India's Top Wealth Creators and Destroyers

By siliconindia   |   Wednesday, 14 December 2011, 01:16 IST
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Identifying the top 5 most consistent wealth creators, the report placed Kotak Mahindra first in the list followed by Sun Pharma, Asian Paints, and HDFC Bank. It is also clearly visible from the report that the private sector financials are appearing as blue chip stocks with high, and more importantly, persistent growth achievement, giving an example of HDFC BANK which for the last 38 consecutive years remitted 30 percent PAT growth.

Sanwaria Agro topped the chart among the fastest wealth creators between Financial Year 2006-2011, as the company added up 43 billion to its market cap at a CAGR of 119 percent per annum.  Companies like Adani Enterprises and Bhushan Steel emerged second and third, adding growth of 86 percent and 64 percent, respectively. However, the report warns that some of these fastest wealth creating stocks could be temporary multi-achievers, developed by the blend of periodical feature of business and questionable quality of management. The report indicated that Sanwaria Agro has increased its share of wealth from 12 percent in FY06 to 24 percent in FY11 .