4 Smallcap Investment Stocks to Watch for Future Multibagger Potential: Metro Brands, Tata Elxsi, Kalpataru Projects and Sundram Fasteners
- October 23, 2026
- Posted by: Manan Bisht
- Category: Best Stocks
Metro Brands Rs 854.95. Tata Elxsi Rs 3,846.80. Kalpataru Projects Rs 1,302.80. Sundram Fasteners Rs 1,054.20. Market caps from Rs 23,824 crore to Rs 24,494 crore. Data as of 22 Oct 2026.
Quick Answer
Metro Brands, Tata Elxsi, Kalpataru Projects and Sundram Fasteners are the 4 picks in this investment stocks watchlist, with market caps between Rs 23,824 crore and Rs 24,494 crore. Metro Brands stands out for the largest market cap at Rs 24,494 crore, while Tata Elxsi offers the highest return on equity at 24.73%. PE ratios run from 21.20 to 59.39, so compare each one with its industry PE before investing. All figures are as of 22 October 2026.
Investment stocks to watch for multibagger potential start with a simple filter: size, a clean financial record and earnings that keep growing. Metro Brands, Tata Elxsi, Kalpataru Projects and Sundram Fasteners meet that test, with market caps from Rs 23,824 crore to Rs 24,494 crore and Metro Brands offering the largest market cap at Rs 24,494 crore. Each of these companies has a market capitalisation below Rs 30,000 crore and a return on equity above 12 per cent, a debt-to-equity ratio below 1 and a dividend, and net profit rose in FY26 and in the latest quarter.
This list covers companies with a market capitalisation below Rs 30,000 crore and a return on equity above 12 per cent, a debt-to-equity ratio below 1 and a dividend, rising profit in FY26 and the latest quarter, and complete, verifiable financials, ranked by market capitalisation. Each company has a market cap below Rs 30,000 crore. Investors screening investment stocks usually begin with size and balance sheet strength, and this list follows the same logic. All figures are as of 22 October 2026 and are drawn from NSE and BSE data and company filings.
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What Are Investment Stocks and Why Do They Attract Multibagger Interest?
Investment stocks are shares of smaller companies with decent returns, manageable debt and a regular dividend. The four here cover footwear retail, design engineering, infrastructure construction and auto fasteners.
Manageable debt and a dividend add a layer of comfort to a smaller company. For investment stocks, rising profit adds to the case. Investors researching investment stocks get a fuller picture by reading growth and valuation together. The table below lines up investment stocks on size, growth and valuation, using complete FY26 and latest quarter numbers. Past performance does not guarantee future returns, so use investment stocks as a starting point for your own research.
Investment Stocks at a Glance: Price, Market Cap, PE and ROE
Prices are closing prices as of 22 October 2026. Kalpataru Projects has the lowest PE of the group at 21.20, while Tata Elxsi posts the highest return on equity at 24.73%.
| Stock | CMP (Rs) | Market Cap (Rs Cr) | PE | Industry PE | ROE | Debt to Equity | 52-Week Range (Rs) |
|---|---|---|---|---|---|---|---|
| Metro Brands | 854.95 | 24,494 | 59.39 | 38.47 | 20.63% | 0.79 | 807.00 to 1,250.00 |
| Tata Elxsi | 3,846.80 | 23,957 | 35.75 | 20.69 | 24.73% | 0.05 | 2,996.00 to 5,950.00 |
| Kalpataru Projects International | 1,302.80 | 23,924 | 21.20 | 22.89 | 13.37% | 0.46 | 1,007.10 to 1,490.00 |
| Sundram Fasteners | 1,054.20 | 23,824 | 38.83 | 37.22 | 13.83% | 0.15 | 730.10 to 1,347.20 |
Metro Brands: Return on Equity of 20.63%
Metro Brands sells footwear and accessories through its Metro, Mochi, Walkway and Crocs stores across India. It reported FY26 revenue of Rs 2,967.85 crore, up 14.13% year on year, and net profit of Rs 415.89 crore, up 17.33%. Net profit has compounded at 18.22% a year since FY22, while revenue has grown 20.63% a year. Operating margin was 33.98% in FY26.
In the September 2026 quarter, revenue rose 10.88% to Rs 753.21 crore and net profit grew 12.03% to Rs 77.28 crore. Promoters hold 71.80%, which keeps ownership stable. The stock trades at a PE of 59.39 against an industry PE of 38.47, with a return on equity of 20.63%.
Tata Elxsi: 33.09% Profit CAGR Since FY11
Tata Elxsi provides design and technology services to the automotive, media, communications and healthcare industries. It reported FY15 revenue of Rs 852.75 crore, up 8.31% year on year, and net profit of Rs 102.02 crore, up 41.18%. Net profit has compounded at 33.09% a year since FY11, while revenue has grown 19.39% a year. Operating margin was 21.35% in FY15. The debt-to-equity ratio is 0.05, which keeps interest costs low.
The stock trades at a PE of 35.75 against an industry PE of 20.69, with a return on equity of 24.73%. The dividend yield is 1.95%. In the March 2015 quarter, revenue rose 8.97% to Rs 230.77 crore and net profit grew 36.52% to Rs 29.83 crore.
Kalpataru Projects: Revenue Up 21.76% in FY26
Kalpataru Projects International executes transmission, railway, building and water projects in India and abroad. It reported FY26 revenue of Rs 27,247.93 crore, up 21.76% year on year, and net profit of Rs 1,030.63 crore, up 81.68%. Net profit has compounded at 17.81% a year since FY22, while revenue has grown 16.35% a year. Operating margin was 9.48% in FY26. The debt-to-equity ratio is 0.46.
In the June 2026 quarter, revenue rose 4.81% to Rs 6,485.17 crore and net profit grew 45.85% to Rs 311.53 crore. The stock trades at a PE of 21.20 against an industry PE of 22.89, below the sector average, with a return on equity of 13.37%.
Sundram Fasteners: Profit Compounding at 6.44% a Year
Sundram Fasteners makes high-tensile fasteners, powertrain parts and cold-extruded components for automotive and industrial customers. It reported FY26 revenue of Rs 6,368.25 crore, up 6.43% year on year, and net profit of Rs 592.85 crore, up 9.43%. Net profit has compounded at 6.44% a year since FY22, while revenue has grown 6.55% a year. Operating margin was 16.89% in FY26. The debt-to-equity ratio is 0.15, which keeps interest costs low.
The stock trades at a PE of 38.83 against an industry PE of 37.22, with a return on equity of 13.83%. In the June 2026 quarter, revenue rose 19.43% to Rs 1,854.98 crore and net profit grew 14.03% to Rs 168.69 crore. The share price is up 16.58% over the past year. Foreign investors raised their holding from 10.55% in September 2025 to 11.03% in September 2026.
Investment Stocks: Financial Comparison on Growth and Margins
The table compares scale and growth across these investment stocks. Latest quarter means the most recent reported quarter for each company, and only metrics that are positive for every company are shown.
| Stock | Revenue (Rs Cr) | Net Profit (Rs Cr) | Revenue Growth (YoY) | 4-Year Revenue CAGR | 4-Year Net Profit CAGR | Operating Margin (Latest Quarter) |
|---|---|---|---|---|---|---|
| Metro Brands | 2,967.85 | 415.89 | 14.13% | 20.63% | 18.22% | 30.22% |
| Tata Elxsi | 852.75 | 102.02 | 8.31% | 19.39% | 33.09% | 20.27% |
| Kalpataru Projects | 27,247.93 | 1,030.63 | 21.76% | 16.35% | 17.81% | 9.97% |
| Sundram Fasteners | 6,368.25 | 592.85 | 6.43% | 6.55% | 6.44% | 15.99% |
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Institutional Holding in Metro Brands, Tata Elxsi, Kalpataru Projects and Sundram Fasteners
Institutional holding shows who is backing these investment stocks alongside the promoter. The table uses the latest reported quarter for each. Kalpataru Projects has the deepest institutional backing, with FII and DII together holding 55.61% as of June 2026.
| Stock | Promoter | FII | DII | Public | Quarter |
|---|---|---|---|---|---|
| Metro Brands | 71.80% | 3.73% | 7.68% | 16.79% | June 2026 |
| Tata Elxsi | 43.89% | 8.00% | 9.98% | 38.13% | September 2026 |
| Kalpataru Projects | 33.58% | 10.78% | 44.83% | 10.81% | June 2026 |
| Sundram Fasteners | 46.95% | 11.03% | 22.61% | 19.42% | September 2026 |
Risks to Weigh in Investment Stocks
Being careful with investment stocks means looking at what can slow the story as well as what can speed it up. Four points matter most:
- Past growth may not repeat.
- Share prices can move sharply in either direction.
- Valuation: Tata Elxsi trades at a PE of 35.75 against an industry PE of 20.69, so earnings need to keep growing to support the price.
- Concentration: Holding all 4 names puts the allocation in one sector, so size each position to match your risk appetite.
How to Choose Between Investment Stocks
Picking from investment stocks comes down to four checks, applied in order.
- Check balance sheet strength first, and prefer a debt-to-equity ratio below 1 for non-financial companies.
- Compare each PE with the industry PE (20.69 to 38.47) and ask whether the growth rate justifies any gap.
- Track net profit growth, the operating margin and the return on equity in every quarterly result.
- Stagger entries across quarters and review institutional holding every reporting season.
Download the Univest iOS App or Univest Android App to track Metro Brands, Tata Elxsi, Kalpataru Projects and Sundram Fasteners live prices.
Conclusion
Among investment stocks, Metro Brands stands out for the largest market cap at Rs 24,494 crore, Tata Elxsi for the highest return on equity at 24.73%, Kalpataru Projects for the strongest latest-quarter profit growth at 45.85% and Sundram Fasteners for 6.43% revenue growth in FY26. Which one suits a portfolio depends on how much valuation risk it can carry, so staggering entries and reviewing each quarterly result is a sound habit. Investors comparing investment stocks should rank them on growth, financial strength and the price paid, and anyone who wants personalised guidance can consult a SEBI-registered advisor before acting.
Disclaimer: Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).
Frequently Asked Questions on Investment Stocks to Watch
Which are the best investment stocks to watch for multibagger potential?
Ans. Metro Brands, Tata Elxsi, Kalpataru Projects and Sundram Fasteners are the 4 names this list highlights, with market caps of Rs 24,494 crore, Rs 23,957 crore, Rs 23,924 crore and Rs 23,824 crore respectively. Metro Brands is notable for the largest market cap at Rs 24,494 crore. Tata Elxsi stands out for the highest return on equity at 24.73%. Kalpataru Projects offers the strongest latest-quarter profit growth at 45.85%. Sundram Fasteners brings 6.43% revenue growth in FY26. These are watchlist names for investment stocks, not recommendations, so match each one to your own risk profile and time horizon.
Is Tata Elxsi a good stock for long-term investors?
Ans. Tata Elxsi has a return on equity of 24.73%, a PE of 35.75 against an industry PE of 20.69 and a market cap of Rs 23,957 crore. Net profit has compounded at 33.09% a year since FY11, and FY15 revenue rose 8.31% while March 2015 quarter net profit grew 36.52%. Long-term returns in investment stocks depend on earnings growth and the price paid at entry, so staggering purchases and consulting a SEBI-registered advisor is sensible.
Can Metro Brands become a multibagger from here?
Ans. Metro Brands has a market cap of Rs 24,494 crore. A multibagger outcome in investment stocks requires earnings to keep growing faster than the market for several years. Net profit has compounded at 18.22% a year since FY22, and FY26 revenue rose 14.13%. At a PE of 59.39 against an industry PE of 38.47, valuation should be checked against that growth before investing.
What is the market cap of Metro Brands, Tata Elxsi, Kalpataru Projects and Sundram Fasteners?
Ans. As of 22 October 2026, Metro Brands has a market cap of Rs 24,494 crore, Tata Elxsi has a market cap of Rs 23,957 crore, Kalpataru Projects has a market cap of Rs 23,924 crore and Sundram Fasteners has a market cap of Rs 23,824 crore. All of them qualify as smallcaps. Market cap changes daily with the share price, so check the latest figure on the Univest Screener or on NSE before taking a decision on investment stocks.
What are the risks of investing in investment stocks?
Ans. The main risks are market swings, slower growth than expected and valuations that already reflect good news. Companies with strong balance sheets and steady earnings handle these better. Tata Elxsi trades at a PE of 35.75 against an industry PE of 20.69, so earnings growth needs to hold up.
Why is Tata Elxsi trading at a PE of 35.75?
Ans. Tata Elxsi’s PE of 35.75 compares with an industry PE of 20.69. The market is paying a premium for a return on equity of 24.73%, profit growth of 33.09% a year since FY11 and latest-quarter profit growth of 36.52%, which also means the stock is more sensitive if growth slows. Investors in investment stocks who are comfortable with higher valuation risk may prefer to stagger purchases instead of investing in one go.
How much do institutions hold in Metro Brands, Tata Elxsi, Kalpataru Projects and Sundram Fasteners?
Ans. As of the latest reported quarter, FII and DII together hold 11.41% of Metro Brands (3.73% and 7.68%), 17.98% of Tata Elxsi (8.00% and 9.98%), 55.61% of Kalpataru Projects (10.78% and 44.83%) and 33.64% of Sundram Fasteners (11.03% and 22.61%). Rising institutional holding is a useful signal in investment stocks, though it should be read with earnings trends rather than on its own.
