Power stocks: A silent, no-fuss compounder with ten stocks turning multibaggers in just 18 months!

Power stocks are expected to report good earnings growth, owing to higher-than-expected power demand in Q1FY23 along with the overall improved merchant realisations

Last year, nothing could have been worse than the leading countries facing a power crunch. The extent of this power crisis was so grave that it forced China to implement rolling blackouts for energy-intensive industries.    

China’s power crisis pushed the government to extend power restrictions in at least 20 provinces & regions as it struggled to cope with the power shortage that affected more than 66 per cent of the country’s gross domestic product, as per a report.    

Fast forward to July 2022, India’s electricity demand has risen after three flat years. Besides, there was also a report stating that India’s peak power demand has hit an all-time high record.   

Power stocks are expected to report good earnings growth, owing to higher-than-expected power demand in Q1FY23 along with the overall improved merchant realisations.    

So, let us check out the performance of the power & power distribution stocks for the past 18 months i.e., from January 2021 to July 15, 2022:    

From the above table, it’s clear that barring Gujarat Industries Power Company Ltd (GIPCL), all other stocks have delivered positive returns.    

What’s more striking is the fact that not one or two but as many as 10 stocks have turned out to be multibagger ">Multi-baggers!   

The stock of Adani Transmission (ADANITRANS) and Adani Power (ADANIPOWER) moved at an unprecedented clip as the stocks jumped 561.26 per cent & 474.3 per cent, respectively.   

Which stocks do you hold amongst these power stocks? Let us know in the comments section.  

2 comments on article "Power stocks: A silent, no-fuss compounder with ten stocks turning multibaggers in just 18 months!"

Prasad Rao

Good Analysis

7/18/2022 7:23 AM

SS Hotchandani

I hold Adani Power. After reading your research analysis I am feeling comfortable with my decision to buy this stock

7/18/2022 8:48 AM

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