Stock wealth creators 2024: Adani Green fastest, Adani Enterprises all-round, RIL largest; full list

Adani group's Adani Green Energy Ltd has emerged the fastest wealth creator while the group flagship Adani Enterprises Ltd has emerged as the best all-round wealth creator for the third time in a row. Reliance Industries Ltd (RIL) has in fact emerged as the largest wealth creator for the sixth time, Motilal Oswal 29th Annual Wealth Creation Study 2024 suggested, after analyzing the top 100 wealth creating companies during the period 2019-24.

Wealth creation during 2019-2024 is the highest ever, while the wealth destruction is among the lowest, the study suggested.

RIL has emerged as the largest wealth creator over 2019-24, taking the numero uno spot for the 11th time in the last 17 five-year study periods. "Adani Green has emerged the fastest wealth creator with 2019-24 Price CAGR of 118 per cent. Rs 10 lakh invested in 2019 in the top 10 fastest wealth creators would be worth Rs 1.75 crore in 2024, a return CAGR of 77 per cent vi/s 14 per cent for Nifty 50," the MOFSL study noted.

MOFSL its all-round wealth creators list, which is based on the summation of ranks, under each of the 3 categories – Biggest, Fastest and Consistent -- where the scores are tied, the stock price CAGR decides the all-round rank, has revealed that Adani Enterprises was the best all-round wealth creator during 2019-2014.

The brokerage said Linde India is the most consistent wealth creator as it based on the number of years the stock has out-performed in each of the last five years.

"Based on this, over 2019-24, the relatively low-profile Linde India has emerged as the Most Consistent Wealth Creator. It has outperformed the Nifty Total Return Index in all the last 5 years, and has the highest price CAGR of 68 per cent," MOFSL said.

MOFSL said while the technology sector has emerged as the largest wealth creator, PSU as a pack has made a significant comeback.

MOFSL said blue Chips are stocks of large companies with a reputation for quality, reliability, and the ability to operate profitably in both good and bad times. Given their highly positive attributes, in normal times, Blue Chips tend to richly valued.

"However, occasionally, even Blue Chips get “bruised” i.e. their stock price sees a meaningful fall. Such bruising offers a golden opportunity to build large positions in the stock (assuming there is no structural decline in the Blue Chip’s fundamentals)," it said.

The key to profit from bruised blue chips is to buy them close to the lows, post the bruise, MOFSL said. It said one can create a watchlist of bruised blue chips, clearly understand the reasons for the bruising, await healing triggers for finally buying and can buy the stock only when if the company’s prospects are bright, and the valuation is attractive, typically price to book ratio of less than 2 times.

It finds Adani Total Gas, Adani Green, Adani Enterprises, Gujarat Gas, SBI Card, Tata Elxsi, Avenue Supermarts, IRCTC, Berger Paints, Asian Paints and IOC among its 2024 bruised blue chip watchlist.