Top 10 companies with consistent financial performance

We are now nearing the end of the third quarter earnings season for FY19. Earnings are what ultimately matters for investors as it gets reflected in the share price. Read on to know who were the top performers in Q3FY19. 

Earnings have a significant bearing on how a stock performs in the equity market and therefore is what ultimately matters for investors as it gets reflected in the price of the stock. In Q3FY19 earnings season, we tried to find companies which have been reporting good results, consistently. 

The most popular valuation ratio that investors and analysts track is P/E (Price-to-Earnings) ratio. Lower the ratio better it is, as investors will pay less for every rupee earned by the company. Two factors that will have impact on the P/E ratio; one is price and the other is earnings, increasing stock price while keeping the earnings constant resulting in stretched valuation and vice versa. If the price is constant and the company is reporting strong earnings growth, then valuation becomes attractive. 

Below, we have shortlisted stocks which have reported 25 per cent sales and net profit growth not just on QoQ basis but also from the corresponding quarter of last year (YoY). We have added one more layer of filter while finding these companies, i.e. market cap of more than Rs. 1,000 crore. 



Other than the ones analysed above, three companies namely Welspun Enterprise, HG Infra and Texmaco Rail & Engg have also posted more than 25 per cent sales and PAT growth on both QoQ and YoY basis.