In the last 1 year, these shares of Nifty Metal made investors rich

Multibagger Stock: Of the 15 constituents of the Nifty Metal Index, 10 have proved to be multi-baggers in the last 1 year, moving between 100 per cent and 400 per cent. Metal stocks have been in focus over the past year. The benchmark Nifty has gained only 55 per cent as compared to a gain of over 150 per cent in the Nifty Metal index during this period. The bullish trend in the metal index has been due to the rise in the prices of the base metal amid rising demand due to the opening up of the economy after the COVID crisis. The rise in metal prices would further boost realizations and thus improve their profitability.

Apart from this, many sectors like real estate, auto are heavily dependent on the metal sector and the increase in demand in the respective sectors will also prove beneficial for the metal companies. Issues like declining demand for the metal in China, production cuts due to power shortage and Evergrande are also potential opportunities for Indian metal companies. Going forward, the demand for metal space will continue due to increase in India’s infrastructure development with focus on smart cities, rural electrification, renewable energy products, etc., making it a good investment opportunity in this sector.

The performance of Nifty Metal Index last year also reflects the increasing interest of investors in this sector. It outperformed not only the benchmark Nifty but also other sectors. Of the 15 constituents of the Nifty Metal Index, 10 have become multi-baggers in the last 1 year, moving between 100 per cent and 400 per cent.

Here are the best performing metal stocks in one year:

Adani Enterprises:
In the Nifty Metal Index, this stock was the best performer in the last 1 year, gaining more than 400 percent in this period.

Hindustan Copper:
The stock has gained more than 300 per cent in the last 1 year and 136 per cent in 2021 (YTD).

NALCO:
The stock rose 260 percent in the last 1 year and over 150 percent in 2021 (YTD).

Vedanta:
The stock rose more than 250 percent in the last 1 year and over 120 percent in 2021 (YTD).

SAIL:
The stock grew by almost 240 percent in the last 1 year and over 60 percent in 2021 (YTD).

Apart from these, Tata Steel jumped 230 percent, APL Apollo Tubes 195 percent, Hindalco 175 percent and JSW Steel and JSPL jumped over 110 percent in the last one year.

The remaining five stocks in the Nifty Metals Index – NMDC, Ratnamani Metals, Coal India, Hind Zinc and Welspun Corp – also gave positive double digit returns between 20 per cent and 75 per cent to their investors.

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