The provided text offers insights into the appeal of Public Sector Undertakings (PSUs) in India for investors, particularly those seeking stability and lower risk. It then introduces the Piotroski Score as a valuable tool for identifying strong companies.The provided text offers insights into the appeal of Public Sector Undertakings (PSUs) in India for investors, particularly those seeking stability and lower risk. It then introduces the Piotroski Score as a valuable tool for identifying strong companies. The article proceeds to highlight five government companies with high Piotroski scores: 1. Bharat Electronics (BEL): Engaged in the aerospace and defense sector, BEL has experienced significant revenue and profit growth, leading to a multibagger return of 156% in one year. 2. Rail Vikas Nigam (RVNL): A central PSU involved in railway infrastructure projects, RVNL has achieved a multibagger return of 239% over the past year. 3. Hindustan Aeronautics (HAL): The leading defense equipment manufacturer in India, HAL has delivered a multibagger return of 183% and boasts a strong order book. 4. Coal India: A Maharatna PSU responsible for coal mining and production in India, Coal India has generated a multibagger return of 108%. 5. Indian Railway Finance Corporation (IRFC): A dedicated financing arm of Indian Railways, IRFC has achieved an impressive multibagger return of 433%. The article concludes with a disclaimer emphasizing that the opinions expressed by experts are not those of the website and that investors should exercise caution and consult with an investment advisor before making any investment decisions.
Investors prefer Public Sector Undertakings (PSUs) in India due to their stability and government support, which reduces the risk of default. PSUs offer a mix of safety, regular income and growth potential, making them attractive to investors looking for stable returns and lower risk.
The Piotroski Score is a discrete score that ranges from zero to nine and reflects nine different criteria used to determine the strength of a company. It is used to determine the best value stocks, with nine being the best and zero being the worst.
Below you will find a number of government companies with a high Piotroski score.
Note: If you want to learn Candlesticks and Chart Trading from scratch, here is the best book available on Amazon! Buy the book now!
Bharat electronics
Bharat Electronics Limited (BEL) is a Navratna-based central government undertaking engaged in the aerospace and defense sector. It mainly produces advanced electronic products for ground and space applications.
With a market capitalization of Rs. 2,23,825 Crores, the shares of Bharat Electronics Limited closed at Rs. 306.20 per share, an increase of 0.56 percent over the previous day’s closing price of Rs. 304.50.
Bharat Electronics Limited has achieved a multibagger return of 156 percent in one year and a high Piotroski score of 8.
Revenue from operations grew by 34.98 percent from Rs. 6,344.65 Crores in Q4FY23 to Rs. 8,564.08 Crores in Q4FY24, accompanied by a profit of Rs. 1,366.38 Crores to Rs. 1,785.66 Crores.
Track Vikas Nigam
Rail Vikas Nigam Limited is a central public sector undertaking with Navratna status. It is engaged in implementing different types of railway infrastructure projects such as doubling, gauge conversion, new lines, electrification of railways, major bridges, etc.
With a market capitalization of Rs. 86,872 Crores, shares of Rail Vikas Nigam Limited closed at Rs. 416.65 per share, up 0.66 percent from the previous day’s closing price of Rs. 413.90.
Rail Vikas Nigam Limited has achieved a multi-bagger return of 239 percent in one year and has a high Piotroski Score of 8.
Revenue from operating activities grew by 17.12 percent from Rs. 5,721.25 Crores in Q4FY23 to Rs. 6,700.69 Crores in Q4FY24, accompanied by a profit of Rs. 345.28 Crores to Rs. 433.32 Crores.
Hindustan Aviation
Hindustan Aeronautics Limited (HAL) is the leading defense equipment manufacturer in the aerospace segment of the Government of India. The company designs, develops, manufactures, maintains and upgrades aircraft, helicopters and critical aerospace components and accessories.
With a market capitalization of Rs. 3,51,979 Crores, shares of Hindustan Aeronautics Limited closed at Rs. 5,263.05 per share, down 0.37 percent from the previous day’s closing price of Rs. 5,282.65.
Hindustan Aeronautics Limited has achieved a multibagger return of 183 percent in one year and a healthy Piotroski score of 7.
Hindustan Aeronautics has reported a strong order book of Rs 94,000 crore and a net profit margin of 23.52 percent.
Revenue from operations grew 18.2 percent from Rs. 12,494 Crores in Q4FY23 to Rs. 14,768 Crores in Q4FY24, accompanied by a profit of Rs. 2,831.19 Crores to Rs. 4,308.68 Crores.
Coal India
Coal India Limited is a Central Public Sector Undertaking of Maharatna, principally engaged in mining and production of coal, and also operates coal washing plants. It accounts for over 80 percent of the domestic coal production.
With a market capitalization of Rs. 2,91,558 Crores, shares of Coal India Limited closed at Rs. 473.10 per share, up 1.26 percent from the previous day’s closing price of Rs. 467.20.
Coal India Limited has achieved a multibagger return of 108 percent and a healthy Piotroski score of 7 in a year.
Revenue from operations declined 2.5 percent from Rs. 35,161 Crores in Q4FY23 to Rs. 34,263 Crores in Q4FY24, accompanied by a profit of Rs. 5,527.62 Crores to Rs. 8,640.45 crores.
Indian Railway Finance Company
Indian Railway Finance Corporation is a dedicated financing arm of the Indian Railways for mobilizing funds from both domestic and foreign capital markets to support the infrastructure development of Indian Railways, to finance the acquisition/creation of assets which are subsequently leased out to the Indian Railways on a finance lease.
With a market capitalization of Rs. 2,27,065 Crores the shares of Indian Railway Finance Corporation Limited closed at Rs. 173.75 per share, an increase of 0.32 percent over the previous day’s closing price of Rs. 173.20.
Indian Railway Finance Corporation has achieved a multi-bagger return of 433 percent in a year and has a healthy Piotroski score of 7.
Revenue from operations grew 3.8 percent from Rs. 6,236.49 Crores in Q4FY23 to Rs. 6,473.56 Crores in Q4FY24, accompanied by a profit of Rs. 1,327.71 Crores to Rs. 1,717.32 Crores.
Written by: Bharath KS
Disclaimer
The opinions and investment tips expressed by investment experts/brokers/rating agencies on tradebrains.in are their own and not those of the website or its management. Investing in stocks carries a risk of financial loss. Therefore, investors should exercise caution while investing or trading in stocks. Dailyraven Technologies or the author will not be liable for any loss arising from the decision based on this article. Consult your investment advisor before investing.
