I have shortlisted these 8 of small & micro cap companies from different industries that I think deserve a closer look. Their fundamentals & valuations has made me curious to dig deeper.
I will be spending this weekend researching each one properly & will share my brief analysis.
GK Energy
Power EPC
MCap ₹2,907 Cr, ROCE 40.9%
PE 14.4, PEG 0.08, PB 3.31
Sales +40%, Profit +51%
Ceinsys Tech
Engineering Tech
MCap ₹1,957 Cr, ROCE 27.5%
PE 14.6, PEG 0.23, PB 2.91
Sales +114%, Profit +63%
Oswal Pumps
Pumps & Motors
MCap ₹4,665 Cr, ROCE 38.2%
PE 12.4, PEG 0.10, PB 2.77
Sales +44%, Profit +34%
Garuda Construction
Construction
MCap ₹1,645 Cr, ROCE 41.8%
PE 13.5, PEG 0.30, PB 3.59
Sales +136%, Profit +146%
Sharda Cropchem
Agro Chemicals
MCap ₹8,271 Cr, ROCE 30.4%
PE 12.2, PEG 0.44, PB 2.64
Sales +22%, Profit +128%
ABS Marine
Marine Services
MCap ₹572 Cr, ROCE 21.0%
PE 7.1, PEG 0.07, PB 1.85
Sales +77%, Profit +196%
M & B Engineering
PEB & Engineering
MCap ₹1,833 Cr, ROCE 23.0%
PE 19.6, PEG 0.47, PB 2.82
Sales +27%, Profit +22%
Danish Power
Power Equipment
MCap ~₹1,900 Cr, ROCE 35%+
PE 14.5, PEG 0.13, PB 3.97
Sales +68%, Profit +92%
Semiconductor के लिए काम करने वाली कुछ कंपनी ?
Few Companies Involve In Semiconductor Space
S) CG Power: CG Semi OSAT
U) Kaynes Tech: Kaynes Semicon
M) HCL Tech: HCL-Foxcon
I) Linde India: Gases For Fabs
T) Ellenbarrie Industrial: Speciality Gases
R) Aether Ind: Electronic Chemicals
E) Deepak Fert: Wafer Cleaning IPA
S) Vatech Wabag: Full Water Cycle
E) Carborundum: Silicon Carbide Components
A) Voltas: Cleanroom HVAC
R) INOX India: Storage Transport Tanks
C) Gujarat Fluoro: Tubings Fittings
H) Praj Ind: Ultra Pure Water System
S) Navin Fluorine: Hydrofloric Acid
U) Tatva Chintan: Electrolytes Salts
M) Deepak Nitrite: Largest IPA Producer
I) Thermax: Membrane, ZLD
T) Siemens: Advance Node Chip
Formula for Finding Potential Multi-Baggers
Market cap less than 2000 Crores
EBIDTA between 15 to 20%
ROCE/ROE 15%+
Existing capacity greater than 80%
Upcoming capex is at least 50% of the fixed assets
Debt to Equity Ratio less than 2
The majority of new capex from internal accruals
Fake sales can be found out by checking inventory turnover and Debtor turnover ratio.
Fake profit can be found out by checking cash flow and free cash flow along with debt to equity ratio.
Efficiency of promoters can be found out by checking Roe and Roce how they allocate capital.
#stockmarket
⚡️Disclaimer: The above data should not be considered as a Buy or Sell recommendation. The analysis has been done for educational and learning purpose only.
Growing for a year is easy but growing for 10 years is rare. Here are 25 quality companies that have consistently delivered VERY STRONG sales & profit growth over the last decade !
Swing Trading Strategy:
Entry (Buy) Rules:
Wait for the 20 EMA to cross above the 50 EMA.
Ensure RSI (14) is above 50.
Buy when the price touches the 20 EMA and RSI is still above 50.
Exit (Stop Loss) Rules:
Exit if the 20 EMA crosses below the 50 EMA, or If the price drops below the 50 EMA.
This strategy helps traders catch pullbacks in an uptrend with confirmation from the RSI.
Keep the entire Kirloskar Group on your radar.
Kirloskar Brothers - 1933
Kirloskar Industries - 3700
Kirloskar Electric - 104
Kirloskar Oil Engines - 2000
Kirloskar Pneumatic - 1950
All are setting up beautifully on the charts for what looks like a multi-month uptrend.
This is exactly how future wealth creators look before the crowd discovers them.
Just like Adani created massive wealth in its cycle, I believe the Kirloskar Group could be on a similar path.
Save this tweet. 🩵
8 microcap #stocks I am bullish on:
(Pl Note: my views can be biased)
Criteria:
• High earnings & sales growth potential (20%+ CAGR possible)
• Strong industry tailwinds (Make-in-India, Defence, Power, Indl capex)
• Niche business models + proactive management
• Higher risk, but disproportionate reward potential over 3 to 5 yrs.
Will share a detailed🧵 on these shortly.
Is any of these💎 in your radar?
✨ GALA PRECISION: Engineering-led play aligned with manufacturing growth.
✨ KRISHNA DEFENCE: Defence indigenisation theme with structural tailwinds.
✨ DIFFUSION ENGINEERS: Moving up the value chain into heavy engineering.
✨ VILAS TRANSCORE: Transformer ecosystem beneficiary of power capex.
✨ YASH HIGHVOLTAGE: Riding India’s power equipment upcycle.
✨ OBSC PRECISION: Specialised engineering player with high-entry barriers.
✨ VALIANT COMM: Telecom + tech niche with scalable opportunities.
✨ AIMTRON: Electronics manufacturing exposure in a fast-formalising sector.
Disclaimer: These are not a stock recommendation. Please do your own due diligence. I am only sharing what I like & am tracking closely in the (high-risk) micro-cap space.
Thumb Rule for Investing in Fundamentally Strong Stocks
If price drops 10% → Just hold
If price drops 20% → Add 10% more
If price drops 30% → Add 30% more
If price drops 40% → Recheck fundamentals, add only if thesis is intact
If price drops 50% → Stop averaging unless fundamentals improve
If price goes up 10% → Just hold
If price goes up 20% → Still hold
If price goes up 30% → Sell 10%
If price goes up 40% → Sell 20%
If price goes up 50% → Sell 30%
If price goes up 60% → Sell 40%
If price goes up 80% → Book partial profits, trail stop-loss
If price goes up 100% → Sell all or recover capital + let profits run