Fundamentally strong stocks refer to shares of companies that are considered financially healthy and well-positioned for long-term growth. These stocks typically have strong financial performance, solid earnings, low debt, a competitive market position, and good management.
Investors often view these stocks as stable and less risky, as the companies behind them show consistent revenue growth, profitability, and potential for future success.
Cochin Shipyard Limited
Cochin Shipyard Ltd is one of the largest shipbuilding and ship repair yards in India, located in Kochi, Kerala. The company specializes in constructing oil tankers, bulk carriers, and passenger vessels, along with ship repairs and maintenance services.
Cochin Shipyard Limited has an impressive Return on Equity (RoE) of 16.42 percent and a Return on Capital Employed (RoCE) of 20.99 percent, and a P/E ratio of 45.8. Furthermore, the company’s debt-to-equity ratio is 0.1.
Adani Total Gas Limited
Adani Total Gas is a joint venture between the Adani Group and TotalEnergies, focusing on city gas distribution (CGD) across India. The company supplies piped natural gas (PNG) to residential, commercial, and industrial sectors, and compressed natural gas (CNG) for transportation.
With a market capitalization of 68,743.63 Crores, the shares of Adani Total Gas Limited have declined almost 57.7 percent from an all-time high of Rs. 1,197.95 to the current market price of Rs. 624.
Adani Total Gas Limited has an impressive Return on Equity (RoE) of 17.95 percent and a Return on Capital Employed (RoCE) of 19.51 percent, and a P/E ratio of 103.29. Furthermore, the company’s debt-to-equity ratio is 0.37.
Supreme Industries Limited
Supreme Industries is a leading Indian manufacturer of plastic products, established in 1942. The company produces a diverse range of items, including PVC pipes and fittings, molded furniture, packaging films, and industrial products.
Supreme Industries Limited has an impressive Return on Equity (RoE) of 20.56 percent and a Return on Capital Employed (RoCE) of 26.88 percent, and a P/E ratio of 43.79. Furthermore, the company’s debt-to-equity ratio is 0.01.
KEI Industries Limited
KEI Industries is a prominent Indian manufacturer specializing in cables and wires. The company offers a wide range of products, including power cables, control cables, and instrumentation cables, catering to various sectors such as infrastructure, power, and construction.
With a market capitalization of 28,489.96 Crores, the shares of KEI Industries Limited have declined almost 40.7 percent from an all-time high of Rs. 5,040.40 to the current market price of Rs. 2978.2.
KEI Industries Limited has an impressive Return on Equity (RoE) of 18.05 percent and a Return on Capital Employed (RoCE) of 23.41 percent, and a P/E ratio of 45.21. Furthermore, the company’s debt-to-equity ratio is 0.1.
Written by Ashok Kumar