The number of companies with market capitalisation (m-cap) of over $1 billion swelled to 471 as per the prevailing rupee-dollar exchange rate of 83.38 compared with 380 (exchange rate of 82.75) at the end of December 2022, thanks to up to 1,000 per cent rally in many smallcap stocks. At least 37 of the 91 stocks that joined the billion dollar club delivered multibagger returns this calendar.
Data compiled by corporate database AceEquity suggest 46 financial institutions, 43 auto and auto ancillary companies, 41 healthcare-related companies dominated the billion dollar club. In terms of additions, many companies related to IT, iron & steel, auto and capital goods joined the billion dollar club this calendar, data showed.
Shares of Jai Balaji Industries Ltd climbed 999 per cent to close at Rs 600.10 on Friday compared with Rs 54.60 on December 30, 2022, joining the billion dollar club. This iron & steel sector company commanded m-cap of $1.15 billion (or Rs 9,628.62 crore) as on Friday against Rs 794.16 crore at the end of 2022.
Newgen Software Technologies Ltd saw its shares rallying 252 per cent to Rs 1,269.15 apiece from Rs 359.95, with its m-cap climbing to Rs 8,892.86 crore ($1.06 billion) from Rs 2,518.06 crore at December end. Titagarh Railsystems Ltd now commands m-cap of Rs 12,466.58 crore ($1.49 billion) against Rs 2,671.82 crore at 2022 end, as the stock zoomed 338.71 per cent to Rs 980.30 from Rs 223.45 levels.
Anand Rathi Wealth Ltd (m-cap: Rs 10,475.14 crore), HBL Power Systems Ltd (Rs 9,513.33 crore) and GE T&D India Ltd (Rs 10,619.53 crore) are now billion dollar firms by m-cap following 225-258 per cent rally in 2023 so far.
Multibagger Jindal Saw Ltd rallied 330 per cent this calendar and now commanded a m-cap of Rs 14,257.84 crore ($1.7 billion) against Rs 3,312.65 crore at 2022 end. Jupiter Wagons Ltd saw its m-cap surging to Rs 13,556.59 crore ($1.62 billion) against Rs 3,556.77 crore following a 270 per cent rally this year.
Kaynes Technology India Ltd, Authum Investment & Infrastructure Ltd, Apar Industries Ltd are a few stocks that soared 212-226 per cent and entered the billion dollar club.
"Mid and smallcaps are under-owned and retail exuberance is largely driving these stocks. There is no valuation comfort in the broader market but valuations are fair in large caps. Therefore, the next leg of the rally, driven by institutional money - both foreign and domestic- will be driven by large caps," V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.
Responsive Industries Ltd, DB Realty Ltd, Action Construction Equipment Ltd, Safari Industries (India) Ltd, Ion Exchange (India) Ltd, Railtel Corporation Of India Ltd, Olectra Greentech Ltd, Elecon Engineering Company Ltd, Ramkrishna Forgings Ltd, Himadri Speciality Chemical Ltd and Maharashtra Seamless Ltd are a few other entrants to the billion dollar club.
Meanwhile, Balaji Amines Ltd, Jindal Worldwide Ltd, Easy Trip Planners Ltd, Jubilant Ingrevia Ltd. Deepak Fertilisers And Petrochemicals Corporation Ltd and KRBL Ltd are some of the companies that were a part of the billion dollar club at the end of 2022 but not now.
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