5 Penny Stocks Priced Below Rs.10 Delivering Multibagger Returns In Just 1-Month; 1-Yr Return Upto 1411%

Picking penny stocks that can yield handsome return over a period of time is not everyone's cup of tea. Nevertheless, the bull run running for some 18-19 months has helped some of these counters to even rally sharply in up to 4 digits. So, below are listed few penny stocks with a price below Rs. 10 that have had a spectacular run in last 1-month and have indeed doubled investors' money.

1. Samtex Fashions:

This readymade apparels firm listed on the BSE in a month's time has given multibagger returns to the tune of 154% considering the price of Rs. 1.51 apiece on October 29, 2021. In trade on November 30, 2021, even in a subdued market, the scrip hit upper circuit limit and settled at 52-week high price of Rs. 3.83 per share. Samtex Fashions last commands a market cap of Rs. 28 crore. The scrip's YTD return and 1-year return are 361% and 681%, respectively.

Not only this penny scrip from the textile space but many counters from the space have been seen gaining traction during the November month. Probably, government's PLI (production linked incentive) scheme has come as a help for the sector.

Samtex Fashions started in the year 1993 in collaboration with Samsung is a premier entity in the world of fashion. The firm is into manufacturing quality garments for exports to major stores in the US and Europe as welll as premium brands in the country. The company is a recognised GoI export house.

2. Pan India Corporation:

The software medium and small sector entity during the review period i.e. last 1 month has produced 108% return inching higher from a price of Rs. 1.38 as on October 29 to currently at Rs. 2.87. The scrip's 1-year and YTD are still more fascinating at 1411% and 744%, respectively.

The company incorporated in 1984 under the name Fairdeal Leasing is primarily engaged in buying, selling, transferring, hypotheticating, dealing in and disposing securities including shares, stocks debentures, debenture stock, securities, properties of any other entity including securities of local authority, certficates or bonds.

3. Shree Bhawani Paper:

This paper company stock also during the time period has shown resilience and gained by 107 percent from a price of Rs. 2.92 just a month ago to now currently at above Rs. 6 per share on the BSE. The stock's market cap is at Rs. 21 crore. The stock's 1-year return has been at 71 percent.

The company is primarily engaged in manufacturing paper and exports its product line to Middle East, Nepal and other countries. Uncoated paper as well as paper board are the company's product which find application in writing and printing purposes.

 

4. Sharp Investments Ltd.

This finance sector also spurted by a similar degree in one month and provided multibagger return of over 100% of 107.5% in the last 1-month. The scrip closed today at a price of Rs. 2.49 while its market cap stands at Rs. 60 crore. This is a zero debt company. The company's 1-year and YTD return are astounding at 1283% and 858%, respectively.

Sharp Investments is an NBFC firm carrying out the business of extending loan against shares, securities and properties. The firm also offers other loans including personal loans, corporate loans. Beside it also offer trade financing and trading in shares and securities.

Points to note when investing in Penny stocks

The investment into penny stocks entail a high risk nonetheless if one goes by the filters stated as 'SOLID' implying 6 criterions in the selection of penny stocks namely:

1. S-Strong balance sheet or financials
2. O- Owners of the firm are also operators of the firm
3. L-long term viability of company's business
4. I-for income generating
5. D-deep discount in valuations-Experts see penny stocks available at a deep discount of say 20 percent net current assets less total liabilities as a good option.

Penny stock	Sector	Current market price as on November 30, 2021	% gains in the 1 month	% gains in the 1-year time frame
Samtex Fashion	Textile	Rs. 3.83	154.00%	682.00%
Pan India Corporation	Software	Rs. 2.87	108.00%	1411.00%
Shree Bhawani Paper	Paper	Rs. 6.05	107.00%	71.00%
Sharp Investments	Finance	Rs. 2.49	108.00%	1283.00%
Supremex Shine Steels	Steel	Rs. 5.11	158.00%	319.00%
Mangalam Industrial	Finance -General	Rs. 3.74		571.00%

Disclaimer:

We have just collated the list of few penny stocks priced below Rs. 10 that in 1-month's time doubled investors' money and have superb 1-year gains. Nonetheless, the story should not be construed as a recommendation to buy into these penny stocks that are highly risky. 

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