Undiscovered Gems In India 3 Small Caps With Promising Potential

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Over the last 7 days, the Indian market has dropped 4.7%, but it has risen by an impressive 39% over the past year, with earnings expected to grow by 17% annually in the coming years. In this dynamic environment, identifying small-cap stocks with promising potential can offer significant opportunities for investors looking to capitalize on emerging growth stories.

Top 10 Undiscovered Gems With Strong Fundamentals In India

Name

Debt To Equity

Revenue Growth

Earnings Growth

Health Rating

Voith Paper Fabrics India

NA

10.79%

9.57%

★★★★★★

Goldiam International

NA

10.09%

16.51%

★★★★★★

Macpower CNC Machines

NA

20.01%

23.61%

★★★★★★

Indo Amines

82.32%

17.09%

18.35%

★★★★★☆

KP Green Engineering

13.73%

47.60%

61.28%

★★★★★☆

Lotus Chocolate

13.51%

28.07%

-10.66%

★★★★★☆

Insolation Energy

88.64%

163.87%

419.31%

★★★★★☆

Share India Securities

24.23%

37.66%

48.98%

★★★★☆☆

Innovana Thinklabs

4.53%

12.52%

19.93%

★★★★☆☆

Vasa Denticity

0.11%

38.37%

48.77%

★★★★☆☆

Click here to see the full list of 457 stocks from our Indian Undiscovered Gems With Strong Fundamentals screener.

Let's explore several standout options from the results in the screener.

BLS International Services

Simply Wall St Value Rating: ★★★★★★

Overview: BLS International Services Limited specializes in outsourcing and administrative tasks for visa, passport, and consular services to various diplomatic missions, with a market cap of ?158.17 billion.

Operations: Revenue for BLS International Services Limited primarily comes from providing visa, passport, and consular services to diplomatic missions. The company has a market cap of ?158.17 billion.

BLS International Services has demonstrated robust performance, with earnings growth of 49.8% over the past year, significantly outpacing the Professional Services industry’s 10.4%. The company’s debt-to-equity ratio has impressively reduced from 7.8 to 2.1 over five years, indicating strong financial management. Recent quarterly results show revenue of INR 5.10 billion and net income of INR 1.14 billion, reflecting solid profitability and high-quality earnings that are well-covered by EBIT at an impressive multiple of 86x interest payments.

NSEI:BLS Debt to Equity as at Aug 2024
NSEI:BLS Debt to Equity as at Aug 2024

IFB Industries

Simply Wall St Value Rating: ★★★★★☆

Overview: IFB Industries Limited, along with its subsidiaries, manufactures and trades home appliances in India and internationally, with a market cap of ?83.80 billion.

Operations: IFB Industries Limited generates revenue primarily from its Home Appliances segment (?36.32 billion), followed by Engineering (?8.55 billion), Steel (?1.65 billion), and Motor segments (?670.70 million).