Top six multibagger moat stocks of CY2021: Do you own any of them?

When it comes to investing, everyone knows that there is no holy grail. However, there is a set of rules that every investor must follow, which would help them to get alpha returns in their investing journey.   

One of the most important rules and principles that every investor must follow before selecting any stock for investment is to check the company’s ‘competitive moat’.   

The term ‘competitive moat’ has been popularised by Oracle of Omaha Warren Buffett as an ‘economic moat’. It refers to a business' ability to maintain a competitive advantage in order to protect its long-term profits and market share from competing firms. 

Here is what Warren Buffet has said about the concept of a moat - “In business, I look for economic castles protected by unbreachable moats.”   

Generally, companies with investment moats along with the following competitive advantages are termed economic moats:  

Better products  
Customer switching costs   
Intellectual capital   
Cost advantage and economies of scales   
Distribution network   

So, in this article, we will talk about the performance of stocks, which have a competitive advantage (MOAT). We have curated a list of 73 stocks with a moat. In the calendar year 2021 (CY21), out of 73 stocks, 11 stocks posted negative returns while 62 stocks have delivered positive returns.   

Out of these 62 stocks, six stocks have turned multibagger in the calendar year 2021 (CY21). So here are the top six performing moat stocks:  

Do you own any of them?