39 NIFTY 500 stocks that delivered consistent growth over 5 years; Natco Pharma, ABB, M&M among top picks

The Indian equity benchmarks have handsomely rewarded investors over the last five years despite facing multiple headwinds. The rally which started on the back of easy liquidity conditions and cheap valuations in the aftermath of COVID-19 pandemic peaked out in October 2024 as valuations became expensive and central banks across the world tightened rates to counter inflation.

The equity investors have been facing tough time since 2024 amid heightened geopolitical tensions and threat of tariffs unveiled by United States President Donald Trump that sent shockwaves among investors as they grew cautious about future earnings growth of the companies.

The SENSEX, from 2021 till date, has delivered a return of 32% while NIFTY50 index has advanced 39%, data from the stock exchanges showed.

Expensive valuations, among the weakest growth in emerging markets (EM), and no AI-linked plays comparable to Korea and Taiwan are some of the concerns among investors, Ambit Institutional Equities said in a report.

Capital is moving to where next growth cycle lives, and that rotation, not just war, has driven most of currency and market divergence.

Despite multiple headwinds being faced by markets a list of 39 companies in the NIFTY 500 index have delivered consistent performance over the last five years in terms of net sales growth, profit growth, return on equity and debt to equity ratio of less than 0.5, data compiled by Ace Equity showed.

Natco Pharma, ABB, Mahindra & Mahindra, Mazagon Dock Shipbuilders and Uno Minda are among the top five companies in the NIFTY 500 index that have delivered compounded annual growth rate (CAGR) of 15% in terms of net sales, 15% CAGR in profit, 15% return on equity (ROE) and a debt to equity ratio of less than 0.5.

The company's debt-to-equity ratio is at zero since 2021.