"Here's a gurumantra for those who follow the stock markets: Place your bets in those PSUs which they (the opposition) abuse. Your money will surely grow."

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The actual essense of this quote is in Hindi, but Prime Minister Narendra Modi's light-hearted advise on the floor of the Lok Sabha has set PSU stocks racing ahead over the last one month. The Prime Minister made this above-mentioned quote in response to the No-Confidence Motion in August.

But what started off as a casual remark and something that the Prime Minister spoke in jest, investors appear to have taken his words seriously.

Since that remark, shares of some PSUs have been on a tear. While the Prime Minister's words may not be intended as a financial recommendation, they have certainly caught the eyes of investors who saw an opportunity.

What makes this rally even more remarkable that it is not confined to a specific group or sector. It is a broad-based rally where most PSUs have seen buying interest across the board.

Nearly 80 percent of the 55 PSU stocks that comprise of both BSE PSU and BSE PSU Bank index have seen their shares surge anywhere between 10 to as high as 75 percent over the last month.

These were just the top 10. Other stocks like Uco Bank, Indian Overseas Bank, Hindustan Copper and even MTNL have surged between 10-20 percent since the Prime Minister's address.

However, there have been a few undeperformers amidst this long list of winners as well.

Stocks of Oil Market Companies like HPCL, BPCL, Indian Oil have been under pressure due to the sharp fluctuation in Crude Oil prices. Brent Crude has surged to a 10-month high following Saudi Arabia and Russia's decision to extend production cuts till the end of the year. PFC also finds itself in the list of losers owing to profit booking post the recent MSCI rejig.

"I think PSUs would be a good place to invest in because of the valuation comfort," Punita Kumar Sinha of Pacific Paradigm Advisors told CNBC-TV18 on August 24.

A recent report from ICICI Securities also spoke about how some PSUs have broken out from years of underperformance and are set for a long growth runway ahead. In fact, the share of PSUs in the country's overall market capitalisation is at the highest in four years.

(Edited by : Hormaz Fatakia)