The Piotroski score is usually defined as a discrete score between ‘zero’ and ‘nine’ that mainly reflects nine criterias for the purpose of determining the strength of a firm’s financial position. This score is used by people to determine stocks with the best value, with nine being the best and zero being the worst.
Listed below are three stocks under the ‘Small-cap’ category which have a Piotroski score of 9:
West Coast Paper Mills Limited:
The shares of West Coast Paper Mills Limited are currently trading at Rs 512.45. It has a market capitalization of Rs 3,382 crores. In the last one year, the scrip has gained over 70 percent ranging from Rs 300 to the current levels.
Having a glance at the financials of the company, the operating revenues as well as profits after tax increased in the recent period with the former moving from Rs 3,377 crores during FY21-22 to Rs 4,920 crores in FY22-23 and the latter during the same time period, moving from Rs 345 crores to Rs 1,087 crores.
Moreover, the profitability ratios have shown favourable movements with the return on equity (ROE) increasing from 18.20 percent during FY21-22 to 36.50 percent in FY22-23 and the return on capital employed (ROCE), keeping the timeframe the same, took a shift from 18.75 percent to 45 percent.
Great Eastern Shipping Company Limited:
The shares of Great Eastern Shipping Company Limited are currently trading at Rs 719. It has a market capitalization of Rs 10,259 crores. In the last one year, the scrip has nearly given multibagger returns of 95 percent ranging from Rs 367 to the current levels.
Having a glance at the financials of the company, the operating revenues as well as profits after tax increased in the recent period with the former moving from Rs 3,669 crores during FY21-22 to Rs 5,690 crores in FY22-23 and the latter during the same time period, moving from Rs 629 crores to Rs 2,575 crores.
Moreover, the profitability ratios have shown favourable movements with the return on equity (ROE) increasing from 7.82 percent during FY21-22 to 25.06 percent in FY22-23 and the return on capital employed (ROCE), keeping the timeframe the same, took a shift from 7.90 percent to 21.02 percent.
Amara Raja Batteries Limited:
The shares of Amara Raja Batteries Limited are currently trading at Rs 644. It has a market capitalization of Rs 10,989 crores. Year-to-date, the scrip has gained around 12 percent ranging from Rs 575 to the current levels.
Having a glance at the financials of the company, the operating revenues as well as profits after tax increased in the recent period with the former moving from Rs 8,697 crores during FY21-22 to Rs 10,388 crores in FY22-23 and the latter during the same time period, moving from Rs 512 crores to Rs 694 crores.
Moreover, the profitability ratios have shown favourable movements with the return on equity (ROE) increasing from 11.25 percent during FY21-22 to 13.10 percent in FY22-23 and the return on capital employed (ROCE), keeping the timeframe the same, took a shift from 14.56 percent to 17.92 percent.
Written by Amit Madnani
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