These 5 stocks gave double-digit returns in October last 3 years; will history repeat this time?
Dalal Street bulls, if historical data for the last 10 years is anything to go by.
In the last 10 years, the benchmark Nifty 50 has given positive monthly returns nine times, with an average return of 2.9%.
ETMarkets did a further analysis of stocks that have given positive returns to investors consistently in October in the last three years.
The analysis revealed that there are five such stocks that have given double-digit returns in October in each of the last three years.
ETMarkets considered stocks of companies with a market capitalization of over Rs 1,000 crore for the analysis.
These five stocks are Bigbloc Construction, CG Power and Industrial Solutions, Jindal Stainless,Permanent Magnets, and Vimta Labs.
Bigbloc Construction
The stock has given 35% returns each in the October month of 2020 and 2021, followed by 11% gains in 2022.
If one looks at the year-to-date performance, the stock has given about 17% returns.
Avdhut Bagkar, derivatives and technical analyst at StoxBox, is bullish on the stock and has a price target of Rs 200, implying a potential upside of 19% from the current levels.
Technically, the stock is undergoing accumulation on successive dips, while trending on a higher trajectory.
Until the support of Rs 140 is maintained, the stock is anticipated to scale a new historic peak in October to Rs 200 level, he said.
CG Power and Industrial Solutions
This is the second star performer in October, giving double-digit returns in each of the last three years.
In fact, it has been one of the best performing stocks in the smallcap space in 2023, rallying more than 64%.
Even after such a run-up, Bagkar is strongly bullish on the electrical equipment maker and sees scope for the stock to cross the Rs
