Three Stocks in Dalal Street that Skyrocketed 200-Fold in Five Years

The last half a decade has seen an extraordinary turn of events for a few select stocks on Dalal Street, transforming a nominal investment into significant riches. We can illustrate this with the phenomenal success exhibited by three specific firms, whose shares have experienced up to a 200-fold increase. A hypothetical investment of ?1 lakh made five years ago would have mushroomed to a staggering ?2 crore today. Although these kind of investments are exceedingly rare and usually require a great deal of patience, it’s worthwhile to understand the factors that propelled their ascension and whether there’s room for further growth.

First on our list is PG Electroplast, an electronic manufacturing services (EMS) giant that has enjoyed a thrilling 20,000% return, catapulting its share price from ?4 on 17 July 2020 to ?802 today. Five years ago, the company was a mainstream manufacturer of plastic mouldings primarily used in the consumer durables sector, accounting for nearly 69% of its total revenue. The other 24% of revenue came from products such as room AC’s, washing machines, and air coolers, with the remaining contributing sectors including electronics and appliance manufacturing.

The shift in company’s fortunes can largely be attributed to the government’s ‘Make in India’ initiative and the China+1 manufacturing alternatives. With the transformation of the EMS sector, PG Electroplast metamorphosed as well. Its product segment revenue leaped a notable fifteen times over, from merely ?150 crore in 2019-20 to ?3,526 crore in 2024-25, providing 71% of its entire revenue. The formerly dominant plastic moulding division’s portion dwindled to 20%.

This astounding change was reflected in a soaring net profit as well, from a humble ?2.6 crore in 2019-20 to an impressive ?288 crore, accounting for a hulking 100-fold increase. These dramatic increments in profitability are usually the key driver for increased stock returns. Furthermore, there was a considerable rerating of return ratios. Return on equity expanded from 13.4% to 15% and return on capital employed doubled to 27%, evident of a highly efficient business structure.

While the past has been prosperous for PG, the company is keenly positioned to enjoy sustainable growth owing to the continuous tailwinds in the EMS segment. Rapid urbanization, progressive government reforms, lower market penetration of consumer durables, and the shift towards China+1 drive the expectations for this positive outlook. The company aims for a 30% elevation in revenue to ?6,345 crore in 2025-26, projecting 75% of it to come from its product business. However, current valuations may be somewhat overly optimistic as observed from the trading price-to-earnings ratio of 80, significantly above its five-year median of 55.

Another titan on this list is the Transformers and Rectifiers (India) Ltd., that has seen its share price rocket from ?5 on 15 July 2020 to ?510 today, a whopping 10,000% return. This means your investment of ?1 lakh would have been propelled to ?1 crore today. The company enjoys a dominant position in India’s transformer and reactor manufacturing landscape, with a diverse portfolio of products required across several industries. In recent times, it has also expanded its services to cater to renewable energy sectors.

The firm has greatly benefited from increasing infrastructure expenditure in India. This, in conjunction with the rising global demand for power and the swift proliferation of data centres, has led to an amplified need for power equipment like transformers. The company’s financials mirror this momentum, with revenue growing at a compounded annual growth rate of 28% during FY21-FY25, pushing it from ?727 crore to ?1,950 crore. As operational leverage kicked in, the Ebitda margin expanded from 10% to 16%, while the net profit margin soared by 860 basis points to 9.5% in 2024-25.

The growth story doesn’t seem to end there. As of 31 March 2025, the company has a hefty order book of ?5,132 crore, suggesting strong revenue visibility. Additionally, there are orders worth a staggering ?22,000 crore under negotiations. The company aims to hit a turnover of a $1 billion by 2027-28, indicating a sharp CAGR of 64% between 2024-25 and 2027-28.

Transformers and Rectifiers aims to keep margins consistent at the 16-17% level by leveraging operational efficiencies. The firm has also taken strong strategic steps towards self-sufficiency by acquiring a controlling stake in CRGO processing, which makes up 32%-35% of transformer manufacturing costs. This acquisition ensures complete backward integration, giving the company price, margin, and product quality advantages that are expected to boost competitiveness in order booking and profitability.

In order to meet the ascending demand, the company is also enhancing its manufacturing capacity. Expansion of 15,000 MVA capacity was initiated in Q1FY25, with half of the incremental volume expected to contribute by May 2025. The company also has plans to venture into the burgeoning HVDC (High Voltage Direct Current) segment. However, it should be noted that the price-to-earnings ratio currently stands at 72, which is in line with the past five-year median of 64.

Among the successful companies, SG Finserv is also commendable, which became part of the APL Apollo Group adhering to its acquisition in 2022. The company was initiated to satisfy the financial requirements of the dealers related to APL Apollo Tubes. In a short span of time, it broadened its horizons to offer financing solutions to a variety of businesses, including SMEs, MSMEs, as well as other corporate entities.

Since its inception, the assets under management (AUM) of the company have grown threefold from ?736 crore to ?2,326 crore. With the AUM on a steep upward trajectory, revenue also swelled from ?2 crore in FY22 to ?171 crore in FY25, with net profit rising from ?1 crore to ?81 crore in the same timeframe.

Not stopping at recent triumphs, SG Finserv is set to scale its AUM to ?6,000 crore by 2026-27. The grand venture is supported by partnerships with prominent corporations such as the Tata Group, Vedanta, Ashok Leyland, and the Adani Group. Despite boasting an astounding compound interest of 18,348%, the company’s price-to-book ratio trails behind its five-year median of 3X, standing at 2.6.

These incredible growth stories demonstrate that elements such as industry tailwinds, transformative business strategies, and disciplined financial management can lead to extraordinary returns. Whilst looking back at their performance paints a prosperous picture, the future will rely heavily on execution and margin sustainability, especially with current valuations that leave little room for missteps. From an investor’s perspective, the challenge remains to differentiate between transient momentum and sustainable long-term fundamentals.