Low PE & high ROE penny stock under Rs 55: This micro-cap human resource services company bags new orders worth Rs 15,06,614 from HCL Technologies Ltd
The shares of the company have a PE of 17.6x, an ROE of 24 per cent and an ROCE of 32 per cent.
ITCONS E-Solutions Ltd. has secured two new orders from HCL Technologies Ltd., with a total value of Rs 15,06,614. The first order, worth Rs 9,16,614, involves providing on-call support services to 1700+ locations of HCL's client, Airtel. This is an ongoing contract, and new work orders will be issued once the current purchase order value is exhausted.
The second order, valued at Rs 5,90,000, entails deploying 11 employees to provide on-site support services at Airtel's mend/data center locations. Similar to the first order, this is an ongoing contract with new work orders expected to follow after the current PO is fulfilled. Both orders were awarded by a domestic entity (HCL Technologies) for providing domestic support services.
Founded in 2007, ITCONS E-Solutions Ltd has carved a niche in India's human resource landscape. Headquartered in New Delhi, they serve both public and private organizations across diverse industries like IT, FMCG, and food. Their core strength lies in providing a comprehensive suite of HR solutions. This includes permanent and temporary staffing, recruitment process outsourcing, payroll services, and even managed IT services. ITCONS boasts a team of over 800, leveraging their expertise to offer specialised services in various segments, helping businesses find the right talent and streamline their HR processes.
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According to the financials, ITCONS E-Solutions has a market cap of Rs 25 crore. The company reported positive numbers in its half-yearly results (H1FY23) and annual results (FY23). Additionally, the company has reduced its debt and is almost debt-free. The stock is up by 38 per cent from its 52-week low of Rs 37 per share. The shares of the company have a PE of 17.6x, an ROE of 24 per cent and an ROCE of 32 per cent.
Disclaimer: The article is for informational purposes only and not investment advice.
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