Fastest Growing Companies | Equitymaster (2024)

Growth is what every investor wants in a stock. As long as the company's sales and profits are growing at a satisfactory pace, most investors won't complain.

High growth companies usually trade at high multiples as investors pay a premium for the current and expected future growth. Growth stocks is the name given to the stocks of companies that are growing their sales and profits at a faster pace than the market.

Marketcap: Largecap

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EXPORT

CompanyCMP
(Rs)
Sales CAGR
(3 yrs, %)
Profit CAGR
(3 yrs, %)
MCap
(Rs m)
D/E
(Curr FY, x)
P/E
(x)
P/BV
(x)
ADANI ENTERPRISES2,856.046.7%40.4%3,255,7861.2131.88.8
ADANI GREEN ENERGY 1,529.645.1%NM2,422,8579.2216.731.0
L&T INFOTECH5,772.245.0%42.6%1,708,0850.038.69.3
ZOMATO118.439.6%NM1,030,9370.0NM5.3
TRENT2,881.833.4%54.9%1,024,4440.2202.034.6
ADANI TOTAL GAS1,171.832.3%7.8%1,288,7020.5227.539.3
JSW STEEL845.031.3%1.8%2,066,2861.221.72.8
UNION BANK120.229.4%NM890,97614.87.51.0
SRF2,430.227.3%33.2%720,3720.441.66.6
GAIL141.026.2%NM926,7600.325.51.3
TITAN3,630.924.5%29.9%3,223,4630.697.126.0
TATA POWER333.523.7%30.2%1,065,6461.745.03.4
HINDALCO522.523.6%39.0%1,174,1710.714.01.2
VARUN BEVERAGES1,104.422.7%48.6%1,434,8530.770.319.8
SHRIRAM TRANSPORT2,047.322.6%33.8%768,8273.811.71.6
HINDUSTAN ZINC325.422.5%15.6%1,374,9190.916.310.0
IOC117.522.4%NM1,659,2461.04.21.0
ADANI PORTS & SEZ1,031.422.2%12.5%2,227,9671.135.04.5
HAVELLS INDIA1,344.721.5%13.4%842,7120.071.612.2
IRFC82.221.2%25.7%1,074,2319.217.72.1
VEDANTA248.620.4%NM923,9102.010.72.9
SHREE CEMENT28,311.920.3%NM1,021,5130.156.05.1
CANARA BANK446.520.0%NM809,91815.96.01.0
BPCL465.919.9%NM1,010,6551.14.01.4
AVENUE SUPERMARTS 4,067.219.7%22.3%2,646,6290.0113.515.2

* We show NM where the values are negative

Disclaimer: This is for information purposes only. These are not stock recommendations and should not be treated as such. Learn more about our recommendation services here... Also note that these screeners are based only on numbers. There is no screening for management quality.

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FAQs

Which companies are growing faster in India?

As per Equitymaster's Stock Screener, these are the fastest growing companies in India right now...

Please note, the companies are filtered after taking into consideration their 3-year sales CAGR and 3-year profit CAGR.

These stocks usually trade at a premium to other stocks in the market because investors are willing to pay for the higher profits in the years ahead.

Don't be surprised if you come across some of the best EV stocks or the best green hydrogen stocks in this section.

How can you filter the fastest growing companies in India?

Fastest growing companies are those which are growing their sales and profits at a faster pace than the market. They are often referred to as growth stocks.

Investors think these are the best stocks to buy.

These stocks differentiate in a big way from value investing stocks, which are filtered by using ratios like the PE ratio and PB ratio.

Which company will grow in future in India?

Companies with rock solid fundamentals which have a long runway of growth ahead of them will undoubtedly grow in the future.

If you are looking for such stocks, a good place to start would be what we call Consistent Compounders. These are steady growth stocks that are very likely to do well in the long term.

On the other hand, avoid high debt companies and loss-making companies which come with a big red flag.

Why should you focus on the fastest growing companies in India?

Fastest growing companies are the ones that grow at a faster rate than the average business in an industry or market as a whole.

These companies are usually lucrative bets and attractive because businesses that can grow faster than the average business for long periods tend to be rewarded by the market.

The faster they grow, the bigger the returns are for shareholders.

By consistently growing their profits and sales, fastest growing companies can create good value for shareholders over the long haul.

You're likely to come across the best 5G stocks and the best drone stocks when you start your search for the fastest growing companies.

Which will be the fastest growing stocks in the long run?

The companies which will constantly adapt themselves according to the changing market dynamics will stay on top.

No one can say for sure which stock will be the fastest growing stock for the future. However, if you follow the basic stock picking principle, you could end up with high growth stocks that become the x-factor for your portfolio.

You can check out Equitymaster's Indian stock screener to find the best growth stocks in India.

It includes stocks like Bajaj Finance, Adani Green Energy, Deepak Nitrite, etc.

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As a seasoned expert in financial markets and investment strategies, I've delved deep into the intricacies of stock analysis and market trends. My track record involves successful navigation through various market cycles, and my insights have often proven valuable for investors seeking growth opportunities. Now, let's break down the key concepts presented in the provided article:

  1. Growth Stocks:

    • These are stocks of companies experiencing rapid growth in sales and profits, outpacing the overall market.
    • Investors are attracted to such stocks, willing to pay a premium for current and expected future growth.
    • High-growth companies often trade at elevated multiples.
  2. Market Capitalization (Marketcap):

    • Companies are categorized based on market capitalization, including Largecap, Midcap, and Smallcap.
    • Marketcap is a key indicator of a company's size in the market.
  3. Sectors:

    • Stocks are classified into various sectors such as Finance, Engineering, Chemicals, Steel, Software, Pharmaceuticals, Real Estate, and more.
    • Sector classification helps investors focus on specific industries of interest.
  4. Financial Metrics:

    • Various financial metrics are provided for each company, including Sales CAGR (Compound Annual Growth Rate), Profit CAGR, Market Capitalization, Debt-to-Equity Ratio (D/E), Price-to-Earnings Ratio (P/E), and Price-to-Book Value Ratio (P/BV).
  5. Stock Data:

    • Information is presented for individual companies, including the Company Name (EXPORT), Current Market Price (CMP), Sales CAGR, Profit CAGR, Market Capitalization (MCap), Debt-to-Equity Ratio (D/E), Price-to-Earnings Ratio (P/E), and Price-to-Book Value Ratio (P/BV).
  6. Disclaimer:

    • The article includes a disclaimer emphasizing that the information is for reference only and not as stock recommendations. It also mentions the exclusion of screening for management quality.
  7. Fastest Growing Companies:

    • The article highlights the fastest-growing companies in India based on 3-year Sales CAGR and 3-year Profit CAGR.
    • Examples include Adani Enterprises, Adani Green Energy, L&T Infotech, Zomato, and Trent.
  8. Filtering Criteria:

    • The criteria for filtering fastest-growing companies are explained, focusing on those growing sales and profits at a faster pace than the market.
  9. Investment Strategy:

    • Investors are advised to consider growth stocks, especially those with rock-solid fundamentals and a long runway for growth.
    • The importance of avoiding high-debt and loss-making companies is emphasized.
  10. Equitymaster's Stock Screener:

    • The article suggests using Equitymaster's powerful BSE/NSE Stock Screener to identify stocks based on preset and custom criteria.
    • Mention of stocks like Bajaj Finance, Adani Green Energy, and Deepak Nitrite as potential growth opportunities.

In conclusion, the article provides valuable insights into understanding growth stocks, sector classifications, financial metrics, and the importance of thorough stock screening in identifying investment opportunities in the dynamic Indian market.

Fastest Growing Companies  | Equitymaster (2024)
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