Top 10 Micro Cap companies that are holding by Mutual Fund companies
What are the Micro Cap Stocks or Companies ?
The companies or stocks with market cap of less tahn Rs 3500 cr are considered as micro cap stocks. here in these micro cap stocks there will be huge risk reward ratio. so before investing into any micro cap stock you should analyse the business first, so that you will get some conviction about the company, then only you can invest into the micro cap stock. There will be some volatility in micro caps, you should be ready to face the volatility.
Over the one and half year the micro cap stocks has been surged a lot by not considering quality and stability of the stocks. as retail participation is high and during the pandemic everybody invested into these small cap stocks as their price is low. But you should analyse the business before investing into any stock whether it’s small, mid or large cap.
Today we are going to discuss the top 10 micro cap companies that were holding by Mutual Fund companies.
1. Ashoka Buildcon
Ashoka buildcon ltd is currently engaged in the business of construction of infrastructure facilities and also sells ready mix concrete. the company’s market cap is Rs 2835 cr. the stock is currently trading at Rs 101. If you look at return ratios of the company based on last three years average the ROE is 33.4%, and the ROCE is 20.4%. and the debt to equity ratio is 10% which is highet as it is a construction compnay, but you should keep focus and track it if you invested into this stock. here are the details of mutual fund compnanies that are holdiing this company.
UTI Small Cap 7.0cr worth of 28.2 cr
HDFC Housing Opp 3.2% worth of 52.9 cr
HSBC Infra equity 3% worth of 3.3 cr
LIC MF Infra 3% worth of 2.3 cr
ITI Long term equity 2.3% worth of 2.3 cr
HDFC Infrastructure 2.3% worth of 13.3 cr
Franklin India Opportunities 1.7% worth of 12,6 cr
Aditya Birla SL Infrastructure 1.7% worth of 9.2 cr
HSBC Small cap 1.4% worth of 3 cr
LIC MF Flexi cap 1.3% worth of 5 cr
2. DCB Bank Ltd
DCB Bank Ltd is a micro cap company as it’s market cap is 2917 cr and stock is currently trading at Rs 94.. If you look at company’s return ratios of the company based on last three years average the ROE is 10.2% and the ROCE is 7.43%. Debt to Equity ratio is 9.20% which very high. before investing into this stock you should keep track the debt and stability of the company. here are the top mutual funds holding this company in their portfolio.
ITI small cap 8.2% worth of 33.2 cr
ITI Long term equity 5.8% worth of 5.9 cr
ITI Multi cap 4.4% worth of 12.7 cr
LIC MF Banking and Financial 1.8% worth of 1.1 cr
Nippon India Retirement wealth 1.7% worth of 39.6 cr
Invesco India Financial services 1.6% worth of 6 cr
Franklin India Smaller cos 1.3% worth of 91.7 cr
DSP Small Cap 1.2% worth of 98 cr
IDBI Banking and Financial 1.2% worth of 1.2 cr
3. Techno Electric and Engineering company ltd
This company is India’s one of most important Power infrastructure company. this stock’s market cap is Rs 3120 cr. currently trading at RS 284. If you look at company return ratios based on last three years average ROE is 13% and ROCE is 17% and this company is almost debt free company. here are mutual funds holding this company in their portfolio.
Kotak small cap 1.6% worth of 93 cr
IDBI small cap 1.5% worth of 1.9 cr
Union small cap 1.3% worth of 7 cr
L&T Infrastructure 1.2% worth of 15.6 cr
UTI Small cap 1.2% worth of 20 cr
Kotak Equity Hybrid 1.2 worth of 22 cr
SBI Small Cap 1% worth of 100 cr
DSP small cap 1% worth of 81 cr
4. Greenply Industries Ltd
Greenply Industries Ltd is one of the India’s leading plywood manufacturer with market share of 26% from organised market. The company’s market cap is Rs 2144 cr and stock currently trading at Rs 175. If you look at the return ratios of the company based on three years average, ROE is 15.4%, ROCE is 16.4% and the debt to equity ratio is 0.4% which is negligible. here the mutual funds holding this company in their portfolio.
Tata Small Cap 4.4% worth of 67.7 cr
SBI consumption Opp 2.5% worth of 19.7 cr
Canara Robecco small cap 1.7% worth 25.6 cr
Mirae Asset Great consumer 1.5% worth of 22.7 cr
Tata Young Citizen fund 1.5% worth of 4 cr
IDBI small cap 1.5% worth of 1.9
HDFC dividend yield 0.8% worth of 21.2 cr
5. Ahluwalia contracts India Ltd
Ahluwalia Contracts India Ltd is engaged in engineering and contract construction, delivering infrastructure and buildings, projects for it’s clients in India. This company builds and hand over to the clients like residential, commercial, institutional, corporate offices, power plants, hospitals, hotels, IT parks, metro stations and many more. this compnay market cap is Rs 2597 cr, and the stock currently trading at 388. If you look at company’s return ratios based on last three years average, ROE is 11.3%, ROCE is 19.1% and the company is almost debt free ast it’s a construction company, we can see it as positive. here are the list of the mutual funds holding this stock in heir portfolio.
Canara Robecco Infrastructure 2.9% worth of 4.6 cr
IDFC Infrastructure 2.5% worth of 16.5 cr
SBI Infrastructure 2.2% worth of 15.5 cr
Axis Small Cap 2.1% worth of 152.1 cr
Franklin India Smaller cos 1.7% worth of 119.6
Top 10 Micro Cap Stocks, holding by mutual funds :
6. Gateway Distriparks Ltd
Gateway Distriparks Ltd is engaged in the business of inter model container logistics. The company’s principal business is to operate container freight stations. This company’s market cap is Rs 3259 cr. and stock is currently trading at Rs 262. If you look at company’s return ratios, based on last three years average, ROE is 7.36%, ROCE is 8.26% and company’s debt to equity ratio is 0.41%. Here is the list of mutual funds that are holding this company in their portfolio.
ICICI Pru small cap 2.0% worth of 58.5 cr
ICICI Pru dividend yield 1.8% worth of 8.1 cr
IDFC Infrastructure 1.7% worth of 11.1 cr
Mirae Asset Emerging Bluechip 0.8% worth of 165.2 cr
ICICI value discovery 0.7% worth of 157.4 cr
7. Repco Home Finance Ltd
Repco Home Finance Ltd is engaged in the business of Housing Finance. This company’s market cap is 1939 cr and stoch is currently trading at Rs 310. If you look at the company’s return ratios based on the last three years ROE is 16.6%, ROCE is 10.3% and the debt to equity ratios is 4.83%. Here are the mutual funds thar are holding this company in their portfolio.
ABSLI Banking and Fin Serv 3.2% worth of 69.2 cr
ABSLI Intl. Equity 1.4% worth of 1.5 cr
ABSLI Small cap 1.1% worth of 32.9 cr
HDFC Infrastructure 1.2% worth of 6.8 cr
8. VRL Logistics Ltd
VRL Logistics Ltd is engaged in the business of providing logistics services in the domestic level to transport goods withi in the country. This company’s market cap is Rs 3060 cr. and the stock is currently trading at Rs 344. If you look at company’s return ratios based on the last three years ROE is 12.4%, ROCE is 14.7% and the debt to equity ratio is 0.71%. Here are the mutual funds that are holding this company in their portfolio.
Canara Rob Small cap 2.0% worth of 30.2 cr
IDFC sterling value 1.9% worth of 74 cr
UTI transportation 1.7% worth of 23.3 cr
Nippon India Multi cap 1.3% worth of 142.8 cr
9. GE power India Ltd
GE Power India Ltd has strong capabilities in engineering manufacturing, , project management and supply of products and solutions for infrastructure. This compan’s market cap is Rs 2139 cr and the stock is currently trading at Rs 318. If you look at the company’s return ratios based on last three years average the ROE is 10.3%, ROCE is 23.5% and debt to equity ratio is 0.47%. Here are the mutual funds holding this company in their portfolio.
Nippon India Power and Infra 2.2% worth of 35 cr
UTI MNC 0.6% worth of 16.3 cr
10. Subros Ltd
Subros Ltd majorly engaged in the business of manufacturing and supplying of Auto Air conditioning products to all the major auto makers in passenger and commercial vehicle space. this company’s market cap is 2027 cr and the stock is currently trading at Rs 310. If you look at the company’s return ratios the stock’s ROE is 8.97%, ROCE is 13.3% and the company is debt free company. Here are the mutual funds that are holding this company in their portfolio.
Principal Midcap 1.7% worth of 7.2 cr
Canara Rob Small cap 1.4% worth of 20.3 cr
DSP Small cap 0.9% worth of 74.5 cr
Conclusion :
We conclude that always understand that there will be huge volatility would be there in micro Cap stocks. So first try to understand the business theme and company growth factors and all everything about the company. One more thing we are reiterating that don’t allocate high positions to the micro Cap stocks. It would be always suggestible to invest in micro Cap stocks systematically not at once.
The only point we should always remember before investing into micro Cap stocks is that we should understand the business theme and company growth factors in depth as there must be high volatility in micro Cap stocks
Disclaimer : All stocks analysis and presentations are purely based on my personal view. So please do your own research before investing into any stock else take an advice from your financial Advisor.