Just a handful of days ago, a little-known Indian company did something that many can only dream of.
Company With Rs 3 Stock Price Gets $5 Million Export Order
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Steel firm Shah Metacorp Limited informed revealed in a stock exchange filing recently that it has received export orders of around $5 million (approximately Rs 40 Crore) from Italy and other European countries for the export of steel and alloys. It revealed so last week on Friday.
The board of the company is likely to consider allotting 10,48,00,000 Equity shares and 22,800,000 of convertible warrants into Equity Shares of Rs. 1/- each to be issued at a price not less than Rs.3.24/- to Promoters and Non-Promoters on a preferential basis. For, the board meeting of the company is scheduled on 28th July 2023, as per the Dalal Street Investment Journal report.
Shah Metacorp Limited is a Stainless Steel & Mild Steel Manufacturer that was established in the late 1990s. On 21st July 2023, the stock opened at Rs 3.57, with a high and low of Rs 4.22 and Rs 3.15. The stock closed trading at Rs 3.49, down by 3.59 per cent. Even today, it is down more than 8% (at the time of writing this report). However, it is up 20% in the last year.
What Are Penny Stocks?
With a stock price of just Rs 3 per share, Shah Metacorp is an example of a penny stock.
For the unversed, penny stocks are those that trade at a very low price, usually have very low market capitalisation, and are mostly illiquid. Penny stocks in the Indian stock market can have prices below Rs 10 or Rs 20 or even Rs 50. These stocks are very speculative in nature and are considered highly risky because of a lack of liquidity, a smaller number of shareholders, large bid-ask spreads and limited disclosure of information.
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However, sometimes, fundamentally strong penny stocks can offer investors an excellent opportunity to earn significant returns.
Examples Of Penny Stocks In India
From Vodafone Idea, Yes Bank, Reliance Power to Dish TV India, here’s a list of some of the penny stocks in India (as per their stock price at the time of writing this report).
1. Vodafone Idea Ltd
Stock price-Rs 8.10
2. Alok Industries Ltd
Stock price- Rs 15.10
3. Indian Overseas Bank
Stock price- Rs 27.10
4. Bank of Maharashtra Ltd
Stock price- Rs 34.45
5. Dish Tv India Ltd
Stock price- Rs 18.90
6. Morepen Laboratories Ltd
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Stock price- Rs 29.40
7. Yes Bank Ltd
Stock price- Rs 17.60
8. GMR Power and Urban Infra Ltd
Stock price- Rs 20.20
9. Jaiprakash Power Ventures Ltd
Stock price- Rs 6.05
10. Mangalam Industrial Finance Ltd
Stock price-Rs 2.98
11.Shah Metacorp
Stock price-Rs 3.15
12.IL & FS Investment Managers Ltd
Stock price-Rs 9.05
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13. Reliance Power
Stock price-Rs 15.90
14.Suzlon energy
Stock price-Rs 19.90
