Multibaggers from the Top Performing Index Of 2016

Nifty Metals have certainly taken the market by surprise. Thanks to Oil and metal, the commodities have finally been able to break their five year losing streak, making investors take bold calls for the coming years.

Nifty metal has rallied almost 45 per cent in 2016 while post budget it has gained over 62 per cent. Other gainers like Nifty Energy and Nifty Auto have gained less than 20 per cent in the year. We have four Multibagger Stocks from the Sector as of now.

Mukand Limited:

Integrated in the year 1937, Mukand Iron & Steel Works Limited, was acquired by the current promoter families, Shri Jamanlal Bajaj and Shri Jeevan Lal Shah, on the request of Mahatma Gandhi in the year 1939. The Company then operated re-rolling mills and a foundry in Lahore and at Reay Road, Bombay respectively. It manufacturers stainless steel, alloy steel, stainless steel billets and is the exporter of hot rolled bars. The company is also engaged in general engineering work and manufactures iron & steel products, steel castings, steel structurals, EOT and other cranes, and different types of industrial machinery. Mukand Ltd is division of the Bajaj Groups of companies. It has India biggest designed and manufactured gantry crane of 80-tonne capacity and 60-metre span, with monobox girder and underslung trolley.

Mukand share price had begun ascending since March 2016, but its major spurt came in July. From the price of Rs. 48.80 on January 1st 2016, the stock closed at Rs. 62.60 on 30th December 2016. Evidently, Mukand has outperformed the market in a year’s time. The stock has gained 29.98 per cent while Nifty share price has gained approximately 2 per cent.

Tata Metaliks:

The Tata Group company is a leading manufacturers of foundry grade pig iron in India. Inspired by the rich Tata heritage, the Company has grown from strength to strength over the last two decades since its inception in 1990. Tata Metaliks also offers a range of by-products – slag, potted pig iron, pig iron scrap, iron sweepings. It also offers a range of end-to-end technical services. Tata Metaliks has some projects in it bag like Coke Oven Plant planned on BOOT (Build, Own, Operate and Transfer) basis and 10 MW capacity Waste Heat Recovery Boilers (WHRB) based power plant to utilize the exhaust fuel gases from the Coke Ovens. Another project called the Coal Dust Injection project will enable them to inject crushed coal and reduce coke consumption.

Tata Metaliks have given out a dividend of Rs. 2 on the shares of face value Rs. 10 on 21st June 2016. Tata Metaliks share price had been trading almost flat since January 1st to May 16th. After the date, the stock took a mad jump and began to trade at Rs. 402.95 on 20th June from Rs. 117.25 on May 16th. In a year, the stock has gained a tremendous 225 per cent from Rs. 99.90 on January 1st 2016 to Rs. 324.75 on 30th December 2016.

Tata Sponge:

Tata Sponge, which has its manufacturing plant at Bilaipada, was originally set up as a joint venture company between Tata Steel and the Industrial Promotion and Investment Corporation of Orissa Limited (IPICOL), in the name of as Ipitata Sponge Iron Limited. It has come a long way since, becoming an associate company of Tata Steel subsequent to the former’s acquisition of IPICOL’s stake in 1991. The name of the Company has been altered to Tata Sponge Iron Limited with effect from 24th September, 1996. Later, with effect from 28th August, 2012, Tata Sponge Iron Limited became the subsidiary of Tata Steel Limited.

The company had given out a 100 per cent dividend on 4th July 2016 of Rs. 10 on the shares of face value Rs. 10 each. Tata Sponge share price had been on a declining spree till February 12th. On 4th March, the stock jumper to Rs. 462 from the price of Rs. 381.50 on March 1st. In a years’ time, the stock has gained over 13 per cent, rising to Rs. 562.75 on December 30th 2016 from Rs. 495.40 on 1st January 2016.

These have been the best bets from the top performing index of the year. It might be as well a good idea to keep an eye on these stocks in the upcoming New Year.

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