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4 Midcap High Margin Stocks to Watch for Future Multibagger Potential: Premier Energies, Ajanta Pharma, Hindustan Copper and Nuvama

  • October 26, 2026
  • Posted by: Manan Bisht
  • Category: Best Stocks
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4 Midcap High Margin Stocks to Watch for Future Multibagger Potential: Premier Energies, Ajanta Pharma, Hindustan Copper and Nuvama

Premier Energies Rs 853.30. Ajanta Pharma Rs 3,283.90. Hindustan Copper Rs 399.05. Nuvama Rs 1,661.90. Market caps from Rs 31,269 crore to Rs 41,481 crore. Data as of 23 Oct 2026.

Quick Answer

Premier Energies, Ajanta Pharma, Hindustan Copper and Nuvama are the 4 picks in this high margin stocks watchlist, with market caps between Rs 31,269 crore and Rs 41,481 crore. Premier Energies stands out for the highest return on equity at 35.05%, while Ajanta Pharma offers a nearly debt-free balance sheet, with a debt-to-equity ratio of 0.06. PE ratios run from 24.79 to 36.42, so compare each one with its industry PE before investing. All figures are as of 23 October 2026.

High margin stocks to watch for multibagger potential start with a simple filter: size, a clean financial record and earnings that keep growing. Premier Energies, Ajanta Pharma, Hindustan Copper and Nuvama meet that test, with market caps from Rs 31,269 crore to Rs 41,481 crore and Premier Energies offering the highest return on equity at 35.05%. Each of these companies has a market capitalisation between Rs 30,000 crore and Rs 1,00,000 crore and an operating margin of at least 25 per cent and a return on equity of at least 15 per cent, and net profit rose in FY26 and in the latest quarter.

This list covers companies with a market capitalisation between Rs 30,000 crore and Rs 1,00,000 crore and an operating margin of at least 25 per cent and a return on equity of at least 15 per cent, rising profit in FY26 and the latest quarter, and complete, verifiable financials, ranked by market capitalisation. Each company has a market cap between Rs 30,000 crore and Rs 1 lakh crore. Investors screening high margin stocks usually begin with size and balance sheet strength, and this list follows the same logic. All figures are as of 23 October 2026 and are drawn from NSE and BSE data and company filings.

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Table of Contents

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  • What Are High Margin Stocks and Why Do They Attract Multibagger Interest?
  • High Margin Stocks at a Glance: Price, Market Cap, PE, ROE and Price to Book
  • Premier Energies: Revenue Up 20.65% in FY26
  • Ajanta Pharma: Return on Equity of 23.33%
  • Hindustan Copper: 25.25% Profit CAGR Since FY22
  • Nuvama: Return on Equity of 25.26%
  • High Margin Stocks: Financial Comparison on Growth and Margins
  • Institutional Holding in Premier Energies, Ajanta Pharma, Hindustan Copper and Nuvama
  • Risks to Weigh in High Margin Stocks
  • How to Choose Between High Margin Stocks
  • Conclusion
  • Frequently Asked Questions on High Margin Stocks to Watch
    • Which are the best high margin stocks to watch for multibagger potential?
    • Is Premier Energies a good stock for long-term investors?
    • Can Hindustan Copper become a multibagger from here?
    • What is the market cap of Premier Energies, Ajanta Pharma, Hindustan Copper and Nuvama?
    • What are the risks of investing in high margin stocks?
    • Why is Hindustan Copper trading at a PE of 34.89?
    • How much do institutions hold in Premier Energies, Ajanta Pharma, Hindustan Copper and Nuvama?

What Are High Margin Stocks and Why Do They Attract Multibagger Interest?

High margin stocks are shares of mid sized companies that keep a large share of every rupee of sales as operating profit, a sign of pricing power. The four here cover solar cells, pharmaceuticals, copper and wealth management.

A high margin shows pricing power and tight cost control. For high margin stocks, both FY26 and the latest quarter showed growth. Investors researching high margin stocks get a fuller picture by reading growth and valuation together. The table below lines up high margin stocks on size, growth and valuation, using complete FY26 and latest quarter numbers. Past performance does not guarantee future returns, so use high margin stocks as a starting point for your own research.

High Margin Stocks at a Glance: Price, Market Cap, PE, ROE and Price to Book

Prices are closing prices as of 23 October 2026. Premier Energies combines the lowest PE of the group, 24.79, with the highest return on equity, 35.05%.

Stock CMP (Rs) Market Cap (Rs Cr) PE Industry PE ROE Price to Book 52-Week Range (Rs)
Premier Energies 853.30 41,481 24.79 53.49 35.05% 9.63 660.00 to 1,134.00
Ajanta Pharma 3,283.90 41,336 36.42 36.35 23.33% 9.13 2,380.20 to 3,796.00
Hindustan Copper 399.05 39,644 34.89 12.27 27.48% 11.86 308.50 to 760.05
Nuvama Wealth Management 1,661.90 31,269 28.90 33.31 25.26% 7.62 1,096.90 to 2,066.00

Premier Energies: Revenue Up 20.65% in FY26

Premier Energies makes solar cells and modules at manufacturing plants in Telangana. It reported FY26 revenue of Rs 8,025.91 crore, up 20.65% year on year, and net profit of Rs 1,509.69 crore, up 61.10%. Revenue has compounded at 79.85% a year since FY22. Operating margin was 33.02% in FY26.

In the June 2026 quarter, revenue rose 34.13% to Rs 2,507.63 crore and net profit grew 53.33% to Rs 471.92 crore. Domestic institutions raised their holding from 13.26% in September 2025 to 18.88% in September 2026. The stock trades at a PE of 24.79 against an industry PE of 53.49, below the sector average, with a return on equity of 35.05%.

Ajanta Pharma: Return on Equity of 23.33%

Ajanta Pharma sells branded generics in ophthalmology, dermatology, cardiology and pain management in India, Africa and Asia. It reported FY26 revenue of Rs 5,624.93 crore, up 18.60% year on year, and net profit of Rs 1,056 crore, up 14.73%. Net profit has compounded at 10.33% a year since FY22, while revenue has grown 12.94% a year. Operating margin was 28.74% in FY26. The debt-to-equity ratio is 0.06, which keeps interest costs low.

The stock trades at a PE of 36.42 against an industry PE of 36.35, with a return on equity of 23.33%. In the June 2026 quarter, revenue rose 27.68% to Rs 1,696.86 crore and net profit grew 30.89% to Rs 334.22 crore. The share price has gained 125.31% over five years and 35.42% over the past year. Domestic institutions raised their holding from 17.90% in September 2025 to 21.94% in September 2026.

Hindustan Copper: 25.25% Profit CAGR Since FY22

Hindustan Copper is a government-owned company that mines copper ore and produces refined copper in India. It reported FY26 revenue of Rs 3,149.67 crore, up 46.62% year on year, and net profit of Rs 920.66 crore, up 96.97%. Net profit has compounded at 25.25% a year since FY22, while revenue has grown 13.89% a year. Operating margin was 46.74% in FY26. The debt-to-equity ratio is 0.03, which keeps interest costs low.

In the June 2026 quarter, revenue rose 81.07% to Rs 953.60 crore and net profit grew 162.59% to Rs 352.61 crore. The share price has gained 205.23% over five years and 33.08% over the past year. Foreign investors raised their holding from 3.71% in June 2025 to 5.96% in June 2026. The stock trades at a PE of 34.89 against an industry PE of 12.27, with a return on equity of 27.48%.

Nuvama: Return on Equity of 25.26%

Nuvama Wealth Management offers wealth management, asset services and capital markets services to affluent clients and institutions. It reported FY26 revenue of Rs 4,649.65 crore, up 11.52% year on year, and net profit of Rs 1,040.26 crore, up 5.60%. Revenue has compounded at 27.07% a year since FY22. Operating margin was 53.05% in FY26.

The stock trades at a PE of 28.90 against an industry PE of 33.31, below the sector average, with a return on equity of 25.26%. The dividend yield is 1.62%. In the June 2026 quarter, revenue rose 22.88% to Rs 1,381.96 crore and net profit grew 15.83% to Rs 305.64 crore. The share price is up 19.71% over the past year. Domestic institutions raised their holding from 6.37% in June 2025 to 8.49% in June 2026.

High Margin Stocks: Financial Comparison on Growth and Margins

The table compares scale and growth across these high margin stocks. Latest quarter means the most recent reported quarter for each company, and only metrics that are positive for every company are shown.

Stock Revenue (Rs Cr) Net Profit (Rs Cr) Revenue Growth (YoY) 4-Year Revenue CAGR Latest Quarter Revenue Growth Operating Margin (Latest Quarter)
Premier Energies 8,025.91 1,509.69 20.65% 79.85% 34.13% 30.86%
Ajanta Pharma 5,624.93 1,056 18.60% 12.94% 27.68% 30.41%
Hindustan Copper 3,149.67 920.66 46.62% 13.89% 81.07% 56.02%
Nuvama 4,649.65 1,040.26 11.52% 27.07% 22.88% 53.22%

Check the Univest Screener for live data on these high margin stocks

Institutional Holding in Premier Energies, Ajanta Pharma, Hindustan Copper and Nuvama

Institutional holding shows who is backing these high margin stocks alongside the promoter. The table uses the latest reported quarter for each. Ajanta Pharma has the deepest institutional backing, with FII and DII together holding 29.57% as of September 2026. Domestic institutions increased their holding over the past year in Premier Energies (from 13.26% to 18.88%), Ajanta Pharma (from 17.90% to 21.94%) and Nuvama (from 6.37% to 8.49%).

Stock Promoter FII DII Public Quarter
Premier Energies 58.49% 7.12% 18.88% 15.51% September 2026
Ajanta Pharma 63.47% 7.63% 21.94% 6.96% September 2026
Hindustan Copper 66.14% 5.96% 4.84% 23.06% June 2026
Nuvama 53.98% 19.00% 8.49% 18.53% June 2026

Risks to Weigh in High Margin Stocks

Being careful with high margin stocks means looking at what can slow the story as well as what can speed it up. Four points matter most:

  • Past growth may not repeat.
  • Share prices can move sharply in either direction.
  • Valuation: Hindustan Copper trades at a PE of 34.89 against an industry PE of 12.27, so earnings need to keep growing to support the price.
  • Concentration: Holding all 4 names puts the allocation in one sector, so size each position to match your risk appetite.

How to Choose Between High Margin Stocks

Picking from high margin stocks comes down to four checks, applied in order.

  1. Check balance sheet strength first, and prefer a debt-to-equity ratio below 1 for non-financial companies.
  2. Compare each PE with the industry PE (12.27 to 53.49) and ask whether the growth rate justifies any gap.
  3. Track net profit growth, the operating margin and the return on equity in every quarterly result.
  4. Stagger entries across quarters and review institutional holding every reporting season.

Download the Univest iOS App or Univest Android App to track Premier Energies, Ajanta Pharma, Hindustan Copper and Nuvama live prices.

Conclusion

Among high margin stocks, Premier Energies stands out for the highest return on equity at 35.05%, Ajanta Pharma for a nearly debt-free balance sheet, with a debt-to-equity ratio of 0.06, Hindustan Copper for the fastest profit growth, 25.25% a year since FY22 and Nuvama for 11.52% revenue growth in FY26. Which one suits a portfolio depends on how much valuation risk it can carry, so staggering entries and reviewing each quarterly result is a sound habit. Investors comparing high margin stocks should rank them on growth, financial strength and the price paid, and anyone who wants personalised guidance can consult a SEBI-registered advisor before acting.

Disclaimer: Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).

Frequently Asked Questions on High Margin Stocks to Watch

Which are the best high margin stocks to watch for multibagger potential?

Ans. Premier Energies, Ajanta Pharma, Hindustan Copper and Nuvama are the 4 names this list highlights, with market caps of Rs 41,481 crore, Rs 41,336 crore, Rs 39,644 crore and Rs 31,269 crore respectively. Premier Energies is notable for the highest return on equity at 35.05%. Ajanta Pharma stands out for a nearly debt-free balance sheet, with a debt-to-equity ratio of 0.06. Hindustan Copper offers the fastest profit growth, 25.25% a year since FY22. Nuvama brings 11.52% revenue growth in FY26. These are watchlist names for high margin stocks, not recommendations, so match each one to your own risk profile and time horizon.

Is Premier Energies a good stock for long-term investors?

Ans. Premier Energies has a return on equity of 35.05%, a PE of 24.79 against an industry PE of 53.49 and a market cap of Rs 41,481 crore. FY26 revenue rose 20.65%, and June 2026 quarter net profit grew 53.33%. Long-term returns in high margin stocks depend on earnings growth and the price paid at entry, so staggering purchases and consulting a SEBI-registered advisor is sensible.

Can Hindustan Copper become a multibagger from here?

Ans. Hindustan Copper has already gained 205.23% in five years, so another multi-fold move would need sustained earnings growth. A multibagger outcome in high margin stocks requires earnings to keep growing faster than the market for several years. Net profit has compounded at 25.25% a year since FY22, and FY26 revenue rose 46.62%. At a PE of 34.89 against an industry PE of 12.27, valuation should be checked against that growth before investing.

What is the market cap of Premier Energies, Ajanta Pharma, Hindustan Copper and Nuvama?

Ans. As of 23 October 2026, Premier Energies has a market cap of Rs 41,481 crore, Ajanta Pharma has a market cap of Rs 41,336 crore, Hindustan Copper has a market cap of Rs 39,644 crore and Nuvama has a market cap of Rs 31,269 crore. All of them qualify as midcaps. Market cap changes daily with the share price, so check the latest figure on the Univest Screener or on NSE before taking a decision on high margin stocks.

What are the risks of investing in high margin stocks?

Ans. The main risks are market swings, slower growth than expected and valuations that already reflect good news. Companies with strong balance sheets and steady earnings handle these better. Hindustan Copper trades at a PE of 34.89 against an industry PE of 12.27, so earnings growth needs to hold up.

Why is Hindustan Copper trading at a PE of 34.89?

Ans. Hindustan Copper’s PE of 34.89 compares with an industry PE of 12.27. The market is paying a premium for a return on equity of 27.48%, profit growth of 25.25% a year since FY22 and latest-quarter profit growth of 162.59%, which also means the stock is more sensitive if growth slows. Investors in high margin stocks who are comfortable with higher valuation risk may prefer to stagger purchases instead of investing in one go.

How much do institutions hold in Premier Energies, Ajanta Pharma, Hindustan Copper and Nuvama?

Ans. As of the latest reported quarter, FII and DII together hold 26.00% of Premier Energies (7.12% and 18.88%), 29.57% of Ajanta Pharma (7.63% and 21.94%), 10.80% of Hindustan Copper (5.96% and 4.84%) and 27.49% of Nuvama (19.00% and 8.49%). Rising institutional holding is a useful signal in high margin stocks, though it should be read with earnings trends rather than on its own.



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Author: Manan Bisht
Manan Bisht is a Financial Content Writer at Univest, covering Indian equity markets with a focus on investor education, stock analysis, and personal finance. With over a year of hands-on experience in financial content creation, he translates complex market concepts into clear, beginner-friendly articles for retail investors. He holds a Bachelor of Commerce (B.Com) from Delhi University, giving him a strong academic grounding in financial accounting, economics, business law, and capital markets. This foundation shapes how he approaches every article — grounding analysis in verified financial fundamentals rather than speculation. He is also a SEBI Investor Certification holder, reinforcing his understanding of securities markets, investor rights, and SEBI regulatory frameworks — directly relevant to the YMYL (Your Money, Your Life) content he publishes. All articles are reviewed by Univest's in-house equity research team, led by Ankit Jaiswal, Senior Research Analyst, to meet SEBI editorial standards.

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