How have the top performing PSUs fared in August, while surging up to 235% in 2024?

PSU stocks have witnessed a sharp rally in the last one year. Data available from ACE equity shows that the BSE PSU index gained over 90% in the past 12 months, while select top performing PSUs gained up to 235% return in the same duration. However, in last one month these PSU stocks have witnessed high volatility, and some top performers have declined sharply.

Rail Vikas Nigam, this infrastructure sector stock was the top performer in the PSU pack with 235% return in the past year. However, the last month wasn't as bright, with the stock price 1%. The company’s market capitalization stands at an impressive Rs 1.27 lakh crore. On August 30, 2024, its share price was Rs 608.5 with a rise from Rs 181.50 on December 29, 2023. However, the profit after tax (PAT) witnessed a decline in the June 2024 quarter, the PAT was Rs 222.56 crore, down from Rs 335.45 crore in March 2024. This shows a 49% quarter-on-quarter decline.

Oil India, a major player in the crude oil sector, had a good run in 2024 with a 198% return and a 21% increase in just the last month. Its market cap is scaled at Rs 1.20 lakh crore. The stock price jumped from Rs 248.23 in December 2023 to Rs 740.35 in August 2024. While it’s PAT slightly decreased by 4% from Rs 1,973.77 crore in March 2024 to Rs 1,892.49 crore in June 2024.

Cochin Shipyard is in the shipbuilding sector and had a 179% return this the year, though the in last month it saw a sharp drop of 27%. The company's market cap is Rs 49,720 crore, with its share price at Rs 1,890 in August 2024, up from Rs 676.80 in December 2023. The PAT for June 2024 was Rs 174.24 crore, down from Rs 258.88 crore in March and Rs 98.65 crore in June 2023. This shows a 33% decline quarter-on-quarter, despite a 77% year-on-year increase.

NBCC (India), a realty sector PSU company, has also seen strong growth with a 128% return this year. Its market cap is Rs 33,543 crore with a share price of Rs 186.4 on August 30, 2024. The stock surged 4% in August. However, its PAT fell by 24% quarter-on-quarter from Rs 141.43 crore in March 2024 to Rs 107.21 crore in June 2024. Still, the PAT shows a 38% growth year-on-year, suggesting some positive momentum despite the quarterly dip.

In the finance sector, Housing & Urban Development Corporation and Indian Railway Finance Corporation have shown mixed results. While the HUDCO has a 116% return in the year 2024, and 9% decline in August. Its PAT declined by 20% quarter-on-quarter. 

On the other hand, the IRFC had a more modest return of 77% in 2024 so far with a slight 6% decline in August. Its PAT declined by 8% quarter-on-quarter. 

Lastly, Mazagon Dock Shipbuilders stands out with an 85% return this year and a 132% year-on-year PAT growth, despite a 17% drop in the last month. Its market cap is Rs 85,562 crore with a share price of Rs 4,242 on August 30, 2024.