Best Stocks to Buy Under Rs.10

When it comes to penny stocks, particularly cheap penny stocks, you must assess the company's positives and negatives. If something goes wrong, the loss will be small (the price of the stock), however, if everything goes well, there is a lot of money to be made.  In this article we have compiled a list of 5 stocks that have the potential to deliver superior returns:

1) Zenith Steel Pipes & Industries Ltd.

CMP: 6.20 (August 25, 2022)

About the company: Zenith Steel Pipes & Industries Ltd. is the major producer of steel pipes. The company manufactures black welded and galvanised steel pipes and cutting instruments. The pipes section is located in Khopoli, and the tools division is located in Nasik and Aurangabad. Zenith (USA) Inc. and Zenith Middle East FZE are subsidiaries of this corporation.

Positives:
Strong Annual EPS Growth, Growth in Quarterly Net Profit with increasing Profit Margin (YoY), Consistent High Return Stock over Five Years, Annual Net Profits improving for last 2 years

Negatives: 
High promoter stock pledges, inefficient use of capital to generate profits - RoCE declining in the last 2 years

2) IL&FS Investment Managers Ltd.

CMP: 6.95 (August 25, 2022)

About the company: IL&FS Investment Managers is a domestic private equity fund management company that manages funds on behalf of leading Indian and International Institutions.

Positives: 
Company with No Debt, Increasing profits every quarter for the past 3 quarters, Growth in Net Profit with increasing Profit Margin (QoQ)

Negatives: -
High promoter stock pledges, Rising other income, and low operating income

3) Vikas Lifecare Ltd.

CMP: 5.30 (August 25, 2022)

About the company: Vikas Lifecare Ltd. (VLL) is engaged in trading and manufacturing of polymer, rubber compounds and additives for plastics, synthetic & natural rubber.

Positives: 
FII / FPI or Institutions increasing their shareholding, Company with Zero Promoter Pledge, Company with Low Debt

4) Suzlon

CMP: 8.50 (August 25, 2022)

About the company: Suzlon Energy Limited (SEL) is India's largest renewable energy solutions provider with a presence in 17 countries across six continents. The company is engaged in the business of design, development, manufacturing, and supply of wind turbine generators (WTGs) of a range of capacities and their components. Their operations relate sale of WTGs and allied activities, including sale/sub-lease of land, infrastructure development income; sale of gearboxes, and sale of foundry and forging components.

Positives: 
FII / FPI or Institutions increasing their shareholding, Increasing Revenue every Quarter for the past 4 Quarters, Mutual Funds Increased Holdings in Past Month

Negatives: -
The company has a low-interest coverage ratio

5) Jaiprakash Power Ventures Ltd

CMP: 7.70 (August 25, 2022)

About the company: Jaiprakash Power Ventures  is engaged in the business of generation of Thermal and Hydro Power, cement grinding, and Captive Coal Mining.

Positives:
Company with Low Debt, Company reducing Debt, Consistent High Return Stocks over Five Years

Negatives:
Companies with High Promoter Pledge, Decline in Net Profit with falling Profit Margin (QoQ)

Conclusion:
By combining your own due diligence with our research, you should be able to select the ideal penny stocks and purchase them at the appropriate price and at the right time to maximise your gains.