FROM WHITE ELEPHANT to a galloping beast. That has been the evolution of public sector undertakings (PSUs) in the past few years. Once seen to be slow and inefficient, PSUs have managed to stage a smart turnaround in recent years with initiatives and reform measures taken by the government bearing fruit. The government’s focus on public expenditure in recent years has also put the spotlight on these firms and made them at least partly shoulder the responsibility of a revival in investment.
Reflecting these changed dynamics, PSU stocks, too, have displayed robust profitability growth and strong market performance in the past couple of years. In the past 12 months, the BSE PSU index has outperformed the large-cap and broader equity benchmarks. The BSE PSU index has rallied 96% in the past year (as of July 31, 2024), while the benchmark BSE Sensex and BSE 500 have surged 23% and 37%, respectively. In fact, select PSU stocks have surged by up to 660% in this period.
Aamar Deo Singh, Senior Vice President of Research at brokerage Angel One, says the government’s focus on infrastructure and manufacturing sectors has helped PSUs. “Special stress on railways and defence also helped many of the PSUs deliver solid performance and further, the priority given to ‘Make in India’ also aided in this stellar growth. Also, the thrust on infrastructure in terms of building highways, power [assets], ports, and airports have also helped the PSU pack,” he says.
This story is from the September 29, 2024 edition of Business Today India.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the September 29, 2024 edition of Business Today India.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
"Moving to cloud helped us grow❞
What was the problem you were grappling with?
She's Got Time
MORE WOMEN ARE BECOMING WATCH CONNOISSEURS, SEEKING OUT BOTH JEWELLED AND TECHNICAL WATCHES FOR THEIR STYLE AND CRAFTSMANSHIP
RISING STAR
PARUL GULATI IS a name that's been steadily gaining prominence in the Indian entertainment industry after she appeared on season 2 of Shark Tank in 2023. She has become a multifaceted personality who effortlessly transitions between acting and entrepreneurship.
Building on a Legacy
WHEN ZAHABIYA KHORAKIWALA stepped into her role as Managing Director of Wockhardt Hospitals over a decade ago, she confronted formidable challenges that have since turned into achievements.
LEADER IN INNOVATION
AS FEDEX'S PRESIDENT (Middle East, Indian subcontinent and Africa), Kami Viswanathan has a lot on her plate.
WAITING IN THE WINGS
Here are those who missed out as they have not yet completed a year in office; they'll be strong contenders in 2025
A DECENT PROPOSAL
IN TODAY'S WORLD OF TRYING TO CREATE AN EQUITABLE SPACE, BOTH MEN AND WOMEN CONTRIBUTE TO THEIR HOUSEHOLDS. WOMEN ARE ENCOURAGED TO HAVE THEIR OWN SAVINGS POOL AND INVESTMENT ROUTINE. GIVEN THIS, HOW SHOULD FUTURE BRIDES APPROACH FINANCIAL PLANNING?
Women and the STEM Bias
EMPOWERING WOMEN IN STEM WILL NOT ONLY BENEFIT INDIVIDUALS, BUT ALSO STRENGTHEN THE ENTIRE INDUSTRY, DRIVING INNOVATION AND PROGRESS.
ROCKET WOMEN
WOMEN IN INDIA ARE NOT ONLY VENTURING INTO SPACE BUT ARE ALSO STARTING TO SPEARHEAD THE COUNTRY'S EFFORTS IN THE GLOBAL SPACE RACE.
ONE STEP FORWARD
THE NUMBER OF WOMEN INDEPENDENT DIRECTORS IS GROWING STEADILY, BUT IT'S A LONG WAY FROM GENDER PARITY. MUCH MORE NEEDS TO BE DONE TO BREAK THE GLASS CEILING IN BOARDROOMS.