2 Smallcap Stocks To Buy, Dividend Yield Announcement: Sharekhan

Tap to Read ➤ Nifty closed at 15,360.60 points, dipping by 2.11% today. Amid this bearish market trend, due to interest rate hikes and inflationary pressures, brokerage firm Sharekhan recommends these 2 small-cap stocks to buy. Kuntala Sarkar

Va Tech Wabag Va Tech's current market price is Rs. 244, Sharekhan estimated a target price of Rs. 333, for 36.47% return. Its market capitalization (small cap) is Rs. 1,403 crore.

Financial performance Order inflows in FY22 were robust at Rs. 3,648 crore. Order book at Rs. 10,107 crore is around 3.4x its FY22 revenue, providing healthy revenue visibility.

Sharekhan thinks Company focusing on technological projects, backed by multi-lateral funding agencies or central government, providing better margins, timely & better cash flows.

Strides Pharma Sciences Strides' current market price is Rs. 322, Sharekhan estimated a target price of Rs. 450, for 39.75% return. Its market capitalization (small cap) is Rs. 2,652 crore.

Financial performance In Q4, Strides' revenues stood at Rs. 8,699 m, Gross Margins stood at Rs. 4,425 m, Gross Margin quoted at 50.9%, and EBITDA was at Rs. 461 m.

Sharekhan says Company guided for $250mn revenues from US For FY23, translating into a strong growth. The stock is offering a dividend yield of 0.84%.