5 FMCG Multibagger Stocks with 1 year return up to 375% in 2021

FMCG Multibagger Stocks to invest in 2021Top Performing FMCG Multibagger Stocks in 2021

FMCG is every green sector. This sector continued to perform well during recession and even in covid period. There are a few FMCG stocks that gave good returns in the last 1 year. However, investors should not carry away with just 1 year returns but check some of the positive factors and any risk factors in such stocks. In this article, we would provide 5 FMCG Multibagger stocks that gave up to 375% returns in the last 1 year in 2021. We would also provide reasons to invest in such stocks and risk factors an investor should consider before investing.

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List of FMCG Multibagger Stocks with 1 year return up to 375%

Here is the list of FMCG multi bagger stocks that gave high returns in last 1 year in 2021.

List of 5 FMCG Mulgibagger Stocks in 2021

FMCG Multibagger Stocks – Reasons to invest and Risk Factors

Now let me provide you some analysis about their financials, positives and risks in these stocks.

#1 – Globus Spirits – 375%

Globus Spirits Limited is engaged in the business of manufacture, marketing and selling of Industrial Alcohol which comprises RS and ENA, CL and IMFL. Company product range includes IMFL-White Lace Gin White Lace Dry Gin, White Lace Duet Gin GR 8 Times Dry Gin Samurai Gold Extra Rich Blend Whisky etc.,

Why to invest in such stock?

Its consolidated revenues increased from 774 Crores in FY2017 to Rs 1,230 Crores in FY2021.

Its consolidated profits significantly increased from Rs 14 Crores in FY2017 to Rs 140 Crores in FY2021.

Company with strong annual growth in EPS.

Company has low debt.

Company book value per share increasing in last 2 years.

Company with zero promoter pledge.

There is strong momentum in company share price which is above short-, medium- and long-term moving averages.

Risk Factors in this stock

Company costs are growing year on year but related to long term projects.

Its non-core income is increasing year on year.

In terms of technicals, currently this stock is showing BULLISH.

#2 – Shree Renuka Sugars – 270%

Shree Renuka Sugars Limited is the leading manufacturer and marketer of sugar, power and ethanol. Sugar is the core product of the company.  Out of the by-products like Bagasse and molasses, company generates power for captive consumption and sale to state grid.

Why to invest in such stock?

While its revenues have fallen in the last 5 years, its consolidated revenues increased from 4,508 Crores in FY2019 to Rs 5,648 Crores in FY2021.

In similar comparison, its losses of Rs 365 Crores in FY2019 reduced to Rs 116 Crores in FY2021.

Foreign Institutional Investors / FPIs have increased their shareholding in the recent quarters.

There is strong momentum in company share price which is above short-, medium- and long-term moving averages.

Risk Factors in this stock

Company has high interest payments compared to the profits.

Company has high promoter pledge.

In terms of technicals, currently this stock is showing BULLISH.

We all know sugar stocks got beating in the last few years due to various reasons. Now this segment is gradually shifting from cyclical play to more structured play due to Govt’s push on ethanol blended petrol in India. This shift can benefit such companies.

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#3 – Triveni Engineering – 245%

Triveni Engineering and Industries Limited is engaged in the business of manufacturing sugar, steam turbines and projects and engineering activities. Company sugar product brand is Shagun. They also sell poha, maida, daliya, atta and besan under the same brand name.

Why to invest in such stocks?

Its consolidated revenues increased from 2,824 Crores in FY2017 to Rs 4,703 Crores in FY2021.

Its margins have improved from Rs 230 Crores in FY2017 to Rs 293 Crores in FY2021.

Company has zero promoter pledge.

Foreign Institutional Investors / FPIs have increased their shareholding in the recent quarters.

There is strong momentum in company share price which is above short-, medium- and long-term moving averages.

Risk Factors in this stock

Its recent quarter results indicate decline in quarterly revenues and profits compared to last 5 quarters nos.

Company non-core income is increasing in the recent years.

In terms of technicals, currently this stock is showing BULLISH.

#4 – Dalmia Bharat Sugars – 215%

Dalmia Bharat Sugar and Industries Limited is one of the fastest-growing sugar companies in India.

Why to invest in such stocks?

Its consolidated revenues increased from 1,686 Crores in FY2017 to Rs 2,685 Crores in FY2021.

Its consolidated profits increased from Rs 186 Crores in FY2017 to Rs 270 Crores in FY2021.

Company with zero promoter pledge.

Foreign Institutional Investors / FPIs have increased their shareholding in the recent quarters.

There is strong momentum in company share price which is above short-, medium- and long-term moving averages.

Risk Factors in this stock

Its non-core income is increasing year on year.

In terms of technicals, currently this stock is showing BULLISH.

#5 – Eveready Industries – 165%

Eveready Industries (India) Ltd is well known brand which manufacturers dry cell batteries. Other than this, company also manufacture flashlights (torches), mosquito repellant and packet tea. Currently Eveready Industries is conducting test marketing of dishwash detergent and wanted to increase its product portfolio in near future.

Why to invest in such stocks?

Company with low debt.

Company debt is reducing year on year.

Company promoter pledge is decreasing in the last few years.

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Risk Factors in this stock

Credit rating agencies has downgraded company credit rating.

Its revenues and profits have declined in the last 5 years. Even in the last 3 quarters, its revenues have fallen and moved from profit making to loss making.

It has posted Rs 307 crore loss for FY2021.

Promoters are reducing their stake in the company.

In terms of technicals, currently this stock is showing NEUTRAL. Investors should be little cautious before investing in such companies.

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Suresh KP

4 comments

  • Sivaraman

    Thank you so much for your valuable guidance. Im on Good profile. Will quit this share

  • Sivaraman

    One guidance needed. Regarding Sugar Stocks, can KM Sugar Mills can be called as Multi bagger due to less priced but intrinsically strong. It is looking similar to Ashok Leyland before few years at Rs.10 but today at 120+. 12 times growth in close to 6 years

    • Hello Sivaram, KM Mills is trading at Rs 31 and not at Rs 120. Its revenues declined in FY2021 compared to FY2020. Its revenues are falling from Mar-2020 quarter onwards. If you observe its revenues have fallen by almost 70% for Mar-2021 Qtr nos compared to Mar-2020 Qtr. Company costs are growing and promoter decreasing the share holding are major concerns. Due to rally in sugar stocks in the last 3 months, the stock price moved from Rs 12 to Rs 31. One should avoid such stocks unless they are just speculating for 1 week or 1 month and buying for short term trading.

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