As the Indian equity market reaches new heights, a few small-cap stocks have caught the attention of investors. The Nifty Small Cap 250 index has seen remarkable growth, with Gravita India, PG Electroplast, and Black Box more than doubling their value in just three months. This impressive performance is driven by robust financials, strategic expansion, and favorable industry trends
Gravita India: A Leader in Lead Production
Gravita India Ltd, India’s leading lead producer, has delivered an impressive 133% return in the last three months. The company’s commitment to environmentally friendly processes has contributed to its success.
In Q1FY25, Gravita reported a 29% YoY growth in revenue to ₹908 crore, with EBITDA and net profit increasing by 33% and 29%, respectively. The company’s order book stands at 60,000 Metric Tons, with a capacity utilization of 66%. As a key player in the recycling industry, Gravita is poised for sustained growth, driven by India’s expanding recycling industry and favorable regulatory policies.
PG Electroplast Ltd: A Diversified Electronics Manufacturer
PG Electroplast Ltd, a flagship company of the PG Group, has rallied over 108% in the last three months. The company’s Q1FY25 earnings saw a 95% YoY jump in revenue to ₹1,321 crore, with EBITDA and net profit growing significantly.
The product business, led by air conditioners, contributed 75% of total revenues, driven by the hottest summer and heatwaves. With plans to expand capacities and participate in the new PLI scheme, investors remain bullish on the stock.
Black Box Ltd: A Global Digital Infrastructure Integrator
Black Box Ltd, formerly AGC Networks, has surged over 101% in the last three months. The company’s Q1FY25 earnings reported a 55% YoY jump in net profit, despite a 9% YoY drop in revenue. The order book pipeline continues to grow, with a healthy pipeline and robust order book.
The company’s strategic exit from low-value businesses and focus on productivity and margins have demonstrated robust strength, driving investor confidence.
Conclusion:
Gravita India, PG Electroplast, and Black Box have emerged as star performers in the Nifty Small-Cap 250 index, delivering over 100% returns in just three months. Their strong financials, strategic expansion, and favorable industry conditions make them attractive investment opportunities.