These penny stocks are at least 30% below their 52-week highs. Are they worth watching?
Then came a wave of tariff news from US President Donald Trump and rising geopolitical tensions.
Although the markets have bounced back since April, not every stock has joined the rally.
Several penny stocks are still struggling to recover.
In this article, we look at three beaten-down penny stocks trading 30% below their 52-week highs.
#1 Tara Chand Infralogistic Solutions
The company provides cargo handling, logistic services, equipment hiring and infrastructure project services. It has three operating segments – transport & handling services, equipment rental and infra work services, and steel processing & distribution.
It’s involved in key metro projects in India, largely in tier-1 and tier-2 cities, with a fleet of hydraulic piling rigs, heavy lifting capacity cranes, and concrete construction machinery.
It offers its fleet of equipment across sectors, such as power, oil and gas, steel, cement, renewable energy, and so on.
As of 11 July the stock is down 32% from its 52-week high of ₹104.8 on 21 August 2024.
While the company has posted solid year-on-year growth, its quarterly performance has been inconsistent.
In the December 2024 quarter, revenue rose to ₹64.4 crore from ₹44.4 crore a year ago. Net profit improved to ₹5.2 crore from ₹3.4 crore but declined from ₹7.2 crore in September 2024.
The company has seen a gradual fall in promoter shareholding. From 74.71% in September 2022, their stake dropped to 69.6% by December 2024 before inching up to 70.67% in March 2025.
The company has pursued an investment plan of ₹160 crore to strengthen its crane fleet, with special attention to the heavy equipment section. It aims to add 12–15 high-tonnage cranes.
#2 Premier Polyfilm
The company manufactures vinyl flooring, polyvinyl chloride (PVC) sheeting and artificial leather cloth, used for a variety of industrial and consumer applications. Its products include a range of PVC flooring, PVC leather, PVC film & sheeting, vinyl wallpaper, swimming pool liners, and aqua lining PVC geomembrane.
As of 11 July, the stock has declined 37% from its 52-week high of ₹85.6 on 3 January 2025.
While the company’s sales grew 5.96% yoy to ₹82.79 crore, net profit dropped 16.7% yoy to ₹5.58 crore from ₹6.7 crore in the same quarter last year. Investor sentiment also took a hit after Sebi fined the company ₹3 lakh in December 2024 for lapses related to related-party transactions carried out between April 2022 and May 2023 without prior approvals.
The company said it had not initially considered the entities as related parties under the Companies Act 2013, and claimed to have rectified the oversight after the statutory auditor flagged it.
#3 TPL PLastech
The company manufactures polymer products for industrial packaging. Its products include narrow mouth drums, and narrow mouth and wide mouth carboys.
As of 11 July, TPL Plastech stock is down 42% from its 52-week high of ₹136 on 1 August 2024.
One of the possible reasons for the stock’s decline is selling by foreign institutional investors (FIIs) over the past two quarters. FII holdings dropped from 0.26% in September 2024 to just 0.03% in December 2024 and 0% in the March 2025 quarter.
Conclusion
Beaten-down penny stocks may seem appealing because of their low prices, but carry significant risks. Many of these companies struggle with weak financials, poor corporate governance, low liquidity, and lack of transparency.
Price swings can be extreme and exiting a position isn’t always easy. It’s important for investors to be aware that low price alone doesn’t make a stock a good buy. Careful evaluation and a clear understanding of the risks involved are essential before considering any investment, especially in this segment.
Investors should evaluate a company’s fundamentals, corporate governance and valuation before making an investment decision.
Happy investing!
Disclaimer: This article is for information purposes only. It is not a stock recommendation and should not be treated as such.
This article is syndicated from Equitymaster.com
