{"id":315596,"date":"2026-10-19T10:17:52","date_gmt":"2026-10-19T04:47:52","guid":{"rendered":"https:\/\/univest.in\/blogs-2\/?p=315596"},"modified":"2026-10-19T10:17:52","modified_gmt":"2026-10-19T04:47:52","slug":"high-operating-margin-stocks-to-watch-multibagger-potential","status":"publish","type":"post","link":"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/","title":{"rendered":"3 Top High Operating Margin Stocks to Watch for Future Multibagger Potential: Adani Ports, Power Grid and REC"},"content":{"rendered":"<p style=\"border-left:4px solid #1F4E79;background:#EBF3FB;padding:10px 16px;font-style:italic;\"><em>Adani Ports Rs 1,750.80. Power Grid Rs 250.45. REC Rs 307.80. Market caps from Rs 81,459 crore to Rs 4.03 lakh crore. Data as of 16 Oct 2026.<\/em><\/p>\n<div style=\"background:#F0F9FF;border-left:4px solid #2E7D32;border-radius:6px;padding:14px 18px;margin:18px 0;\">\n<p style=\"margin:0;color:#1F4E79;font-size:14px;\"><strong>Quick Answer<\/strong><\/p>\n<p style=\"margin:8px 0 0;\">Adani Ports, Power Grid and REC are the 3 picks in this high operating margin stocks watchlist, with market caps between Rs 81,459 crore and Rs 4.03 lakh crore. Adani Ports stands out for the fastest profit growth, 26.74% a year since FY22, while Power Grid offers 0.47% revenue growth in FY26. PE ratios run from 5.08 to 30.69, so compare each one with its industry PE before investing. All figures are as of 16 October 2026.<\/p>\n<\/p><\/div>\n<p>High operating margin stocks to watch for multibagger potential start with a simple filter: size, a clean financial record and earnings that keep growing. Adani Ports, Power Grid and REC meet that test, with market caps from Rs 81,459 crore to Rs 4.03 lakh crore and Adani Ports offering the fastest profit growth, 26.74% a year since FY22. Each of these companies keeps more than 60 per cent of its revenue as operating profit, a sign of a strong business model.<\/p>\n<p>This list covers large companies with an operating margin above 60 per cent in the latest year and complete, verifiable financials, ranked by market capitalisation. Not every name here is a largecap, so the list takes the leading companies of the sector by market capitalisation. Investors screening high operating margin stocks usually begin with size and balance sheet strength, and this list follows the same logic. All figures are as of 16 October 2026 and are drawn from NSE and BSE data and company filings.<\/p>\n<p style=\"margin-top:24px;\"><a href=\"https:\/\/univest.in\/user\/log-in?utm_source=blogs&#038;utm_medium=high-operating-margin-stocks\"><strong>Click Here &#8211; Get Free Investment Predictions<\/strong><\/a><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#What_Are_High_Operating_Margin_Stocks_and_Why_Do_They_Attract_Multibagger_Interest\" title=\"What Are High Operating Margin Stocks and Why Do They Attract Multibagger Interest?\">What Are High Operating Margin Stocks and Why Do They Attract Multibagger Interest?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#High_Operating_Margin_Stocks_at_a_Glance_Price_Market_Cap_PE_ROE_and_Price_to_Book\" title=\"High Operating Margin Stocks at a Glance: Price, Market Cap, PE, ROE and Price to Book\">High Operating Margin Stocks at a Glance: Price, Market Cap, PE, ROE and Price to Book<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#Adani_Ports_2674_Profit_CAGR_Since_FY22\" title=\"Adani Ports: 26.74% Profit CAGR Since FY22\">Adani Ports: 26.74% Profit CAGR Since FY22<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#Power_Grid_Profit_Compounding_at_189_a_Year\" title=\"Power Grid: Profit Compounding at 1.89% a Year\">Power Grid: Profit Compounding at 1.89% a Year<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#REC_Five-Year_Gain_of_14858\" title=\"REC: Five-Year Gain of 148.58%\">REC: Five-Year Gain of 148.58%<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#High_Operating_Margin_Stocks_Financial_Comparison_on_Growth_and_Margins\" title=\"High Operating Margin Stocks: Financial Comparison on Growth and Margins\">High Operating Margin Stocks: Financial Comparison on Growth and Margins<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#Institutional_Holding_in_Adani_Ports_Power_Grid_and_REC\" title=\"Institutional Holding in Adani Ports, Power Grid and REC\">Institutional Holding in Adani Ports, Power Grid and REC<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#Risks_to_Weigh_in_High_Operating_Margin_Stocks\" title=\"Risks to Weigh in High Operating Margin Stocks\">Risks to Weigh in High Operating Margin Stocks<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#How_to_Choose_Between_High_Operating_Margin_Stocks\" title=\"How to Choose Between High Operating Margin Stocks\">How to Choose Between High Operating Margin Stocks<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#Conclusion\" title=\"Conclusion\">Conclusion<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#Frequently_Asked_Questions_on_High_Operating_Margin_Stocks_to_Watch\" title=\"Frequently Asked Questions on High Operating Margin Stocks to Watch\">Frequently Asked Questions on High Operating Margin Stocks to Watch<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#Which_are_the_best_high_operating_margin_stocks_to_watch_for_multibagger_potential\" title=\"Which are the best high operating margin stocks to watch for multibagger potential?\">Which are the best high operating margin stocks to watch for multibagger potential?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#Is_REC_a_good_stock_for_long-term_investors\" title=\"Is REC a good stock for long-term investors?\">Is REC a good stock for long-term investors?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#Can_Adani_Ports_become_a_multibagger_from_here\" title=\"Can Adani Ports become a multibagger from here?\">Can Adani Ports become a multibagger from here?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#What_is_the_market_cap_of_Adani_Ports_Power_Grid_and_REC\" title=\"What is the market cap of Adani Ports, Power Grid and REC?\">What is the market cap of Adani Ports, Power Grid and REC?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#What_are_the_risks_of_investing_in_high_operating_margin_stocks\" title=\"What are the risks of investing in high operating margin stocks?\">What are the risks of investing in high operating margin stocks?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#Is_REC_trading_below_its_industry_PE\" title=\"Is REC trading below its industry PE?\">Is REC trading below its industry PE?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/univest.in\/blogs-2\/high-operating-margin-stocks-to-watch-multibagger-potential\/#How_much_do_institutions_hold_in_Adani_Ports_Power_Grid_and_REC\" title=\"How much do institutions hold in Adani Ports, Power Grid and REC?\">How much do institutions hold in Adani Ports, Power Grid and REC?<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"What_Are_High_Operating_Margin_Stocks_and_Why_Do_They_Attract_Multibagger_Interest\"><\/span><strong>What Are High Operating Margin Stocks and Why Do They Attract Multibagger Interest?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>High operating margin stocks are shares of companies that keep a large part of every rupee of sales as operating profit. High margins usually come from regulated returns, scale or a strong position in a necessary service.<\/p>\n<p>A high margin leaves room to pay dividends, fund growth and handle cost pressure. Businesses that hold such margins year after year are the ones investors compare in high operating margin stocks.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"High_Operating_Margin_Stocks_at_a_Glance_Price_Market_Cap_PE_ROE_and_Price_to_Book\"><\/span><strong>High Operating Margin Stocks at a Glance: Price, Market Cap, PE, ROE and Price to Book<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Prices are closing prices as of 16 October 2026. REC combines the lowest PE of the group, 5.08, with the highest return on equity, 19.17%.<\/p>\n<table style=\"border-collapse:collapse;width:100%;margin:16px 0;\">\n<thead>\n<tr>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">Stock<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">CMP (Rs)<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">Market Cap (Rs Cr)<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">PE<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">Industry PE<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">ROE<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">Price to Book<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">52-Week Range (Rs)<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\"><a href=\"https:\/\/univest.in\/stocks\/adaniports\/adani-ports-and-special-economic-zone-ltd-share-price-today\">Adani Ports and Special Economic Zone<\/a><\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">1,750.80<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">4,02,686<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">30.69<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">31.83<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">13.32%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">4.20<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">1,292.00 to 1,891.10<\/td>\n<\/tr>\n<tr>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\"><a href=\"https:\/\/univest.in\/stocks\/powergrid\/power-grid-corporation-of-india-ltd-share-price-today\">Power Grid Corporation of India<\/a><\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">250.45<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">2,32,283<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">14.61<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">21.61<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">15.85%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">2.31<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">244.65 to 324.95<\/td>\n<\/tr>\n<tr>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\"><a href=\"https:\/\/univest.in\/stocks\/recltd\/rec-ltd-share-price-today\">REC<\/a><\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">307.80<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">81,459<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">5.08<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">17.68<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">19.17%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">0.96<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">286.20 to 388.30<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h2><span class=\"ez-toc-section\" id=\"Adani_Ports_2674_Profit_CAGR_Since_FY22\"><\/span><strong>Adani Ports: 26.74% Profit CAGR Since FY22<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Adani Ports and Special Economic Zone is India&#8217;s largest private port operator, with ports on both coasts and a growing logistics business. It reported FY26 revenue of Rs 40,854.36 crore, up 26.16% year on year, and net profit of Rs 12,782.03 crore, up 15.56%. Net profit has compounded at 26.74% a year since FY22, while revenue has grown 20.55% a year. Operating margin was 64.59% in FY26.<\/p>\n<p>In the June 2026 quarter, revenue rose 23.90% to Rs 11,673.71 crore and net profit grew 10.24% to Rs 3,649.50 crore. The share price has gained 115.30% over five years and 17.95% over the past year. Foreign investors raised their holding from 13.61% in September 2025 to 15.95% in September 2026. The stock trades at a PE of 30.69 against an industry PE of 31.83, below the sector average, with a return on equity of 13.32%.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Power_Grid_Profit_Compounding_at_189_a_Year\"><\/span><strong>Power Grid: Profit Compounding at 1.89% a Year<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Power Grid Corporation of India owns and operates the country&#8217;s main electricity transmission network. It reported FY26 revenue of Rs 47,684.43 crore, up 0.47% year on year, and net profit of Rs 18,702.34 crore, up 22.68%. Operating margin was 73.84% in FY26.<\/p>\n<p>The stock trades at a PE of 14.61 against an industry PE of 21.61, below the sector average, with a return on equity of 15.85%. The dividend yield is 3.60%. Revenue for the June 2026 quarter rose 2.20% to Rs 11,696.72 crore, at an operating margin of 83.79%. The share price has gained 64.38% over five years. Domestic institutions raised their holding from 18.55% in June 2025 to 20.70% in June 2026.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"REC_Five-Year_Gain_of_14858\"><\/span><strong>REC: Five-Year Gain of 148.58%<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>REC is a government-owned non-banking finance company that lends to power, renewable energy and infrastructure projects across the country. It reported FY26 revenue of Rs 59,628.35 crore, up 5.66% year on year, and net profit of Rs 16,308.17 crore, up 2.67%. Net profit has compounded at 12.91% a year since FY22, while revenue has grown 10.96% a year. Operating margin was 95.64% in FY26.<\/p>\n<p>The share price has gained 148.58% over five years. Domestic institutions raised their holding from 15.86% in September 2025 to 16.55% in September 2026. The stock trades at a PE of 5.08 against an industry PE of 17.68, below the sector average, with a return on equity of 19.17%. The dividend yield is 6.00%.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"High_Operating_Margin_Stocks_Financial_Comparison_on_Growth_and_Margins\"><\/span><strong>High Operating Margin Stocks: Financial Comparison on Growth and Margins<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The table compares scale and growth across these high operating margin stocks. Latest quarter means the most recent reported quarter for each company, and only metrics that are positive for every company are shown.<\/p>\n<table style=\"border-collapse:collapse;width:100%;margin:16px 0;\">\n<thead>\n<tr>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">Stock<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">Revenue (Rs Cr)<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">Net Profit (Rs Cr)<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">Revenue Growth (YoY)<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">4-Year Revenue CAGR<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">4-Year Net Profit CAGR<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">Operating Margin (Latest Quarter)<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">Adani Ports<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">40,854.36<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">12,782.03<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">26.16%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">20.55%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">26.74%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">65.67%<\/td>\n<\/tr>\n<tr>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">Power Grid<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">47,684.43<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">18,702.34<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">0.47%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">2.80%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">1.89%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">83.79%<\/td>\n<\/tr>\n<tr>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">REC<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">59,628.35<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">16,308.17<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">5.66%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">10.96%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">12.91%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">97.14%<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p style=\"margin-top:24px;\"><a href=\"https:\/\/univest.in\/screeners\"><strong>Check the Univest Screener for live data on these high operating margin stocks<\/strong><\/a><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Institutional_Holding_in_Adani_Ports_Power_Grid_and_REC\"><\/span><strong>Institutional Holding in Adani Ports, Power Grid and REC<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Institutional holding shows who is backing these high operating margin stocks alongside the promoter. The table uses the latest reported quarter for each. Power Grid has the deepest institutional backing, with FII and DII together holding 45.03% as of June 2026. Domestic institutions increased their holding over the past year in Power Grid (from 18.55% to 20.70%) and REC (from 15.86% to 16.55%).<\/p>\n<table style=\"border-collapse:collapse;width:100%;margin:16px 0;\">\n<thead>\n<tr>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">Stock<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">Promoter<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">FII<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">DII<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">Public<\/th>\n<th style=\"border:1px solid #BBBBBB;background:#1F4E79;color:#FFFFFF;padding:8px;text-align:left;\">Quarter<\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">Adani Ports<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">66.03%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">15.95%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">13.25%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">4.77%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">September 2026<\/td>\n<\/tr>\n<tr>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">Power Grid<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">51.34%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">24.33%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">20.70%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">3.63%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">June 2026<\/td>\n<\/tr>\n<tr>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">REC<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">52.63%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">16.78%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">16.55%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">14.03%<\/td>\n<td style=\"border:1px solid #BBBBBB;padding:8px;\">September 2026<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h2><span class=\"ez-toc-section\" id=\"Risks_to_Weigh_in_High_Operating_Margin_Stocks\"><\/span><strong>Risks to Weigh in High Operating Margin Stocks<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Being careful with high operating margin stocks means looking at what can slow the story as well as what can speed it up. Four points matter most:<\/p>\n<ul>\n<li>High margins can come under pressure from rule changes or competition.<\/li>\n<li>Capital-heavy businesses depend on steady project execution.<\/li>\n<li><strong>Valuation:<\/strong> A low PE can also reflect slower growth, so compare each PE with the growth rate instead of reading it alone.<\/li>\n<li><strong>Concentration:<\/strong> Holding all 3 names puts the allocation in one sector, so size each position to match your risk appetite.<\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"How_to_Choose_Between_High_Operating_Margin_Stocks\"><\/span><strong>How to Choose Between High Operating Margin Stocks<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Picking from high operating margin stocks comes down to four checks, applied in order.<\/p>\n<ol>\n<li>Check balance sheet strength first, and prefer a debt-to-equity ratio below 1 for non-financial companies.<\/li>\n<li>Compare each PE with the industry PE (17.68 to 31.83) and ask whether the growth rate justifies any gap.<\/li>\n<li>Track the operating margin, revenue growth and the return on equity in every result.<\/li>\n<li>Stagger entries across quarters and review institutional holding every reporting season.<\/li>\n<\/ol>\n<p style=\"margin-top:24px;\"><em>Download the <a href=\"http:\/\/apps.apple.com\/in\/app\/univest-stocks-investment\/id6443753518\" rel=\"nofollow noopener\" target=\"_blank\">Univest iOS App<\/a> or <a href=\"http:\/\/play.google.com\/store\/apps\/details?id=com.univest.capp&#038;hl=en_IN\" rel=\"nofollow noopener\" target=\"_blank\">Univest Android App<\/a> to track Adani Ports, Power Grid and REC live prices.<\/em><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span><strong>Conclusion<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Among high operating margin stocks, Adani Ports stands out for the fastest profit growth, 26.74% a year since FY22, Power Grid for 0.47% revenue growth in FY26 and REC for the highest return on equity at 19.17%. 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 operating 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.<\/p>\n<div style=\"background:#CC0000;border-radius:8px;padding:16px 20px;margin:24px 0;\">\n<p style=\"color:#FFFFFF;font-size:13px;line-height:1.7;margin:0;\"><strong style=\"color:#FFFFFF;\">Disclaimer:<\/strong> 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).<\/p>\n<\/p><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Frequently_Asked_Questions_on_High_Operating_Margin_Stocks_to_Watch\"><\/span><strong>Frequently Asked Questions on High Operating Margin Stocks to Watch<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><span class=\"ez-toc-section\" id=\"Which_are_the_best_high_operating_margin_stocks_to_watch_for_multibagger_potential\"><\/span><strong>Which are the best high operating margin stocks to watch for multibagger potential?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> Adani Ports, Power Grid and REC are the 3 names this list highlights, with market caps of Rs 4,02,686 crore, Rs 2,32,283 crore and Rs 81,459 crore respectively. Adani Ports is notable for the fastest profit growth, 26.74% a year since FY22. Power Grid stands out for 0.47% revenue growth in FY26. REC offers the highest return on equity at 19.17%. These are watchlist names for high operating margin stocks, not recommendations, so match each one to your own risk profile and time horizon.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Is_REC_a_good_stock_for_long-term_investors\"><\/span><strong>Is REC a good stock for long-term investors?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> REC has a return on equity of 19.17%, a PE of 5.08 against an industry PE of 17.68 and a market cap of Rs 81,459 crore. Net profit has compounded at 12.91% a year since FY22, and FY26 revenue rose 5.66%. Long-term returns in high operating margin stocks depend on earnings growth and the price paid at entry, so staggering purchases and consulting a SEBI-registered advisor is sensible.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Can_Adani_Ports_become_a_multibagger_from_here\"><\/span><strong>Can Adani Ports become a multibagger from here?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> Adani Ports has already gained 115.30% in five years, so another multi-fold move would need sustained earnings growth. A multibagger outcome in high operating margin stocks requires earnings to keep growing faster than the market for several years. Net profit has compounded at 26.74% a year since FY22, and FY26 revenue rose 26.16%. At a PE of 30.69 against an industry PE of 31.83, valuation should be checked against that growth before investing.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"What_is_the_market_cap_of_Adani_Ports_Power_Grid_and_REC\"><\/span><strong>What is the market cap of Adani Ports, Power Grid and REC?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> As of 16 October 2026, Adani Ports has a market cap of Rs 4,02,686 crore, Power Grid has a market cap of Rs 2,32,283 crore and REC has a market cap of Rs 81,459 crore. Adani Ports is the largest of the group. 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 operating margin stocks.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"What_are_the_risks_of_investing_in_high_operating_margin_stocks\"><\/span><strong>What are the risks of investing in high operating margin stocks?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> The main risks are changes in regulation or tariffs, rising competition and delays in new projects. Companies with long-term contracts and leading market positions handle these better. Comparing each PE with growth gives a fuller picture than the PE alone.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Is_REC_trading_below_its_industry_PE\"><\/span><strong>Is REC trading below its industry PE?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> REC trades at a PE of 5.08 against an industry PE of 17.68. A lower PE means investors pay less for each rupee of earnings, but it should be read with growth (net profit has compounded at 12.91% a year since FY22 and FY26 revenue rose 5.66%) and balance sheet strength before drawing a conclusion.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"How_much_do_institutions_hold_in_Adani_Ports_Power_Grid_and_REC\"><\/span><strong>How much do institutions hold in Adani Ports, Power Grid and REC?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> As of the latest reported quarter, FII and DII together hold 29.20% of Adani Ports (15.95% and 13.25%), 45.03% of Power Grid (24.33% and 20.70%) and 33.33% of REC (16.78% and 16.55%). Rising institutional holding is a useful signal in high operating margin stocks, though it should be read with earnings trends rather than on its own.<\/p>\n<p><script type=\"application\/ld+json\">{\"@context\":\"https:\/\/schema.org\",\"@type\":\"FAQPage\",\"mainEntity\":[{\"@type\":\"Question\",\"name\":\"Which are the best high operating margin stocks to watch for multibagger potential?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"Adani Ports, Power Grid and REC are the 3 names this list highlights, with market caps of Rs 4,02,686 crore, Rs 2,32,283 crore and Rs 81,459 crore respectively. Adani Ports is notable for the fastest profit growth, 26.74% a year since FY22. Power Grid stands out for 0.47% revenue growth in FY26. REC offers the highest return on equity at 19.17%. These are watchlist names for high operating margin stocks, not recommendations, so match each one to your own risk profile and time horizon.\"}},{\"@type\":\"Question\",\"name\":\"Is REC a good stock for long-term investors?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"REC has a return on equity of 19.17%, a PE of 5.08 against an industry PE of 17.68 and a market cap of Rs 81,459 crore. Net profit has compounded at 12.91% a year since FY22, and FY26 revenue rose 5.66%. Long-term returns in high operating margin stocks depend on earnings growth and the price paid at entry, so staggering purchases and consulting a SEBI-registered advisor is sensible.\"}},{\"@type\":\"Question\",\"name\":\"Can Adani Ports become a multibagger from here?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"Adani Ports has already gained 115.30% in five years, so another multi-fold move would need sustained earnings growth. A multibagger outcome in high operating margin stocks requires earnings to keep growing faster than the market for several years. Net profit has compounded at 26.74% a year since FY22, and FY26 revenue rose 26.16%. At a PE of 30.69 against an industry PE of 31.83, valuation should be checked against that growth before investing.\"}},{\"@type\":\"Question\",\"name\":\"What is the market cap of Adani Ports, Power Grid and REC?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"As of 16 October 2026, Adani Ports has a market cap of Rs 4,02,686 crore, Power Grid has a market cap of Rs 2,32,283 crore and REC has a market cap of Rs 81,459 crore. Adani Ports is the largest of the group. 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 operating margin stocks.\"}},{\"@type\":\"Question\",\"name\":\"What are the risks of investing in high operating margin stocks?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"The main risks are changes in regulation or tariffs, rising competition and delays in new projects. Companies with long-term contracts and leading market positions handle these better. Comparing each PE with growth gives a fuller picture than the PE alone.\"}},{\"@type\":\"Question\",\"name\":\"Is REC trading below its industry PE?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"REC trades at a PE of 5.08 against an industry PE of 17.68. A lower PE means investors pay less for each rupee of earnings, but it should be read with growth (net profit has compounded at 12.91% a year since FY22 and FY26 revenue rose 5.66%) and balance sheet strength before drawing a conclusion.\"}},{\"@type\":\"Question\",\"name\":\"How much do institutions hold in Adani Ports, Power Grid and REC?\",\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"As of the latest reported quarter, FII and DII together hold 29.20% of Adani Ports (15.95% and 13.25%), 45.03% of Power Grid (24.33% and 20.70%) and 33.33% of REC (16.78% and 16.55%). Rising institutional holding is a useful signal in high operating margin stocks, though it should be read with earnings trends rather than on its own.\"}}]}<\/script><\/p>\n","protected":false},"excerpt":{"rendered":"<p>3 top high operating margin stocks compared on market cap, PE, ROE, growth and institutional holding: Adani Ports, Power Grid and REC.<\/p>\n","protected":false},"author":33,"featured_media":315595,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[845],"tags":[13131,13130],"class_list":["post-315596","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-best-stocks","tag-high-operating-margin-sector","tag-high-operating-margin-stocks"],"metadata":{"rank_math_internal_links_processed":["1"],"_thumbnail_id":["315595"],"rank_math_title":["High Operating Margin Stocks 2026: Adani Ports, Power Grid, REC"],"rank_math_description":["High operating margin stocks to watch for multibagger potential: Adani Ports, Power Grid and REC. Compare market cap, PE, ROE, growth and institutional holding."],"rank_math_focus_keyword":["high operating margin stocks"],"rank_math_robots":["a:2:{i:0;s:7:\"noindex\";i:1;s:8:\"nofollow\";}"]},"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"https:\/\/univest.in\/blogs-2\/wp-content\/uploads\/2026\/10\/3-top-high-operating-margin-stocks-to-watch-for-future-multibagger-potential.webp","_links":{"self":[{"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/posts\/315596","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/users\/33"}],"replies":[{"embeddable":true,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/comments?post=315596"}],"version-history":[{"count":1,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/posts\/315596\/revisions"}],"predecessor-version":[{"id":315597,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/posts\/315596\/revisions\/315597"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/media\/315595"}],"wp:attachment":[{"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/media?parent=315596"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/categories?post=315596"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/univest.in\/blogs-2\/wp-json\/wp\/v2\/tags?post=315596"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}