Small-cap stocks have the potential to generate higher returns as these companies are in a growing stage. Thus the growth potential of these companies is huge. However, these stocks are also considered risky in the market.
One of the risk factors associated with any company is the amount of long-term external borrowings or Debt that the company has. A negligible or zero debt is generally considered a positive sign.
Here are four small-cap debt-free stocks to add to your watchlist:
Procter & Gamble Health Limited
The shares of Procter & Gamble Health were trading 1.5 per cent higher at Rs 4,067 levels in the early hours of Thursday. So far this year, the stock has shed approximately 23 per cent YTD.
In Q1FY22, the company earned a total revenue of Rs 295 crores and a net profit of Rs 41 crores in the period. In addition, the company has zero debt on its balance sheet.
The small-cap stock has a market capitalization of Rs 6,751 Crores and a dividend yield of 6,751% as of October 20th, 2022. The promoters hold a 51.82 per cent stake with zero shares pledged.
P&G Health Ltd (formerly Procter & Gamble ltd) Health Ltd (erstwhile Merck Limited) is engaged in the business of manufacturing and marketing pharmaceuticals and chemicals.
Saregama India Limited
The shares of Saregama India were trading marginally higher at Rs 374 levels in the first half of Thursday’s trading session. So far this year the stock has been volatile and has shed approximately 30 per cent YTD.
In Q1FY22, the total revenue of the company stood at Rs 169 crores and their net profit was at Rs 41 crores. The company has zero debt.
Saregama India has a market capitalization of Rs 7,297 Crores and a dividend yield of 0.79% as of October 20th, 2022. The promoters hold a 58.49 per cent stake with zero shares pledged.
Saregama India Ltd formerly known as The Gramophone Company Of India Ltd. is India’s oldest music label company.
Borosil Limited
The shares of Borosil Limited shed 1.5 per cent in the early hours on Thursday and were trading at Rs 437 levels. On a YTD basis, the stock has added approximately 6 per cent.
In the first quarter of FY22, the company reported total revenue of Rs 216 Crores and a net profit of Rs 19 crores. The company does not have any long-standing liabilities on its balance sheet.
The glass manufacturer has a market capitalization of Rs 5,000 Crores and a dividend yield of 0.23% as of October 20th, 2022. The promoters hold a 70.4 per cent stake with zero shares pledged.
Borosil Limited is a manufacturer and supplier of laboratory glassware, microwavable kitchenware, and opal ware in India.
BSE Limited
The shares of the only listed exchange were trading marginally lower at Rs 583 levels on Thursday morning. So far this year the stock has declined by 8 per cent YTD.
In Q1FY22, the total revenue of the company stood at Rs 192 crores and their net profit was at Rs 29 crores. The company also has zero debt on its balance sheet.
The monopoly company has a market capitalization of Rs 7,907 Crores and a dividend yield of 2.31% as of October 20th, 2022.
Bombay Stock Exchange (BSE Ltd) is an Indian Stock Exchange that facilitates a market for trading in equity, currencies, debt instruments, derivatives, and mutual funds.
Written by Anoushka Roy
Disclaimer
The content in this news article is not investment advice. 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.
