Several companies with debt-free balance sheets are trading below their 52-week highs. Investors often track such stocks for their strong financial position and efficient use of capital.
Here are five debt-free stocks that have corrected between 23% and 49.5% from their respective 52-week highs.
Marsons Ltd
Marsons Ltd manufactures power and distribution transformers for utilities, infrastructure and industrial customers.
With a market capitalisation of ₹2,015.29 crore, the stock has fallen nearly 49.5% from its 52-week high of ₹231.50 to ₹117.10.
Key metrics
- Debt-to-equity ratio: 0
- ROE: 27.2%
- ROCE: 25.4%
- Decline from 52-week high: 49.5%
Sika Interplant Systems Ltd
Sika Interplant Systems Ltd provides precision manufacturing and systems integration services for the aerospace and defence sectors.
The company has a market capitalisation of ₹1,975.92 crore. Its shares have corrected about 43% from the 52-week high of ₹1,624.95 to ₹932.
Key metrics
- Debt-to-equity ratio: 0
- ROE: 26.1%
- ROCE: 35.2%
- Decline from 52-week high: 43%
RITES Ltd
RITES Ltd, a public sector enterprise under the Ministry of Railways, provides consultancy and engineering services across transport infrastructure projects.
The company has a market capitalisation of ₹10,200.82 crore. The stock is down around 29% from its 52-week high of ₹299.95 and was trading at ₹212.25.
Key metrics
- Debt-to-equity ratio: 0
- ROE: 15.4%
- ROCE: 22%
- Decline from 52-week high: 29%
Force Motors Ltd
Force Motors Ltd manufactures utility vehicles, light commercial vehicles and engines for domestic and overseas markets.
With a market capitalisation of ₹24,470.83 crore, the stock has slipped nearly 29% from its 52-week high of ₹26,485.95 to ₹18,776.20.
Key metrics
- Debt-to-equity ratio: 0
- ROE: 29.2%
- ROCE: 36.1%
- Decline from 52-week high: 29%
Shilchar Technologies Ltd
Shilchar Technologies Ltd manufactures power transformers, transformer cores and related electrical equipment.
The company has a market capitalisation of ₹5,077.16 crore. Its shares are trading about 23% below the 52-week high of ₹5,767, at ₹4,438.
Key metrics
- Debt-to-equity ratio: 0
- ROE: 37.8%
- ROCE: 50.7%
- Decline from 52-week high: 23%
Snapshot
| Company | CMP | Fall From 52-Week High | ROE | ROCE |
|---|---|---|---|---|
| Marsons | ₹117.10 | 49.5% | 27.2% | 25.4% |
| Sika Interplant Systems | ₹932 | 43% | 26.1% | 35.2% |
| RITES | ₹212.25 | 29% | 15.4% | 22.0% |
| Force Motors | ₹18,776.20 | 29% | 29.2% | 36.1% |
| Shilchar Technologies | ₹4,438 | 23% | 37.8% | 50.7% |
TL;DR:
Marsons, Sika Interplant Systems, RITES, Force Motors and Shilchar Technologies are debt-free companies trading 23% to 49.5% below their 52-week highs, while reporting healthy return ratios.
AI summary:
- All five companies have a debt-to-equity ratio of zero.
- Marsons is down nearly 49.5% from its 52-week high.
- Sika Interplant Systems has corrected about 43%.
- Shilchar Technologies reported the highest ROCE at 50.7%.
- Force Motors posted an ROE of 29.2%.
