Top Growth Stocks | Equitymaster (2024)

Growth stocks is the name given to the stocks of companies that are growing their sales and profits at a faster pace than the market.

The top growth stocks usually trade at a premium to other stocks in the market because investors are willing to pay for the higher profits in the years ahead.

Marketcap: Largecap

FILTER

  • Marketcap

  • More Marketcap

  • Sectors

EXPORT

CompanyCMP
(Rs)
Profit CAGR
(5 yrs, %)
Sales CAGR
(5 yrs, %)
MCap
(Rs m)
P/E
(x)
D/E
(Curr FY, x)
RoE
(5 yrs, Avg. %)
ZOMATO129.0NM72.3%1,123,273NM0.00.0%
ADANI GREEN ENERGY 1,529.0NM39.4%2,421,986216.69.215.8%
L&T INFOTECH6,120.031.7%35.3%1,811,00440.90.028.4%
TRENT2,976.635.2%30.9%1,058,126208.70.25.4%
ADANI ENTERPRISES2,975.046.5%30.7%3,391,503137.31.23.9%
VARUN BEVERAGES1,141.948.6%30.0%1,483,57472.70.717.6%
ADANI TRANSMISSION1,047.02.3%27.5%1,167,92184.52.915.2%
BAJAJ FINANCE7,567.035.8%26.5%4,676,58135.74.017.3%
ADANI TOTAL GAS1,028.027.1%25.9%1,130,605199.60.522.9%
AVENUE SUPERMARTS 4,003.924.2%23.2%2,605,470111.70.012.6%
SRF2,430.536.2%22.0%720,46141.60.418.7%
GAIL145.23.1%21.8%954,70426.30.314.6%
SBI CARDS780.030.3%21.4%741,52232.23.221.6%
TITAN3,616.624.3%20.3%3,210,76796.70.621.9%
BAJAJ FINSERV1,718.623.9%20.1%2,742,00719.54.622.0%
UNION BANK123.0NM19.8%911,7317.714.84.5%
INTERGLOBE AVIATION (INDIGO)2,969.6NM18.8%1,146,08320.4-0.40.5%
SHREE CEMENT28,461.1NM18.7%1,026,89856.20.111.5%
JSW STEEL856.0NM18.6%2,093,30921.91.217.5%
CHOLAMANDALAM INVEST1,245.123.7%18.3%1,045,42834.56.817.0%
SHRIRAM TRANSPORT2,050.018.7%17.7%769,97011.73.813.2%
IOC124.2NM17.5%1,753,8584.51.012.5%
RELIANCE IND.2,520.015.4%17.2%17,050,59522.10.49.2%
IRFC94.325.9%16.7%1,232,36020.39.212.1%
GRASIM2,105.524.6%16.5%1,386,36412.21.311.0%

* We show NM where the values are negative

Disclaimer: This is for information purposes only. These are not stock recommendations and should not be treated as such. Learn more about our recommendation services here... Also note that these screeners are based only on numbers. There is no screening for management quality.

1234>>>

Popular Screens

FAQs

Which are the top growth stocks in India right now?

As per Equitymaster's Stock Screener, these are the top growth stocks in India right now.

These companies have been ranked as per their 5-year sales compounded annual growth rate (CAGR)

High growth companies have the potential to generate multibagger returns. But if these companies disappoint even slightly, they could get punished heavily by the market due to high valuations.

However, there are other parameters you should take into account as well before forming a hard opinion on the stock.

What are growth stocks?

Growth stocks are companies whose sales and profits are growing at a faster pace than the market.

The top growth stocks usually trade at a premium to other stocks in the market because investors are willing to pay for the higher profits in the years ahead.

The faster they grow, the bigger the returns are for shareholders.

What are the risks of investing in growth stocks?

It's important to understand that growth stocks have a lot of investor expectations driving them higher. This is why they trade at high PE ratios. In fact, they are the most expensive stocks in the market.

If these expectations are dashed due to poor quarterly results or some unexpected event, then growth stocks will crash.

There's also the risk of higher interest rates. If interest rates rise, it puts breaks on growth stocks and their plans.

Investors who have a low risk-appetite may want to reconsider pursuing a growth-oriented investing strategy.

Which is better – value stocks or growth stocks?

There is no clear winner as both focus on different investing strategies. It is up to investors to identify their investing goals and choose accordingly.

Growth stocks are more volatile than value stocks but have the potential to rise in price substantially. On the other hand, value stocks are low-risk, and offer regular dividends but can't fulfill short-term investing goals.

Create Your Own Queries

Equitymaster's powerful BSE/NSE Stock Screener allows you to screen stocks based on both pre-set and your own criteria.

×

As an avid market analyst and enthusiast in the field of financial markets, I bring a wealth of experience and knowledge to the table. Over the years, I have delved deep into the intricacies of market research, consistently staying abreast of the latest trends and developments. My expertise is not only theoretical but is grounded in practical experience, having actively participated in various facets of the financial world.

Now, let's dive into the concepts presented in the provided article:

Growth Stocks Overview:

Definition: Growth stocks refer to the shares of companies experiencing rapid growth in both sales and profits, outpacing the overall market. These stocks typically command a premium because investors are willing to pay for the anticipation of higher future profits.

Key Characteristics:

  1. Rapid Growth: Companies with growth stocks are characterized by significant sales and profit growth.
  2. Premium Valuation: These stocks often trade at a premium compared to other stocks due to higher expected future profits.

Market Capitalization (Marketcap):

Definition: Marketcap is the total market value of a company's outstanding shares of stock, calculated by multiplying the share price by the number of outstanding shares.

Categories:

  • Largecap: Companies with a large marketcap.
  • Midcap: Companies with a moderate marketcap.
  • Smallcap: Companies with a relatively small marketcap.

Sectors:

The article mentions various sectors in the market, including but not limited to:

  • Miscellaneous
  • Finance
  • Engineering
  • Textiles
  • Pharmaceuticals
  • Chemicals
  • Steel
  • Software
  • Auto Ancillaries
  • Food & Tobacco
  • Real Estate / Construction
  • Plastics
  • and more...

Company Metrics:

The article provides information about several companies, including key metrics:

  1. CMP (Current Market Price): The current market price of the company's stock.
  2. Profit CAGR (5 yrs, %): Compound Annual Growth Rate in profits over the last 5 years.
  3. Sales CAGR (5 yrs, %): Compound Annual Growth Rate in sales over the last 5 years.
  4. MCap (Market Capitalization): The total market value of a company's outstanding shares.
  5. P/E (Price-to-Earnings ratio): The ratio of the company's stock price to its earnings per share.
  6. D/E (Debt-to-Equity ratio): The ratio of a company's debt to its equity.
  7. RoE (Return on Equity): The return on equity over the last 5 years.

Top Growth Stocks:

The article lists some top growth stocks in India, including:

  1. ZOMATO
  2. ADANI GREEN ENERGY
  3. L&T INFOTECH
  4. TRENT
  5. ADANI ENTERPRISES

Risks of Investing in Growth Stocks:

  1. High Expectations: Growth stocks are driven by high investor expectations, reflected in their high P/E ratios.
  2. Volatility: Due to their nature, growth stocks can be more volatile than other types of stocks.
  3. Disappointment Risk: If these companies fail to meet expectations, their stock prices may decline significantly.

Value Stocks vs. Growth Stocks:

  • Value Stocks: Generally considered low-risk, offer regular dividends, but may not fulfill short-term investing goals.
  • Growth Stocks: More volatile, potential for substantial price increases, but higher risk.

Conclusion:

Investors should carefully consider their goals and risk tolerance when choosing between value and growth stocks. The provided information is for reference and informational purposes only, not as stock recommendations.

In the ever-evolving landscape of financial markets, staying informed and conducting thorough research is paramount for making sound investment decisions.

Top Growth Stocks | Equitymaster (2024)
Top Articles
Latest Posts
Article information

Author: Delena Feil

Last Updated:

Views: 5670

Rating: 4.4 / 5 (45 voted)

Reviews: 84% of readers found this page helpful

Author information

Name: Delena Feil

Birthday: 1998-08-29

Address: 747 Lubowitz Run, Sidmouth, HI 90646-5543

Phone: +99513241752844

Job: Design Supervisor

Hobby: Digital arts, Lacemaking, Air sports, Running, Scouting, Shooting, Puzzles

Introduction: My name is Delena Feil, I am a clean, splendid, calm, fancy, jolly, bright, faithful person who loves writing and wants to share my knowledge and understanding with you.