7 Penny Stocks With Strong ROE and ROCE to Look Out For
With Q2 earnings season in full swing, most of the stocks in focus this week, including Hindustan Zinc, UltraTech Cement, Bajaj Finance and Eternal, trade well above ₹100. For investors who prefer the lower-priced end of the market, return ratios are a smarter filter than price alone. A company that earns high returns on its equity and capital is at least showing efficiency on paper.
ROE measures the profit a company generates on shareholders’ equity. ROCE measures the profit earned on all capital employed, both debt and equity. Both above 20% is generally read as a sign of good capital use.
1. Baroda Extrusion
Shares of Baroda Extrusion were trading at Rs. 8.66, down 1.70% from previous close of Rs. 8.81. The stock opened at Rs. 9.25 and reached an intraday high of Rs. 9.25 and low of Rs. 8.62. The company currently has a market capitalization of Rs. 168 crores.
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Baroda Extrusion shows an ROE of 281% and an ROCE of 56.2%. The company makes copper extrusion products and finished copper goods, and also does job work and trading in ferrous and non-ferrous metals. It describes itself as running India’s first copper extrusion plant.
2. Magnus Steel & Infra
Shares of Magnus Steel & Infra were trading at Rs. 29.25, up 4.17% from previous close of Rs. 28.08. The stock opened at Rs. 29.48 and reached an intraday high of Rs. 29.48 and low of Rs. 26.71. The company currently has a market capitalization of Rs. 9.64 crores.
Magnus Steel & Infra shows an ROE of 465% and an ROCE of 171%. The Nashik-based company trades in iron and steel and engineering products in India and overseas. Formerly Magnus Retail, it was renamed in 2025 after moving away from its earlier IT services business.
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3. Gravity (India)
Shares of Gravity (India) were trading at Rs. 13.54, down 3.01% from previous close of Rs. 13.96. The stock opened at Rs. 14.24 and reached an intraday high of Rs. 14.83 and low of Rs. 13.00. The company currently has a market capitalization of nearly Rs. 104 crores.
Gravity (India) shows an ROE of 151% and an ROCE of 159%. The company was incorporated in 1987 and is known for synthetic fabrics, shirting and furnishing fabrics, produced at its plant in Dadra and Nagar Haveli. Some recent profiles also list commodity trading and infrastructure activities.
4. GenXAI Analytics
Shares of GenXAI Analytics were trading at Rs. 77.00, down 1.85% from previous close of Rs. 78.45. The stock opened at Rs. 78.00 and reached an intraday high of Rs. 80.50 and low of Rs. 77.00. The company currently has a market capitalization of Rs. 144 crores.
GenXAI shows a 3-year ROE of 60.60% and an ROCE of 57.90%. GenXAI Analytics is a technology-driven provider of enterprise performance management, analytics, ERP and AI solutions. Incorporated in 2007, it serves consumer goods, manufacturing, retail, technology, telecom and BFSI clients, and listed on NSE SME in June 2026.
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5. TAKE
Shares of TAKE Ltd. were trading at Rs. 11.24, down 2.26% from previous close of Rs. 11.50. The stock opened at Rs. 11.88 and reached an intraday high of Rs. 11.88 and low of Rs. 10.97. The company currently has a market capitalization of Rs. 167 crores.
TAKE Ltd. shows an ROE of 16.5% and an ROCE of 18.5%. TAKE is a Chennai-based, technology-driven clinical research organization serving pharma, biotech and medical device companies. It was renamed from TAKE Solutions to TAKE Limited in June 2026. Its services include clinical trials, generics support, regulatory filings and pharmacovigilance.
6. Himalayan Solar
Shares of Himalayan Solar were trading at Rs. 74.90, down 8.55% from previous close of Rs. 81.90. The stock opened at Rs. 82.00 and reached an intraday high of Rs. 82.00 and low of Rs. 74.90. The company currently has a market capitalization of Rs. 175 crores.
The stock opened near its high and slid through the session, closing near the day’s low, a sign of selling pressure. ROE: 57.20%. ROCE: 45.5%. Himalayan Solar provides integrated turnkey solar energy solutions, covering design, manufacturing, supply, installation and commissioning, with a primary focus on solar water pumping systems. It also offers solar inverter charge systems and solar rooftop power systems. It was incorporated in 2015.
7. Nityas Gems & Jewellery
Shares of Nityas Gems & Jewellery were trading at Rs. 68.79, down 7.96% from previous close of Rs. 74.74. The stock opened at Rs. 76.33 and reached an intraday high of Rs. 76.33 and low of Rs. 61.20. The company currently has a market capitalization of nearly Rs. 397 crores.
Nityas shows an ROE of 54.40% and an ROCE of 42.70% on a consolidated basis. It is a diamond, gems and jewellery company that made its stock market debut on 8 October 2026, and its revenue roughly doubled in FY26. The company was incorporated in April 2022.
