Business

How these paints, FMCG, and IT stocks can save your portfolio in a bear market

Quality stocks like Marico, Asian Paints, HUL, Berger Paints, ITC, Nestle India, Dabur, and Page Industries have underperformed the benchmark indices from 2020 to date. Even their PE multiples have fallen. But analysts believe these companies are attractive. Here’s why.

In 1996, if you had invested INR100 in the shares of Marico, the maker of Parachute and Saffola oil, it would have become INR25,492 by March 2024. Over the course of 28 years, shares of Marico grew at a compounded annual growth rate (CAGR) of more than 22%, hugely outperforming the Sensex which grew at CAGR of just 12.7%.

Marico is a company with a low debt-to-equity, consistently high-returns ratio and its earnings per share growth is showing.