Best Shares Below ₹1 in November 2024 – Based on 5yr CAGR

Stocks, which trade for less than ₹1, often catch investors’ interest due to their low cost. However, these stocks carry significant risks, including high volatility, low liquidity, and potential fraud. While they may offer chances for substantial returns, it’s important to invest carefully. In this article, we’ll explore the top shares below rs 1 NSE as of November 2024, based on 5-year CAGR, and discuss their benefits and risks.

Top 10 Shares Below Rs 1 NSE In November 2024 – 5yr Cagr Basis

Note: The below 1 rs share price list provided here is as of November 07, 2024. The stocks are sorted based on their 5-year CAGR. 

Overview Of Top Shares Below 1 Rupee In November 2024

• Global Capital Markets Ltd

Global Capital Markets Ltd is a registered Non-Banking Financial Company (NBFC) involved in finance and investment activities. The company offers loans and also invests and trades in both equity and futures & options (F&O) in the Indian capital market using the surplus funds from its NBFC operations. Mr. I.C. Baid serves as the Chairman of the company. Global Capital Markets share price has shown strong growth, with a CAGR of 214.88% over the last 5 years.

For the quarter ended June 2024, the company’s revenue increased to ₹19.61 crore from ₹2.88 crore in the preceding quarter. 

Key metrics: 

• EPS (Earning Per Share): ₹0.01
• ROE (Return on Equity): 1.26%
• Greencrest Financial Services Ltd

Greencrest Financial Services Ltd, established in 1993, operates in finance and investment, focusing on shares and securities. As a Non-Banking Financial Company (NBFC) registered with the RBI, it does not accept deposits but actively engages in financing and investing. The company trades and invests in both equity and futures & options (F&O), along with the commodities market. Greencrest Financial Services share price has given a CAGR of 79.43% over the last 5 years.

For the quarter ended June 2024, the company’s revenue increased to ₹21.47 crore from ₹12.71 crore in the preceding quarter. 

Key metrics: 

• EPS: ₹0.08
• ROE: 5.44%
• Sawaca Business Machines Ltd

Founded in 1994, Sawaca Business Machines Ltd is an Ahmedabad-based company that sells a range of chemical products and scrap materials. The company is involved in trading and exporting machinery, as well as dealing locally in metal scrap and cotton bales.  Sawaca Business Machines share price has given a CAGR of 75.38% over the last 5 years.

For the quarter ended June 2024, the company’s revenue increased to ₹17.05 crore from ₹6.03 crore in the preceding quarter. 

Key metrics: 

• EPS: ₹0.01
• ROE: 5.43%
• NCL Research and Financial Services Ltd

NCL Research and Financial Services Ltd is a Non-Banking Financial Company (NBFC) that does not accept deposits. It primarily provides financial services to Micro, Small, and Medium Enterprises (MSMEs), small and medium-sized businesses, and both corporate and non-corporate clients. The company offers secured and unsecured loans, tailored to the risk profiles of its clients. NCL Research and Financial Services share price has given a CAGR of 74.54% over the last 5 years.

The company’s total income rose to ₹1,068.805 lakh in FY 2024, up from ₹390.549 lakh in FY 2023. Its profit also grew, reaching ₹161.066 lakh in FY 2024 compared to ₹60.066 lakh in FY 2023.

Key metrics: 

• ROCE: 1.77%
• ROE: 1.42%
• MPS Infotecnics Ltd

Founded in 1989, MPS Infotecnics Ltd operates in the IT and telecommunications sectors. The company provides computer hardware, peripherals, and systems. MPS Infotecnics share price has given a CAGR of 47.58% over the last 5 years.

For the quarter ended June 2024, the company’s revenue increased to ₹0.12 crore from ₹0.11 crore in the preceding quarter. 

Key metrics: 

• EPS: -0.01%
• ROE: -0.84%

What Are Shares Below ₹1?

Shares trading below ₹1 belong to smaller, less established companies and are typically very low-priced. Because of this, they can be highly volatile and often attract investors who want to start investing with a small amount.

Risks Of Investing In Below 1 Rs Share

• High Volatility: These shares can experience large price swings, leading to a high risk of loss.
• Low Liquidity: Trading volumes for such shares are often low, which can make it difficult to buy or sell without affecting the price.
• Risk of Fraud: Their low price and limited regulation make these shares vulnerable to scams and manipulation.
• Limited Information: Companies with very low-priced shares may not provide detailed financial reports, making it harder to judge their true value.

Things to Know Before Investing or Trading in Shares Below ₹1

While shares below ₹1 may seem attractive due to their low prices, this also increases the risk of scams or large losses. In India, there have been cases where people received unsolicited tips to invest in certain low-priced shares that later collapsed.

Before investing in these shares, it’s essential to research carefully. Check the company’s financial health, the reputation of its management, and its business potential. Avoid shares that lack clear information or are surrounded by hype.

Conclusion

Shares below ₹1 can be appealing because of their low price, but they come with considerable risks like volatility, low liquidity, and potential fraud. It’s vital to understand these risks thoroughly and consult a financial advisor before making an investment.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.