Morgan Stanley, the global investment bank, has compiled a list of India’s top 20 quality stocks among top 200 companies on 14 parameters. The stocks have been ranked companies in descending order of ROE, EPS, sales and dividend growth, and net margins; and in ascending order of the coefficient of variation of these metrics. The stocks have also been ranked in ascending order of trailing 10-year returns and in descending order of beta, debt-equity, and trading volumes. These companies include favourites such as Page Industries, BOSCH, Crisil, ITC, TCS and Oil India. Morgan Stanley has tried to include companies which can give consistent returns for the next ten years.
Morgan Stanley’s Top 20 Quality Stocks:
|
Company |
YTD (%) |
P/E |
Div |
FII stake – |
Average |
EPS |
Rank |
|
Page Ind |
15.51 |
41.55 |
0.94 |
19.15 |
10 |
20 |
1 |
|
BOSCH |
-3.86 |
32.04 |
0.67 |
6.91 |
70 |
61 |
2 |
|
Infosys |
2.25 |
14.39 |
1.78 |
40.52 |
20 |
66 |
3 |
|
Shriram City |
6.79 |
13.88 |
0.62 |
25.21 |
86 |
48 |
4 |
|
CRISIL |
-10.30 |
31.72 |
1.67 |
10.65 |
21 |
37 |
5 |
|
Bajaj Auto |
-14.75 |
17.29 |
2.47 |
18.20 |
6 |
2 |
6 |
|
ITC |
19.29 |
38.11 |
1.31 |
19.68 |
36 |
116 |
7 |
|
TCS |
16.29 |
20.6 |
1.50 |
16.14 |
9 |
77 |
8 |
|
NMDC |
-23.86 |
7.80 |
3.51 |
4.76 |
22 |
16 |
9 |
|
Oil India |
24.33 |
10.67 |
6.89 |
7.32 |
98 |
143 |
10 |
|
Sun Pharma |
31.55 |
35.76 |
0.44 |
22.61 |
28 |
44 |
11 |
|
Karur Vysya |
-15.74 |
9.53 |
2.92 |
25.29 |
108 |
129 |
12 |
|
HDFC Bank |
4.45 |
25.30 |
0.77 |
34.07 |
132 |
63 |
13 |
|
Asian Paints |
9.10 |
41.54 |
0.95 |
19.44 |
14 |
69 |
14 |
|
STFC |
1.75 |
11.96 |
0.91 |
49.45 |
69 |
47 |
15 |
|
Emami |
14.18 |
32.90 |
1.17 |
14.46 |
52 |
38 |
16 |
|
M&M Fin |
13.82 |
15.68 |
1.41 |
37.97 |
119 |
58 |
17 |
|
Nestle |
-0.99 |
44.32 |
0.98 |
11.94 |
2 |
105 |
18 |
|
Cadila |
-7.87 |
30.0 |
0.91 |
5.35 |
47 |
51 |
19 |
|
Wipro |
-12.79 |
12.85 |
2.02 |
7.30 |
37 |
98 |
20 |
Source: Morgan Stanley/ETIGDatabase (CMP as on May 15)
