Best Debt-Free Stocks Under Rs. 100 Analysis & Complete List

Best Debt Free Stocks Under Rs 100 A debt free company is always looked at with a positive outlook as there is less risk of bankruptcy and management looks confident. In this article, we will look into a few debt free stocks under Rs 100 and worth keeping a watch. Please keep reading to know about it. 

Best Debt Free Stocks Under Rs 100 #1: NBCC (India) Ltd.

National Buildings Construction Corporation Limited (NBCC) was established in 1960 as a public sector enterprise to execute civil engineering projects for the state governments,  central government ministries, and public and private sectors.

NBCC has three major segments – project management consultancy, engineering procurement and construction, and real estate. The contribution of each to total revenue is 92%, 6%, and 2% respectively. NBCC has an order book of Rs 45275 Crores approximately as of 31st March 2023.

The company has 20 offices across India and 3 countries. It has executed projects in Libya, Iraq, Yemen, Nepal, etc, and presently has its presence in Mauritius, Maldives, Seychelles & Dubai and exploring new opportunities in Jeddah, Burundi, Zambia etc.

Some of the notable projects by NBCC are – the construction of Indo Maldivian Friendship Faculty of Hospitality & Tourism Studies in Male-Republic of Maldives, New Supreme Court Building-Mauritius, All India Institute of Ayurveda-Goa, National Insurance Bhawan-Kolkata, AIIMS Bilaspur-Himachal Pradesh etc.

The company’s financial statements reported a 14% increase in revenue from operations, from Rs.7691 Cr. in FY22 to Rs.8754 Cr. in FY23. The net profit stood at Rs.278 Cr. increasing 17% from Rs.238 Cr. in FY22. The three-year average RoE and RoCE stand at 14.82% and 30.82% respectively. The 3-year net profit margin stood at 3.24%. The return ratios indicate efficient utilization of resources. The margins are low.

The promotors of the company hold 61.75%% of the shares and FII holds 3.43% of the shares as of 31st March 2023. This percentage has remained constant for the last four years.

Best Debt Free Stocks Under Rs 100 #2: Den Networks Ltd.

Established in 2007, Den Networks is a mass media & entertainment company that provides visual entertainment to its customers through cable TV, over-the-top (OTT) entertainment, and broadband services to 13 million+ households in India across 13 key states and 500+ cities.

Den Networks has the largest subscriber base amongst all cable players in India with a leading presence in Delhi, Uttar Pradesh, Karnataka, Maharashtra, Gujarat, Rajasthan, Haryana, Kerala, West Bengal, Jharkhand, Bihar, Madhya Pradesh, and Uttarakhand and a strong foothold in the strategic & economically important Hindi Speaking Markets (HSM).

The revenue from operation was contributed 53% from subscriptions, 36% from placement, and 11% from others. The company’s financial statements reported a 32% increase in revenue from operations, from Rs. 1226 Cr in FY22 to Rs.1130 Cr. in FY23. The net profit stood at Rs.236 Cr. increasing 11% from Rs.171 Cr. in FY22. 

The three-year average RoE and RoCE stand at 6.98% and 5.94% respectively. The ratio is low and needs to be improved. The 3-year net profit margin stood at 16.63%. The promotors of the company hold 74.90% of the shares and FII holds 1.08% of the shares as of 31st March 2023. The promotor’s holding has remained stable for the last three years. 

Best Debt Free Stocks Under Rs 100 #3: Alembic Ltd.

Alembic Limited was established in 1907 and is engaged in the business of pharmaceuticals, real estate, and power generation. The company produces bulk drugs, mainly generic APIs but considers this business barely sustainable. In the real estate business company continues to focus on leasing commercial spaces and strengthening its rental leasing portfolio gradually.

The API & Real Estate segment contributed 17% and 83% respectively to the revenue from operations. Alembic has one API manufacturing plant in Vadodara, Windmills at village Ukharla in Gujurat, and a few construction projects in Chhani, Vadodara, and Gorwa.

The company’s financial statements reported a 63% increase in revenue from operations, from Rs. 78.22 Cr in FY22 to Rs.127.24 Cr. in FY23. The net profit stood at Rs.80.62 Cr. decreasing 6% from Rs.86.19 Cr. in FY22. The profits have decreased mainly due to an increase in expenses.

The three-year average RoE and RoCE stand at 2.62% and 2.95% respectively. The 3-year net profit margin stood at only 64.13%. The NPM is significantly high due to other income.The promotors of the company hold 70.88% of the shares and FII holds 0.70% of the shares as of 31st March 2023. The promotor’s holding remained constant for the last 3 years and increased compared to FY20.

Best Debt Free Stocks Under Rs 100 #4: Jullundur Motor Agency Ltd.

Established in 1927, Jullundur Motor Agency is in the business of auto spare parts across India. The company deals in products such as brakes, bearings, clutches, cooling systems, engine components, suspension, power steering, oil & lubricants, filters, etc. 

Most of the Company’s suppliers are original equipment manufacturers (OEMs) to vehicle manufacturers. Jullundur has 7 regional offices with a network of 88 branches and 75000 dealers across India. 

The Company is in the process of adding more products/lines to the product mix and focusing to open of new outlets/ sales units in potential tier-II & tier-III cities/towns across the country to cater to the areas that have remained uncovered so far.

The company’s financial statements reported a 15% increase in revenue from operations, increasing from Rs.437.82 Cr in FY22 to Rs.503.35 Cr. in FY23. The net profit stood at Rs.27.40 Cr. increasing 12% from Rs.24.51 Cr. in FY22. 

The three-year average RoE and RoCE stand at 14.05% and 18.96% respectively indicating effective use of utilization. The 3-year net profit margin stood at only 5.67%. The NPM is decreasing due to increased competition.

The promotors of the company hold 51% of the shares and FII holds 0.05% of the shares as of 31st March 2023. The promotor’s holding increased by 0.28% compared to FY22. 

Best Debt Free Stocks Under Rs 100 #5: Rubfila International Ltd

Established in 1993  by Rubfil.Sdn.Bhd, Malaysia, Rubfila International Ltd ( RIL) is the largest manufacturer and exporter of extruded Round Latex Rubber threads in India. It is currently part of the Finquest Group, Mumbai. Rubfila has two state–of–the–art plants located at Kanjikode, Palakkad in Kerala, and Swaminathapuram, Dindigul district, Tamil Nadu. It produces both talc-coated rubber thread (TCR) as well as silicon-coated rubber thread (SCR) with a total installed capacity of 27500 Tons per annum (TPA). 

Based on the geographical segment, India contributed 73% to total revenue and 27% was from the rest of the world for FY23. Based on the segment, 81% was contributed from latex rubber thread, 18.8% was from paper tissue and 0.2% was from corrugated carton boxes.

The company’s financial statements reported a 4% decrease in revenue from operations, decreasing from Rs. 476.75 Cr in FY22 to Rs.457.08 Cr. in FY23. The net profit stood at Rs.25.95 Cr. decreasing 42% from Rs.44.64 Cr. in FY22. Due to a lack of orders Rubfila had to scale down production during the second and third quarters of the year.

The three-year average RoE and RoCE stand at 16.81% and 22.72% respectively. The 3-year net profit margin stood at only 8.46%. These return ratios indicate an efficient utilization of resources though NPM has been decreasing and is expected to be under pressure in the medium term. The promotors of the company hold 57.16% of the shares and FII holds 0% of the shares as of 31st March 2023. The promotor’s holding decreased by 5.49% compared to FY21 but increased by 0.08% as of September 2023.

Other Debt Free Stocks under Rs 100

Conclusion

As we conclude this article, “Best Debt Free Stocks Under Rs 100” we have learned about their businesses and fundamentals. As these are micro-cap stocks, they are considered to be risky investments. Detailed analysis is required to understand the risk & return characteristics and suitability before investing. Do comment your thoughts in the section below.

Written by Ashish Agarwal

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