- Date : 26/12/2022
- Read: 4 mins
Debt has a significant impact on an industry's current performance and potential future development. In a penny stock, the degree of debt incurred by the organization is scrutinized much more closely.
Debt free small business shares, known as "penny stocks," generally trade at extremely low prices and are not very liquid. Because every share of a penny stock is worth so little, it is difficult to estimate their pricing. One should pay much closer attention to the company's debt level when buying a penny stock.
The best debt free penny stocks in India
Penny stocks are currently flying off the shelves. Everybody already wants a stake in the action, no matter whether they're seasoned traders or novice investors. There is no common definition of penny stocks for individuals who are new to the game. Read more to learn more about the 5 best debt-free penny stocks in India to take into consideration!
1. Singer India Ltd.
Current share price: 86.35 INR
Market cap: 4.64 billion INR
PE ratio: 35.15
One of the most well-known and recognizable brands of home appliances is SIL. With a business model that is asset-light and has been operating in India since 1977, it keeps a powerful brand presence while broadening quickly inside the home appliances marketplace. The business's capital structure has remained sound primarily because of the asset-light model. According to the company's most recent financial information, its debt-to-equity ratio is zero.
2. Railtel Corporation of India Ltd.
Current share price: 132.90 INR
Market cap: 42.73 billion INR
PE ratio: 21.42
Railtel Corporation of India was established in 2000 to offer telecom-related operations to the Indian Railways. The share of the market of Railtel has continuously increased over time. It accomplishes this by offering different public and private businesses communication infrastructure and associated services. Railtel increased their position by 67 points to place 124th among India's top 500 midsized enterprises on the newly issued "Fortune India Next 500 List of the Year 2022."
3. Ador Fontech Ltd.
Current share price: 79.60 INR
Market cap: 2.77 billion INR
PE ratio: 16.84
Welding is a common method used by Indian producers to unite metals and alloys. Ador Fontech, one of the top repair welding businesses in India, is now a serious candidate for the position of most sought-after penny stock for 2022. It is founded in 1974 and led by an experienced management committee, put a lot of effort into keeping its debt-free status all through the epidemic.
4. Rubfila International Ltd.
Current share price: 80.25 INR
Market cap: 4.35 billion INR
PE ratio: 11.15
Rubpro Sdn Bhd, Malaysia, and Kerala State Industrial Development Corporation are the organizations backing Rubfila International, which has been in operation since 1994. The organization is thought to be among the biggest producers of rubber thread in the nation. Over the past eight years, Rubfila has continuously grown and pushed to increase its capacity.
5. Jamna Auto Industries Ltd.
Current share price: 106.80 INR
Market cap: 42.57 billion INR
PE ratio: 25.27
In the domestic M&HCV OEM industry, Jamna Auto Industries is a market leader with more than 60 years of experience. In fiscal 2021, it had gross sales of Rs 10.5 billion. Due to company's advantageous pricing model, it was able to maintain its economic stability and declare a 75% equity dividend.
Also read: Risks you must watch out for while investing
Final words
The penny stocks of companies like Rubfila International, Ador Fontech, Singer India, Jamna Auto industries, and Railtel Corporation are debt free and have proven to be working efficiently.
Disclaimer: This information should not be considered as investment or legal advice and is only meant to provide general information. When drawing conclusions, you must seek independent advice separately.
Debt free small business shares, known as "penny stocks," generally trade at extremely low prices and are not very liquid. Because every share of a penny stock is worth so little, it is difficult to estimate their pricing. One should pay much closer attention to the company's debt level when buying a penny stock.
The best debt free penny stocks in India
Penny stocks are currently flying off the shelves. Everybody already wants a stake in the action, no matter whether they're seasoned traders or novice investors. There is no common definition of penny stocks for individuals who are new to the game. Read more to learn more about the 5 best debt-free penny stocks in India to take into consideration!
1. Singer India Ltd.
Current share price: 86.35 INR
Market cap: 4.64 billion INR
PE ratio: 35.15
One of the most well-known and recognizable brands of home appliances is SIL. With a business model that is asset-light and has been operating in India since 1977, it keeps a powerful brand presence while broadening quickly inside the home appliances marketplace. The business's capital structure has remained sound primarily because of the asset-light model. According to the company's most recent financial information, its debt-to-equity ratio is zero.
2. Railtel Corporation of India Ltd.
Current share price: 132.90 INR
Market cap: 42.73 billion INR
PE ratio: 21.42
Railtel Corporation of India was established in 2000 to offer telecom-related operations to the Indian Railways. The share of the market of Railtel has continuously increased over time. It accomplishes this by offering different public and private businesses communication infrastructure and associated services. Railtel increased their position by 67 points to place 124th among India's top 500 midsized enterprises on the newly issued "Fortune India Next 500 List of the Year 2022."
3. Ador Fontech Ltd.
Current share price: 79.60 INR
Market cap: 2.77 billion INR
PE ratio: 16.84
Welding is a common method used by Indian producers to unite metals and alloys. Ador Fontech, one of the top repair welding businesses in India, is now a serious candidate for the position of most sought-after penny stock for 2022. It is founded in 1974 and led by an experienced management committee, put a lot of effort into keeping its debt-free status all through the epidemic.
4. Rubfila International Ltd.
Current share price: 80.25 INR
Market cap: 4.35 billion INR
PE ratio: 11.15
Rubpro Sdn Bhd, Malaysia, and Kerala State Industrial Development Corporation are the organizations backing Rubfila International, which has been in operation since 1994. The organization is thought to be among the biggest producers of rubber thread in the nation. Over the past eight years, Rubfila has continuously grown and pushed to increase its capacity.
5. Jamna Auto Industries Ltd.
Current share price: 106.80 INR
Market cap: 42.57 billion INR
PE ratio: 25.27
In the domestic M&HCV OEM industry, Jamna Auto Industries is a market leader with more than 60 years of experience. In fiscal 2021, it had gross sales of Rs 10.5 billion. Due to company's advantageous pricing model, it was able to maintain its economic stability and declare a 75% equity dividend.
Also read: Risks you must watch out for while investing
Final words
The penny stocks of companies like Rubfila International, Ador Fontech, Singer India, Jamna Auto industries, and Railtel Corporation are debt free and have proven to be working efficiently.
Disclaimer: This information should not be considered as investment or legal advice and is only meant to provide general information. When drawing conclusions, you must seek independent advice separately.
