Experts suggest that better financial performance has helped Gujarat-based companies enrich investors.
Vaibhav Shah, director of a stock broking firm, said: "The pharmaceutical sector Overall, it has outperformed the benchmark index โ the pharma index has returned 19.1% since Muhurat last traded.
Guj pharma cos beats indices
All the pharmaceutical companies based in Gujarat have outperformed both the benchmark indices as well as the sectoral indices of the pharmaceutical sector. Even small-cap entities like Lincoln Pharma returned 108.7%, while heavyweights like Zydus Lifesciences returned 60%. Infrastructure and engineering companies also saw strong returns as Torrent Power, Ratnamani Metals and AIA Engineering closed with gains of 60%, 58% and 37% respectively.โ
Indian stock markets clearly fared better in the face of global headwinds such as inflation and geopolitical instability. Gunjan Choksi, director at another stock broking firm, said: "In Samvat 2079, Indian stocks defied economic headwinds, with sectoral performances such as real estate and automobiles driving strong market gains, while IT lagged behind. Most Gujarat-based companies have outperformed markets with strong fundamentals. The outlook for Samvat 2080 is optimistic, with Nifty 50 potentially hitting the 21,000 mark, despite anticipated volatility."
Commenting on the performance of the companies, Aasif Hirani, director of a brokerage house, said, "Most of the Gujarat-based companies did well and outperformed the market indices, giving an average return of about 27 % vs Nifty index of 10.1% State Enterprises Results were good and sharp rise in indices also reflected strong investor confidence Energy and construction materials have seen strong recovery due to rally of economic activity. Some of the large funds have also acquired large stakes in Gujarat Companies while retail investors also showed great interest in acquiring stakes in various state corporations."
