Top 5 Wealth Creators And Top 5 Wealth Destroyers

We have reached the end of the financial year 2013. Here, we are looking at the top 5 wealth creators as well as the top 5 wealth destroyers for the fiscal gone by. To arrive at the list, we have only considered the Group A stocks which have higher liquidity along with a higher number of shareholders.

Let us consider the gainers first:

Wockhardt: Wockhardt is an Indian multinational company with a multi-ethnic workforce of 7,900 Wockhardt associates from 21 different nationalities. It has 3 research centres and 12 manufacturing plants, with businesses ranging from the manufacture and marketing of Pharmaceutical and Bio-pharmaceutical formulations, Active Pharmaceutical Ingredients (APIs) and Vaccines.

In the last fiscal, the company has been the top gainer in the Group A companies. The price of the stock has appreciated by a whopping 230.39%.

United Spirits: United Spirits engages in the manufacture, purchase, and sale of alcoholic beverages in India and internationally. It offers scotch under the brand names of Black Dog, Dalmore, Jura, and Whyte & Mackay; whisky under the brand names of Antiquity, Bagpiper, McDowell’s No. 1, McDowell's No.1 Platinum, Royal Challenge, and Signature to name a few. The company was formerly known as McDowell and Company and changed its name to United Spirits in October 2006.

In the last one year, its stock prices have appreciated by 198.12% and it thus secures the second place in our list.

Gitanjali Gems: Gitanjali Gems engages in the design, manufacture, distribution, and retail of diamonds and jewellery in India and internationally. Its activities include manufacture, sale, and export of cut and polished diamonds, manufacture, sale, and export of plain gold and diamond studded jewellery. The company offers jewellery and jewellery studded with diamond and other gems under the brands of GILI, Nakshatra, Asmi, Sangini, D’damas, Maya Gold, etc. The company sells diamonds and jewellery to merchant jewellers and retail chains. It operates 4,000 points of sale, including 233 stores, 577 shop-in-shop format stores, and 319 franchise stores.

In the 2012-13 fiscal, the stock price of the company has given returns of 78.48%.

Zee Entertainment Enterprises: Zee Entertainment Enterprises, together with its subsidiaries, operates as a vertically integrated media and entertainment company in India and internationally. It develops, produces, and procures television programming and movie content. The company broadcasts a number of channels; its Hindi entertainment channels comprise of Zee TV, Zee Smile, and 9X; Hindi movies channels such as Zee Cinema, Zee Premier, Zee Action, and Zee Classic to name a few. It has a library housing approximately 1,00,000 hours of television content; and rights to approximately 3,000 movie titles.

In the 2012-13 fiscal, the stock price of the company has given a return of 61.49%.

HCL Technologies: HCL Technologies provides a range of software services, business process outsourcing, and infrastructure product and management services in India, the United States, Europe, and internationally. The company serves aerospace and defense, automotive, consumer electronics, energy and utilities, financial services, government, healthcare, independent software vendors, industrial manufacturing, media and entertainment, medical devices, professional services, retail and consumer, semiconductors, server and storage, telecom, transportation and logistics, and travel and hospitality sectors.

In the 2012-13 fiscal, the stock has yielded returns of 59.16%.

We now move on to the losers:

MMTC: MMTC operates as a trading company worldwide. The company exports various mineral products, including iron ore, manganese ore, chrome ore, mud chemicals, barytes, bentonite, bauxite to name a few. It primarily exports to Japan, South Korea, China, and the Middle East. It is also involved in the import, export, and retail trade of precious metals, including gold, silver, platinum, palladium, rough diamonds, rubies, emeralds, and other semi-precious stones; and operation of jewellery showrooms and sterling silverware showrooms under the Sanchi brand.

In FY13, the stock has been the worst performer as far as stock prices are concerned. It has yielded negative returns of 74.90%.

Opto Circuits (India): Opto Circuits (India), a medical device company, designs, develops, manufactures, markets, and distributes various medical products primarily in Asia, North America, and Europe. The company offers medical equipment, which comprise of cardiac monitoring devices, such as electrocardiograph systems, stress test systems, and holter monitoring systems; data management and connectivity products.

In FY13, the stock has depreciated by 69.68%.

Educomp Solutions: Educomp Solutions provides education solutions to schools, learners, and educators primarily in India. Its products include Educomp SmartClass, an education content and technology solution that assists teachers in meeting day-to-day classroom challenges and enhancing students’ academic performance with the use of technology; and EduReach, which offers turnkey solutions for computer aided learning in government schools.

However, the company has had one of the most beaten down stocks in FY13. The stock prices have declined by 68.54%.

Hindustan Copper: Hindustan Copper engages in the manufacture and sale of copper products in India. The company’s activities include mining, beneficiation, smelting, refining, and casting of refined copper metal. The company also exports its products to other countries. Hindustan Copper Limited was incorporated in 1967 and is based in Kolkata.

This is the second PSU that has featured in our list and has given negative returns of 65.83%.

Amtek Auto: Amtek Auto engages in the manufacture and sale of integrated automotive components primarily for OEMs in India, Europe, and North America. Its product portfolio include flywheel ring gears, such as starter ring gears, flex plate assemblies, and conrod piston sub assemblies to name a few. The company offers its products for use in engines, transmissions, suspensions, and chassis for passenger cars, two or three wheelers, and light and heavy commercial vehicles; and for use in tractor, locomotive, construction, railway, aerospace, agricultural, heavy earth moving equipment, and specialty vehicle sectors.

The stock prices have depreciated by 52.24% in FY13.