selloff, but have even managed to deliver positive returns on a year-to-date basis.


BSE benchmark Sensex has tanked more than 13,000 points in just one month, as fears of the coronavirus pandemic have spooked investor sentiment, triggering a massive fall in stocks.

Data available with Ace Equity showed only 5 per cent of BSE-listed stocks have managed to stay in positive on a year-to-date basis ever since the selloff started on February 19.

With a gain of over 150 per cent, Ruchi Soya Industries topped the chart. In fact, the scrip has climbed from Rs 46.10 on February 19 to trade at Rs 115.25 on March 19. The stock has been on secular bull run since November 2019 after NCLT approved Patanjali Ayurved’s bid to acquire the edible oil processor. The company had gone into insolvency in December 2017, which saw the stock plunge to Rs 3.32 in November last year.

Among others, YES Bank, Garnet Construction, Starteck Finance, Gujarat State Financial Corporation, NRB Industrial Bearings, DQ Entertainment, Qgo Finance, Magellanic Cloud and Suchitra Finance have gained between 40 per cent and 100 per cent during this period.

YES Bank shares turned highly volatile earlier this month after RBI took over its board and imposed a moratorium on its operations. The central bank in coordination with the government then implemented a restructuring package and lifted the moratorium on March 18. The private lender’s newly-appointed CEO Prashant Kumar says there is now absolutely no worry on the liquidity front. Moody’s has also upgraded its rating for the lender, helping the stock to swell.

The India Cements, Essar (India), BASF, KCD Industries, Gujarat Apollo Industries and Kavit Industries are other top gainers.

This, when none of the stocks that are part of the benchmark Sensex are in the positive on a year-to-date basis any more.

Some shares like Borosil Renewables, Tata Chemicals, Indiabulls Housing Finance, Alok Industries, Future Retail and Intellect Design have eroded 60-82 per cent market value in this period.

“This is probably a once-in-a-decade buying opportunity for investors,” says Jyoti Roy, Deputy Vice President and Equity Strategist at Angel Broking.

“Companies like Bata and Titan are looking attractive in the consumption space after the recent correction. However, the next two weeks to one month would be crucial for the market, considering the rising number of Covid-19 cases in the US,” she said.

Sahaj Agrawal, Head of Research- Derivatives at Kotak Securities, said the volatile swings may continue as India VIX remains elevated. “An immediate trend reversal in the market is unlikely, but a bounceback from here is highly probable. Long-term investors can consider accumulating shares gradually.”