IRFC, NBCC, SJVN, BHEL: PSU stocks are on fire; analysts see more headroom

The S&P BSE PSU index has gained over 90 per cent in the last one year, rising much higher than the S&P BSE Sensex that has surged nearly 19 per cent during this period, show ACE Equity data

Stocks of public sector undertakings (PSUs) have been on fire in the past year as investors cheered an improvement in key operating metrics and embraced counters of these state-owned enterprises, analysts suggest.

The S&P BSE PSU Index has gained over 90 per cent in the past year, rising much higher than the S&P BSE Sensex, which has rose nearly 19 per cent during this period, according to ACE Equity data.

The BSE PSU Index, reports show, has delivered a compound annual growth rate (CAGR) of 28 per cent (including dividends reinvestments) over five years and risen by almost 60 per