Is it time to run screaming from the Indian stock market?

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Here, from an e-mail I just got from the folks at Russell Investments, are the world’s 10 top-performing stocks of 2007:

Inner Mongolia Yitai Coal Co. Ltd., China, 1017%
Jai Corp. Ltd., India, 877%
Reliance Natural Resources Ltd., India, 823%
Ispat Industries Ltd., India, 742%
Jindal Steel & Power Ltd., India, 664%
Essar Oil Ltd., India, 570%
Shougang Concord Int’l Enterprises Co. Ltd., Hong Kong, 534%
China National Building Material Co. Ltd., China, 496%
Lanco Infratech Ltd., India, 487%
Adani Enterprises Ltd., India, 467%

My immediate reaction to this is sell India! I mean, I’m willing to believe the Indian economic miracle is real and will continue, but those kind of gains can’t. Of the top 100 stocks worldwide in 2007, 41 were from India. Like they say, past performance is no guarantee of future results.

The top U.S. performer was Onyx Pharmaceuticals, in 12th place, up 426%. In all, six U.S. companies made the top 100. Which is actually more than I would have thought.

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