Penny stocks are quite popular with small investors because of their potential for huge gains. These stocks are priced very low, mostly under Rs 30 per share, and such companies have low market capitalization as well.
These stocks are often illiquid, meaning they are traded in lower quantities compared to other stocks. While there is a perception that penny stocks can offer high returns.
Listed below are such penny stocks that are priced under Rs. 30:
Tirupati Forge Ltd
With a market capitalization of Rs. 182 crores, the shares of the auto ancillary company started Friday’s trading session at Rs. 18.60.
Within few a minutes of the opening bell, the shares clocked 2 percent upper circuit at Rs. 18.95. The shares have delivered more than 60 percent returns to its shareholders in one year.
Looking at the company’s financial statements, the revenue zoomed by 37 percent from Rs. 23.65 crores during the September quarter to Rs. 32.36 crores in the December quarter. In addition, the net profits increased by 34 percent from Rs. 1.53 crores to Rs. 2.05 crores during the same period.
Due to increasing operating revenue and profits on a YoY basis, the profitability metrics of the company improved with the return on equity (RoE) increasing from 11.93 percent during FY 21-22 to 29.91 percent in FY 22-23, and, the return on capital employed (RoCE) zoomed from 27.88 percent to 32.54 percent during the same timeframe. Furthermore, the net profit margin increased from 7.05 percent during FY21-22 to 10.25 percent during FY22-23.
Kalyan Capitals Ltd
With a market capitalization of Rs. 121 crores, the shares of NBFC started Friday’s trading session on a higher note at Rs. 24.47 compared to its previous close of Rs. 22.80.
During the trading session, the shares hit a low of Rs. 22.61, making a loss of around 1 and closed the day at Rs. 23 apiece. The shares have delivered more than 30 percent returns to its shareholders in one year.
Looking at the company’s financial statements, the revenue zoomed by 50 percent from Rs. 6.37 crores during the September quarter to Rs. 9.57 crores in the December quarter. In addition, the net profits increased by 30 percent from Rs. 1.70 crores to Rs. 2.21 crores during the same period.
Due to increasing operating revenue and profits on a YoY basis, the profitability metrics of the company improved with the return on equity (RoE) increasing from 8.96 percent during FY 21-22 to 11.28 percent in FY 22-23, and, the return on capital employed (RoCE) zoomed from 10.25 percent to 14.91 percent during the same timeframe. On the other hand, the net profit margin decreased marginally from 0.27 percent during FY21-22 to 0.20 percent in FY22-23.
Swiss Military Consumer Goods Ltd
With a market capitalization of Rs. 574 crores, the shares of home appliances manufacturing company started Friday’s trading session on a higher note at Rs. 28.50 compared to its previous close of Rs. 28.27.
During the trading session, the shares hit a high of Rs. 29.59, gaining around 4 and closed the day at Rs. 29 apiece. The shares have delivered more than 90 percent returns to its shareholders in one year.
Looking at the company’s financial statements, the revenue zoomed by 15 percent from Rs. 41.76 crores during the September quarter to Rs. 48.15 crores in the December quarter. On a contrasting note, the net profits decreased by 13 percent from Rs. 2.47 crores to Rs. 2.13 crores during the same period.
Coming onto the company’s important financial ratios, the return on equity was at 8.31 percent during FY22-23 and the return on capital employed was recorded at 10.59 percent during the same timeframe. In addition, the net profit margin was at 4.75 percent in FY22-23.
Maximus International Ltd
With a market capitalization of Rs. 307 crores, the shares of the lubricants manufacturing company started Friday’s trading session on a flatter note at Rs. 23.95.
During the trading session, the shares hit a high of Rs. 24.55, gaining around 2 and closed the day at Rs. 24 apiece. The shares have delivered more than 60 percent returns to its shareholders in one year.
Looking at the company’s financial statements, the revenue increased marginally by 4.4 percent from Rs. 24.76 crores during the September quarter to Rs. 25.85 crores in the December quarter. In addition, the net profits magnified by 102 percent from Rs. 1.28 crores to Rs. 2.59 crores during the same period.
Due to consistent operating revenue and profits on a YoY basis, the profitability metrics of the company improved with the return on equity (RoE) increasing from 19.70 percent during FY 21-22 to 25.06 percent in FY 22-23, and, the return on capital employed (RoCE) zoomed from 21.08 percent to 24.56 percent during the same timeframe. Furthermore, the net profit margin increased from 6.76 percent during FY21-22 to 7.31 percent during FY22-23.
Written By Vaibhav Patil
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