RVNL, Mazagon Dock Among 140 Multibagger Stocks: Retail Investors Beat Institutional Stake in Big Gains

Over 140 stocks where retail investors hold more shares than institutional investors have turned into multibaggers over the past year, including nine public sector companies (PSUs).

An analysis by ETMarkets found more than 600 stocks with a market value of Rs 500 crore or more where retail holdings (up to Rs 2 lakh in shares) exceed those of institutional investors like Foreign Institutional Investors (FIIs), Domestic Institutional Investors (DIIs), and mutual funds.

Among PSUs that have delivered over 100% returns in the past year are Cochin Shipyard, Rail Vikas Nigam Limited (RVNL), NBCC (India), IFCI, Bharat Dynamics, Garden Reach Shipbuilders, Hindustan Copper, PTC India, and Mazagon Dock.

Several private sector companies also made it to the list. Well-known names include PCBL, LT Foods, Anand Rathi Wealth, Shakti Pumps (India), TARC, Windlas Biotech, Panacea Biotec, Sarda Energy & Minerals, Zen Technologies, and KPI Green Energy.

Lesser-Known Stocks

However, many lesser-known stocks have outperformed major names. Diamond Power Infrastructure, with a market cap of Rs 9,830 crore, delivered an astounding 3,069% return over the last year. Its institutional holding is just 0.03%, while retail investors hold 1.97%.

Similarly, Kaycee Industries delivered a 1,684% return in the same period. With a market cap of Rs 1,400 crore, it has a retail holding of 15.61%, while institutional ownership is only 0.02%. Viceroy Hotels, a smaller company with a market value of Rs 860 crore, saw returns exceeding 3,780%. It has a 2.47% retail holding, compared to 1.58% institutional ownership.

Other lesser-known stocks with significant returns include Saraswati Commercial (India), VL E-Governance & IT Solutions, TCC Concept, Cropster Agro, Vintage Coffee & Beverages, Panorama Studios, SPML Infra International, and Rudra Ecovation, delivering returns between 635% and 311%.

Experts’ Take

Dr. Ravi Singh, Senior Vice President of Retail Research at Religare Broking, warned that many of these stocks have market capitalisations below Rs 3,000 crore, making them less liquid and riskier to trade. He advises investors to be cautious and use stop-loss orders to manage risks.

Nilesh Jain, Assistant Vice President at Centrum Broking, also highlighted the liquidity risks. He cautioned that a stock’s rally alone should not be the only reason to invest.

Dr. Singh suggests exiting stocks like Kaycee Industries, Ashika Credit Capital, Saraswati Commercial (India), and Cropster Agro.

For other top-performing stocks, Dr. Singh provided support and resistance levels without recommending specific strategies:

• VL E-Governance & IT Solutions: Support at Rs 145, Resistance at Rs 180
• Diamond Power Infrastructure: Support at Rs 1,600, Resistance at Rs 1,850
• TCC Concept: Support at Rs 460, Resistance at Rs 600
• Vintage Coffee & Beverages: Support at Rs 122, Resistance at Rs 142
• Panorama Studios International: Support at Rs 200, Resistance at Rs 250
• SPML Infra: Support at Rs 205, Resistance at Rs 240
• Rudra Ecovation: Support at Rs 60, Resistance at Rs 70

Other PSU Stocks

There are 13 more PSU stocks with higher retail holdings, with one-year returns of up to 91%. These include Indian Railway Finance Corporation (IRFC), SJVN, Mangalore Refinery And Petrochemicals (MRPL), Railtel Corporation, Ircon International, Indian Overseas Bank (IOB), IDBI Bank, UCO Bank, and MMTC.

However, some stocks like KIOCL and Gujarat Mineral Development Corporation (GMDC) have seen their prices drop by 16% and 10%, respectively.