Shareholders, also known as stockholders or equity holders, are individuals, entities, or institutions that own shares or stocks in a company. When you own shares in a company, you become a partial owner or shareholder of that company. Being a shareholder comes with certain rights and responsibilities. Along with sharing in the overall financial success, a shareholder is also allowed to vote on certain issues that affect the company or fund in which they hold shares.
Shareholders can have different goals and interests, ranging from seeking regular dividend income to capital appreciation or influencing the company’s direction through voting rights.
Below is the general category of shareholders in any company:
- Promoters
- Foreign Institutional Investors
- Domestic Institutional Investor
- Government
- Public or Retail Investors
In this article let’s bifurcate companies by their Market capitalisation into two segments – first companies greater than Rs 50,000 crore and second companies with less than Rs 50000 crore.
There are about 20 companies having a market capitalisation of more than Rs 50,000 crore seen an increase in retail participation or public investment. Let’s check the top 5 best and worst-performing stocks and stocks which is currently trading near its 52-week high.
Top 5 Best Performing Companies are:
| Company Name | CMP | 1 Yr Return | Q3 FY23 Retail Holding | Q4 FY23 Retail Holding |
| Tube Investments of India ltd | 2781.6 | 74.9% | 12.55% | 12.64% |
| Hindustan Aeronautics ltd | 3020.2 | 68.3% | 4.98% | 5.34% |
| Indusind Bank ltd | 1268.05 | 37.3% | 13.70% | 14.45% |
| Mahindra & Mahindra ltd | 1281.85 | 34.5% | 9.77% | 9.81% |
| Interglobe Aviation ltd | 2323.35 | 27.5% | 1.98% | 2.19% |
Top 5 worst performing companies are:
| Company Name | CMP | 1 Yr Return | Q3 FY23 Retail Holding | Q4 FY23 Retail Holding |
| Adani Transmission ltd | 850.1 | -61.1% | 2.72% | 3.51% |
| Adani Greens ltd | 963.35 | -55.5% | 22.70% | 24.16% |
| Infosys ltd | 1317.45 | -9.9% | 15.53% | 15.67% |
| Vedanta ltd | 297.65 | -3.3% | 11.07% | 13.63% |
| Avenue Supermart ltd | 3501.75 | -3.1% | 9.24% | 9.37% |
Top 5 companies trading at less than 10 % from its 52-week high:
| Company Name | CMP | 52 -Week High | 1 Yr Return | Q3 FY23 Retail Holding | Q4 FY23 Retail Holding |
| Interglobe Aviation ltd | 2323.35 | 2332.95 | 27.5% | 1.98% | 2.19% |
| Indusind Bank | 1268.05 | 1275.9 | 37.3% | 13.70% | 14.45% |
| Hindustan Aeronautics ltd | 3020.2 | 3168.8 | 68.3% | 4.98% | 5.34% |
| Bharti Airtel ltd | 817.95 | 877.1 | 19.5% | 4.00% | 4.05% |
| State Bank of India | 586 | 629.65 | 25.0% | 7.03% | 7.40% |
Out of these 20 stocks, there were four Adani stocks present in the list. All four stocks are down between 25% to 80% from its 52-week high.
| Company Name | CMP | 52 -Week High | 1 Yr Return | % Change | Q3 FY23 Retail Holding | Q4 FY23 Retail Holding |
| Adani Ports ltd | 726.85 | 987.9 | 3.4% | -26.4% | 6.62% | 7.95% |
| Adani Enterprises ltd | 2544.35 | 4190 | 22.3% | -39.3% | 6.53% | 7.87% |
| Adani Green ltd | 963.35 | 2574.05 | -55.5% | -62.6% | 22.70% | 24.16% |
| Adani Transmission ltd | 850.1 | 4238.55 | -61.1% | -79.9% | 2.72% | 3.51% |
Now, companies having a market cap of less than Rs 50,000 crore. There are more than 50 companies that attracted retail participation.
Top 5 best-performing companies are:
| Company Name | CMP | 1 Yr Return | Q3 FY23 | Q4 FY23 |
| NIBE ltd | 362.9 | 644% | 36.04% | 41.63% |
| Imagica World Entertainment ltd | 42.85 | 211% | 16.00% | 22.67% |
| Kirloskar Oil Engines ltd | 400.5 | 165% | 22.31% | 24.76% |
| Jindal Stainless Steel ltd | 290.2 | 146% | 9.64% | 13.99% |
| Aptech ltd | 558.6 | 143% | 43.36% | 43.85% |
Top 5 worst-performing companies are:
| Company Name | CMP | 1 Yr Return | Q3 FY23 | Q4 FY23 |
| EKI Energy Services ltd | 384.15 | -78% | 16.70% | 17.50% |
| MEP infrastructure Developers ltd | 12.7 | -43% | 47.32% | 48.50% |
| Bheema Cements ltd | 51.13 | -39% | 22.69% | 26.43% |
| TCNS Clothing ltd | 416.85 | -28% | 46.45% | 47.45% |
| Ramco Industries ltd | 144.65 | -24% | 40.54% | 41.45% |
Top 5 companies trading at less than 10 % from its 52-week high:
| Company Name | CMP | 52 -Week High | 1 Yr Return | Q3 FY23 | Q4 FY23 |
| Jupiter Wagons ltd | 133.5 | 133.85 | 128% | 23.88% | 24.42% |
| Equitas Small Finance bank | 84.4 | 84.7 | 94% | 6.09% | 34.33% |
| Anupam Rasayan ltd | 1219.8 | 1234 | 75% | 24.67% | 25.68% |
| Coforge ltd | 4459.95 | 4512.7 | 21% | 11.97% | 12.23% |
| Lupin ltd | 779.95 | 800 | 29% | 9.51% | 10.39% |
Conclusion:
“While there is a large number of retail investors, the truth is that stock prices are not significantly impacted by individual retail transactions, given the small size of their overall share ownership. However, it is important to exercise caution when observing an increase in individual shareholding accompanied by a decrease in promoter or institutional shareholding. Such a scenario could be an early indication of a potential stock price crash.
Individual investors often have limited access to information and are more susceptible to emotional decision-making. Conversely, institutional investors, alongside promoters, are typically better informed. Therefore, investors should carefully evaluate the shareholding pattern, particularly regarding promoters, before making any investment decisions. As the saying goes, “A good management team can elevate a weak company, while a poor management team can bring down a strong company.”
