Buying fundamentally strong stocks near their 52-week lows can be a great opportunity. Companies with good, strong financials, financial management, and consistency which are currently undervalued due to market fluctuations have significant upside potential. The correction in the market can be used in such cases.
This article contains the names of some of the stable stocks that are fundamentally strong and available for trading for prices very near their 52-week lows.
Hindustan Unilever Ltd
Hindustan Unilever Limited (HUL) is one of India’s largest FMCG companies. It operates across Home Care, Beauty & Personal Care, and Foods & Refreshments. The company also engages in exports, real estate, and other businesses. A subsidiary of Unilever, HUL owns brands like Surf Excel, Dove, Lux, Pepsodent, Knorr, and Brooke Bond, reaching millions of households with a strong distribution network and a focus on sustainability and digital expansion.
With a market cap of Rs 5,21,492 crores. It made a 52-week low of Rs 2,136 per share, up by 4.5 percent, from its CMP of Rs 2,220 per share. It has an ROE and ROCE of 20.2 percent and 27.2 percent respectively. Also, it has a PE of 50.4x, which is lower than the industry PE of 52.75x.
Hero Motocorp Ltd
Hero MotoCorp Limited is engaged in the manufacture and sale of motorized two-wheelers in India, Asia, Central and Latin America, Africa, and the Middle East. The company offers motorcycles, scooters, and electric scooters. It also provides engines, parts, and accessories, as well as related services. The company was formerly known as Hero Honda Motors Ltd. and changed its name to Hero MotoCorp Limited in July 2011. Hero MotoCorp Limited was incorporated in 1984 and is based in New Delhi, India.
With a market cap of Rs 71,955 crores. It made a 52-week low of Rs 3,455.30 per share, up by 5 percent, from its CMP of Rs 3,611 per share. It has an ROE and ROCE of 22 percent and 29 percent respectively. Also, it has a PE of 17.4x, which is significantly lower than the industry PE of 43.65x.
Colgate-Palmolive
Colgate-Palmolive (India) Ltd manufactures and trades in personal and oral care products in India. The company offers toothpaste, toothpowder, toothbrushes, mouthwash, rinses, hand washes, and shower gels under the Colgate brand name. It also offers and exports soaps, cosmetics, and toilet preparations.
With a market cap of Rs 66,237 crores. It made a 52-week low of Rs 2,351 per share, up by 3 percent, from its CMP of Rs 2,433 per share. It has a high ROE and ROCE of 74.5 percent and 96.8 percent respectively. Also, it has a PE of 45.4x, which is lower than the industry PE of 52.75x.
Happiest Minds Ltd.
Happiest Minds Technologies Limited provides IT solutions across India, the US, Canada, the UK, Australia, and other global markets. It operates through three segments: IMSS, which provides cloud, virtualization, and security solutions; DBS, which focuses on enterprise applications and custom IT solutions; and PES, which develops software products using mobile, cloud, and social technologies. The company also specializes in IoT, AI/ML-driven analytics, big data, and digital automation, helping businesses with digital transformation.
With a market cap of Rs 9,874 crores. It made a 52-week low of Rs 640 per share, up by 0.7 percent, from its CMP of Rs 645 per share. It has an ROE and ROCE of 20.6 percent and 21.6 percent respectively. Also, it has a PE of 46.3x, which is significantly higher than the industry PE of 28.91x.
Written by Satyajeet Mukherjee
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
