Synopsis:
Fundamentally strong companies including Shakti Pumps, Suzlon Energy, Waaree Renewable Technologies, and Lloyds Metals & Energy have delivered exceptional capital efficiency with strong ROE, ROCE, and profit growth above 25%, backed by solid orders and expansion, making them good picks for growth-seeking investors.
Investors looking for strong growth opportunities should keep an eye on companies that consistently deliver high returns and strong profitability. Stocks with impressive ROE (Return on Equity) and ROCE (Return on Capital Employed), combined with a Net Profit CAGR exceeding 25%, indicate efficient management, sustainable business models, and significant earnings potential. Monitoring such high-performing companies can help identify potential multibagger opportunities and strengthen a growth-oriented investment portfolio.
Below are the list of Stock with High returns
1. Shakti Pumps (India) Ltd
Shakti Pumps (India) Limited, established in 1982 and headquartered in Pithampur, manufactures and sells a wide range of pumps, motors, and related components under the Shakti brand in India and globally.
Its offerings include submersible, solar, multistage, monoblock, sewage, firefighting, and specialized pumps, along with motors, controllers, inverters, EV motors, chargers, and variable frequency drives for two- and three-wheelers.
Serving sectors such as agriculture, irrigation, wastewater treatment, firefighting, building services, oil & gas, power, metals, and mining, the company also provides solar solutions, IoT-enabled devices, and hybrid systems, with a significant export presence.
Shakti Pumps (India) Ltd, with a market capitalization of Rs. 10,353.09 crore, is trading at Rs. 838.90 per equity share, up by 1.24 percent from its previous day’s close price of Rs. 828.60 per equity share.
The company has demonstrated exceptional capital efficiency, with a return on equity (ROE) of 42.6% and a return on capital employed (ROCE) of 55.3%. Over the past three years, it has achieved a remarkable net profit CAGR of 85%, highlighting strong growth momentum and operational effectiveness.
The company is executing a Rs. 1,700 crore CAPEX plan over the next two years, doubling capacities for pumps, motors, solar structures, and VFDs/inverters. Solar structure capacity has already increased from 1 lakh to 2 lakh units per year, and VFD/inverter capacity from 2 lakh to 4 lakh units per year. As of 1 August 2025, the order book stands at around Rs. 1,350 crore, with expected year-on-year growth of 25–30%, driven by strong prospects in the Indian solar market.
2. Suzlon Energy Ltd
Suzlon is a leading global renewable energy company and a vertically integrated wind turbine generator (WTG) manufacturer. It designs, develops, and manufactures major components like rotor blades, towers, generators, gears, and nacelles.
In addition, Suzlon provides complete wind project services, including planning, execution, infrastructure, power evacuation, and operations & maintenance (O&M) in India and internationally.
Suzlon Energy Ltd, with a market capitalization of Rs. 77,960.34 crore, is trading at Rs. 56.87 per equity share, up by 0.41 percent from its previous day’s close price of Rs. 56.64 per equity share.
The company has showcased outstanding capital efficiency, posting a return on equity (ROE) of 41.4% and a return on capital employed (ROCE) of 32.5%. Over the last three years, it has recorded an impressive net profit CAGR of 195%, reflecting robust growth momentum and effective operational performance.
The company commissioned 2 GW of wind capacity in the first four months of FY26, up from 700 MW in Q1 last year. Industry-wide wind capacity is expected to reach ~6 GW in FY26 (vs. 4 GW in FY25), with projections of 7–7.5 GW in FY27 and 8–9 GW thereafter.
Currently, 17 GW is under construction, and the total installed base has surpassed 51 GW. For FY26, the company targets 60% YoY growth across all key metrics, including volumes, revenue, and EBITDA.
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3. Waaree Renewable Technologies Ltd
Waaree Renewable Technologies Limited, founded in 1999 and based in Mumbai, is a renewable energy company in India, offering ground-mounted, rooftop, and floating solar solutions under capex and opex models. It also provides operations & maintenance and EPC services, serving individual, industrial, and commercial clients.
Waaree Renewable Technologies Ltd, with a market capitalization of Rs. 10,609.17 crore, is trading at Rs. 1,017.70 per equity share, down by 2.15 percent from its previous day’s close price of Rs. 1,040.10 per equity share.
The company has demonstrated exceptional capital efficiency, with a return on equity (ROE) of 65.4% and a return on capital employed (ROCE) of 82.1%. Over the past three years, it has achieved a remarkable net profit CAGR of 124%, highlighting strong growth momentum and highly effective operational execution.
As of June 2025, the company’s order book stands at 3.15 GWp to be executed over 12–15 months, with Q1 inflows of 566 MW (₹720 crore) keeping pace with execution. The order pipeline remains strong at 25 GW across government, private, C&I, and IPP projects, supported by India’s 500 GW renewable energy target by 2030. EBITDA margins are guided at 14–16%, considered sustainable, with potential for higher PAT through operational efficiency. The company also holds 40 MWh of BESS orders. India’s total installed renewable energy capacity reached 234 GW by June 2025, including 116.25 GW of solar (89.29 GW ground-mounted, 18.84 GW rooftop, 3.06 GW hybrid, 5.05 GW off-grid).
4. Lloyds Metals & Energy Ltd
Lloyds Metals and Energy Limited, established in 1977 and based in Mumbai, manufactures and sells sponge iron, iron ore, wire rods, TMT rebars and flat products in India. The company operates in four segments: Sponge Iron, Mining, Power and Pellet Trading, and is also involved in power generation and pellet trading.
Lloyds Metals & Energy Ltd, with a market capitalization of Rs. 66,543.06 crore, is trading at Rs. 1,262.80 per equity share, down by 1.08 percent from its previous day’s close price of Rs. 1,276.60 per equity share.
The company has demonstrated exceptional capital efficiency, with a return on equity (ROE) of 31.5% and a return on capital employed (ROCE) of 38.3%. Over the past three years, it has achieved a remarkable net profit CAGR of 114%, highlighting strong growth momentum and highly effective operational execution.
The company targets a ₹40,000 crore topline in 4–5 years, driven by a 4.2 MTPA steel plant (~₹25,000 crore) and 10 MTPA iron ore. It aims for 40% operating margins leveraging cost-saving initiatives.
Capex is in full swing across three locations, with Q1 FY26 spending of ₹13,270 mn and FY25 total of ₹36,947 mn. Annual capex is projected at ₹7,500–8,000 crore for the next three years, with ₹24,000 crore pending for ongoing projects.
Written by Akshay Sanghavi
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