India's 'Fastest, Biggest' Wealth Creators: This Stock Turned Rs 10 Lakh Into Rs 1.7 Crore In 5 Yrs

Brokerage house Motilal Oswal has released a list of India's fastest, biggest and most consistent wealth creators. In its latest report on 'Creating Wealth Through Bruised Blue Chips', Motilal Oswal said that wealth creation in the last 5 years is the highest ever; while wealth destruction is among the lowest.

 India's Biggest, Fastest And Consistent Wealth Creators

According to the Motilal Oswal list, Reliance Industries Limited emerged as the biggest Wealth Creator for the 6th time in a row over 2019-24. The Mukesh Ambani company created Rs 11,178 billion in wealth. Tata Consultancy Services and Bharti Airtel are the next big wealth creators in the list.

Adani Green emerged as the Fastest Wealth Creator with a 2019-24 Price CAGR of 118%. Two more Adani group companies made it to the list of the top 10 Fastest Wealth Creators - Adani Enterprises and Adani Power. "INR 1 million invested in 2019 in these top 10 companies would be worth INR 17.5 million in 2024, a return CAGR of 77% vi/s 14% for Nifty 50," Motilal Oswal report said.

Linde India is the Most Consistent Wealth Creator, according to the Motilal Oswal report. "We define Consistent Wealth Creators based on the number of years the stock has out-performed in each of the last 5 years. Where the number of years is the same, the stock price. CAGR decides the rank. Based on this, over 2019-24, Linde India has emerged as the Most Consistent Wealth Creator. It has outperformed the Nifty Total Return Index in all the last 5 years and has the highest price CAGR of 68%. Consistent Wealth Creation is a challenge – only 6 out of 100 have outperformed in each of the 5 years," the report said.

What Are Bruised Blue Chips?

The phrase “Bruised Blue Chips” has been borrowed from a booklet titled, “How To Create Wealth Investing In Turnaround Stocks”. However, even the booklet does not specifically define the term “bruised”. "For the purpose of this study, we have defined a Bruised Blue Chip as one whose stock price, at any time over the next 10 years, has fallen by 50% or more from its 5-year high," the brokerage said.

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