On March 23, 2020, the BSE Sensex touched a low of 25,880.83.
After that calamitous drop in March, everyone feared that we were in the grips of a deep bear market. Not surprisingly, give the cascade of awful news – economic slowdown, unemployment on the rise, businesses shutting down, and deaths due to the pandemic.
Much to everyone’s amazement, a ferocious bull market followed. On July 24, 2020, the index touched a high of 38,235.73.
A Google search will throw up names that had a stupendous run, including a bunch of penny stocks.
Stocks that shot into the limelight with phenomenal returns were Alok Industries, Hathway Bhawani Cabletel & Datacom, Ruchi Infrastructure, Opto Circuits, Adani Green, Birla Tyres, Sintex Plastics, Alchemist Ltd, JMT Auto, Emco Ltd, North Eastern Carrying Corp, Andhra Cements, Oswal Agro, Bilcare, Ballarpur Industries, Punj Lloyd, Suzlon Energy, GMM Pfaudler, Bombay Rayon, Uttam Value Steel and Apollo Finvest, Aarti Drugs, Balaxi Ventures, and Dixon Technologies, among others.
Reading the names of this motley collection, it was quite apparent that the rally was more broad-based than just a few index stocks carrying the market.
Gopal Kavalireddi, head of fundamental research at Fyers Securities collated data to check this out. He found that out of the 1,596 listed stocks from A and B groups, only 81 showed negative returns.
Below are the listed 81 stocks.
(Click on the images to enlarge.)
The above 21 stocks witnessed a precipitous drop in their prices over such a short period of time.
Below are the ones that dropped by less than 10%.
