Stocks That Outperformed During Recession and Market Crash

09 November 2022
3 min read
Stocks That Outperformed During Recession and Market Crash
whatsapp
facebook
twitter
linkedin
telegram
copyToClipboard

The economy is not immune to the recession. It frequently adheres to the economic cycle, an irregular but largely predictable pattern. Years can often pass between expansion phases and their peak.

A period of contraction, or a recession, follows before the economy experiences a trough before the following expansion. Investors may suffer greatly during recessionary times. During the contraction phase, stock market reversals and bear markets are typical.

Some stock market segments, however, are comparatively resistant to the ups and downs of the business cycle. As a result, they provide investors with largely recession-proof stocks, which they can hold during economic turbulence. So if you're concerned that the economy is about to enter a difficult period, take a closer look at which stocks have stood their ground during previous recessions.

This blog has compiled a list of the top 5 stocks that have historically survived the recession and economic crashes.

Stocks That Have Performed During Recession: An Overview

S. No.

Name of the Company

Type of Industry

1.

Reliance Industries

Multinational Conglomerate

2.

State Bank of India

Banking

3.

Infosys

Information Technology

4.

Larsen & Toubro

Technology, Engineering, Construction and Manufacturing

5.

Bajaj FinServ

Non-Banking Financial Company

1) Reliance Industries

Indian business Reliance Industries Limited operates in several industries, including energy, textiles, petrochemicals, telecommunications, retail, and more. With its headquarters in Mumbai, Reliance Industries Limited is a multinational conglomerate company in India. Energy, petrochemicals, natural gas, retail, telecommunications, mass media, and textiles are just a few of the many industries it is involved in.

One of India's most profitable businesses, Reliance is also the country's most significant publicly traded business in terms of market capitalization and revenue. With a total of 80,000,00 employees worldwide, it is also one of the largest employers in India.

 2) State Bank of India

State Bank of India (SBI) is a statutory organization for financial services and a multinational public sector bank with its headquarters in Mumbai, Maharashtra. SBI, the only Indian bank on the Fortune Global 500 list of the largest corporations in the world in 2020, is the 49th-largest bank in the world by total assets and is ranked 221st overall.

It is a public sector and the biggest bank in India, with a 25% share of the total loan and deposit market and a 23% market share for assets. With nearly 250,000 workers, it ranks as India's fifth-largest employer.

3) Infosys

Infosys Limited, a multinational information technology company based in India, offers business consulting, information technology, and outsourcing services. Bangalore serves as the company's headquarters; it was established in Pune.

According to 2020 revenue estimates, Infosys is the second-largest Indian IT company after Tata Consultancy Services. Moreover, it is ranked as the 602nd largest public company worldwide by Forbes Global 2000. In addition, on August 24, 2021, Infosys became the fourth Indian company with a market capitalization of $100 billion.

4) Larsen & Toubro

With operations in engineering, manufacturing, construction, information technology, financial services, and technology, Larsen & Toubro Ltd., also known as L&T, is an Indian multinational conglomerate with headquarters in Mumbai.

The business is ranked among the top five construction firms worldwide. Henning Holck-Larsen and Sren Kristian Toubro, two Danish engineers seeking safety in India, founded it.

5) Bajaj FinServ

A non-banking financial services provider with its main office in Pune is called Bajaj Finserv Limited. It is concentrated on insurance, wealth management, asset management, and lending.

The RBI has registered Bajaj Finance Limited as a non-banking financial company that accepts deposits. The company has a sizable presence in urban and rural India and a diverse lending portfolio that includes lending to retail, SMEs, and commercial customers.

You may also want to know the History of Stock Market Crashes In India - Known And Unknown.

Conclusion

There were a lot of stocks that performed well during the market crash. A few of them are mentioned above based on their performance history. Remember, it is necessary to trade and invest carefully while investing during recession and market crashes. Depending on your risk appetite, market situation and your financial objectives, invest carefully.

To read the RA disclaimer, please click here
Research Analyst - Bavadharini KS

Disclaimer

The stocks mentioned in this article are not recommendations. Please conduct your own research and due diligence before investing. Investment in securities market are subject to market risks, read all the related documents carefully before investing. Please read the Risk Disclosure documents carefully before investing in Equity Shares, Derivatives, Mutual fund, and/or other instruments traded on the Stock Exchanges. As investments are subject to market risks and price fluctuation risk, there is no assurance or guarantee that the investment objectives shall be achieved. Groww Invest Tech Pvt. Ltd. (Formerly known as Nextbillion Technology Pvt. Ltd) Ltd. do not guarantee any assured returns on any investments. Past performance of securities/instruments is not indicative of their future performance.
Do you like this edition?
LEAVE A FEEDBACK
ⓒ 2016-2024 Groww. All rights reserved, Built with in India
MOST POPULAR ON GROWWVERSION - 4.8.7
STOCK MARKET INDICES:  S&P BSE SENSEX |  S&P BSE 100 |  NIFTY 100 |  NIFTY 50 |  NIFTY MIDCAP 100 |  NIFTY BANK |  NIFTY NEXT 50
MUTUAL FUNDS COMPANIES:  GROWWMF |  SBI |  AXIS |  HDFC |  UTI |  NIPPON INDIA |  ICICI PRUDENTIAL |  TATA |  KOTAK |  DSP |  CANARA ROBECO |  SUNDARAM |  MIRAE ASSET |  IDFC |  FRANKLIN TEMPLETON |  PPFAS |  MOTILAL OSWAL |  INVESCO |  EDELWEISS |  ADITYA BIRLA SUN LIFE |  LIC |  HSBC |  NAVI |  QUANTUM |  UNION |  ITI |  MAHINDRA MANULIFE |  360 ONE |  BOI |  TAURUS |  JM FINANCIAL |  PGIM |  SHRIRAM |  BARODA BNP PARIBAS |  QUANT |  WHITEOAK CAPITAL |  TRUST |  SAMCO |  NJ