A company is said to be ‘fundamentally strong’ when it portrays a specific set of characteristics, viz, strong and consistent financial performance, lower leverage ratios, and many more.
Listed below are three such fundamentally strong stocks under Rs 500 that one should consider adding to their portfolio for a potential upside of up to 70 percent:
PNC Infratech Limited
With a market capitalization of Rs 11,196.65 crores, the stocks of PNC Infratech Limited, one of the front-ending infrastructure development, construction, and management companies in India, closed their trading session on Wednesday at Rs 436.45, slipping approximately 0.70 percent compared to the previous closing price of Rs 439.55 apiece.
Recently, ICICI Direct initiated coverage on the stocks of PNC Infratech Limited and gave a target price of Rs 550, indicating a potential upside of around 26 percent compared to the prevailing share price level.
Having a glance at the company’s latest financial reports, its basic business indicators, viz, operating revenues as well as after-tax profits, showed some positive movements with the former rising from Rs 1,911 crores during the September 2023 quarter to Rs 2,047 crores during the December 2023 quarter and the latter from Rs 148 crores to Rs 185 crores.
Equitas Small Finance Bank Limited
With a market capitalization of Rs 10,538.56 crores, the stocks of Equitas Small Finance Bank Limited, offering banking products & services including LAPs, housing loans, microfinance, and others, closed their trading session on Wednesday at Rs 92.86, slipping approximately 0.40 percent compared to the previous closing price of Rs 93.25 apiece.
Recently, Motilal Oswal initiated coverage on the stocks of Equitas Small Finance Bank Limited and gave a target price of Rs 125, indicating a potential upside of around 35 percent compared to the prevailing share price level.
Having a glance at the company’s latest financial reports, its basic business indicators, viz, operating revenues as well as after-tax profits, showed some positive movements with the former rising from Rs 1,359 crores during the September 2023 quarter to Rs 1,429 crores during the December 2023 quarter and the latter from Rs 198 crores to Rs 202 crores.
Zomato Limited
With a market capitalization of Rs 1.58 lakh crores, the stocks of Zomato Limited, one of the leading online Food Service platforms in India, closed their trading session on Wednesday at Rs 179.50, slipping approximately 1.70 percent compared to the previous closing price of Rs 182.60 apiece.
Recently, ICICI Securities initiated coverage on the stocks of Zomato Limited and reiterated a target price of Rs 300, indicating a potential upside of around 67 percent compared to the prevailing share price level.
Having a glance at the company’s latest financial reports, its basic business indicators, viz, operating revenues as well as after-tax profits, showed some positive movements with the former rising from Rs 2,848 crores during the September 2023 quarter to Rs 3,288 crores during the December 2023 quarter and the latter drastically from Rs 36 crores to Rs 138 crores.
Written by Amit Madnani
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