Unlikely heroes from Kerala in Nifty’s record run: 2 PSUs

KOCHI: As markets cheered the National Stock Exchange’s Nifty index crossing 20,000 for the first time last week, two unexpected companies have emerged as the best-performers from Kerala: PSUs Fertilisers and Chemicals Travancore Ltd (FACT) and Cochin Shipyard Ltd (CSL), which outshone several highly rated private players. The Nifty closed at 20,192.35 on Friday. This marks a jump of 33.58% in just two-and-a-half years, from 15,115.80 on February 8, 2021. TNIE’s calculation based on stock prices between February 8, 2021, when the index hit the 15,000-mark for the first time, and now reveals that the biggest gainer among the listed companies from the state is FACT. The stock price of FACT climbed from Rs 83 to Rs 566.35, an astounding rise of 522.46%, over the period under review. Simply put, if you had invested `1 lakh to buy FACT shares on February 8, 2021, they would be worth Rs 6.83 lakh now. Another winner in the bull run is CSL. The shipbuilder’s stock shot up from Rs 347.40 to Rs 1,106.45 — a growth of 218.49%. This translates to a Rs 2.18 lakh gain on a Rs 1 lakh investment over the same period. The third biggest gainer among the Kerala-based companies is Wonderla Holidays, which runs amusement parks in Kochi, Bengaluru and Hyderabad. Its share price rose from Rs 206.30 to 631.55, posting an increase of 206.13%. Kalyan Jewellers has also had a good run since its debut on March 26, 2021. The stock has returned 203.71% after its shares were listed at Rs 75.30 apiece following its initial public offering (IPO) in March 2021. It is trading at Rs 228.70, a return of 203.71% since its debut. Thrissur-based South Indian Bank, which is considered a laggard, surprisingly has given good returns when viewed from a two-and-half-year perspective. The stock has risen from Rs 8.34 to Rs 24.61, a return of 195.08%. An investment of Rs 1 lakh on February 8, 2021 in its shares, would now have turned Rs 2.95 lakh. Aluva-headquartered Federal Bank has also given handsome returns of 75% to investors over the same period. Its stock price rose from Rs 82.85 to Rs 148.20, as on close last Friday. Surprisingly, stocks like Manappuram Finance (-18.32%), Geojit Financial Services (-1.35%), and Muthoot Finance (12.82%) are some of the stocks that have underperformed the market in the last two-and-a-half years