4 Smallcap Three Year Stocks to Watch for Future Multibagger Potential: Great Eastern Shipping, Elgi Equipments, Avalon Technologies and Stylam Industries
- October 26, 2026
- Posted by: Manan Bisht
- Category: Best Stocks
Great Eastern Shipping Rs 1,496.60. Elgi Equipments Rs 512.85. Avalon Technologies Rs 1,856.60. Stylam Industries Rs 3,105.30. Market caps Rs 5,270 crore to 20,868 crore. As of 23 Oct 2026.
Quick Answer
Great Eastern Shipping, Elgi Equipments, Avalon Technologies and Stylam Industries are the 4 picks in this three year stocks watchlist, with market caps between Rs 5,270 crore and Rs 20,868 crore. Great Eastern Shipping stands out for the fastest profit growth, 47.03% a year since FY22, while Elgi Equipments offers the highest return on equity at 19.28%. PE ratios run from 5.57 to 104.85, so compare each one with its industry PE before investing. All figures are as of 23 October 2026.
Three year stocks to watch for multibagger potential start with a simple filter: size, a clean financial record and earnings that keep growing. Great Eastern Shipping, Elgi Equipments, Avalon Technologies and Stylam Industries meet that test, with market caps from Rs 5,270 crore to Rs 20,868 crore and Great Eastern Shipping offering the fastest profit growth, 47.03% a year since FY22. Each of these companies has a market capitalisation below Rs 30,000 crore and a positive one-year return, a return on equity of at least 15 per cent and latest quarter revenue growth of at least 10 per cent, 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 positive one-year return, a return on equity of at least 15 per cent and latest quarter revenue growth of at least 10 per cent, 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 three year stocks usually begin with size and balance sheet strength, and this list follows the same logic. All figures are as of 23 October 2026 and are drawn from NSE and BSE data and company filings.
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What Are Three Year Stocks and Why Do They Attract Multibagger Interest?
Three year stocks are shares of smaller companies with rising prices, strong returns and fast-growing sales, which suits a medium-term holding of about three years. The four here cover shipping, compressors, electronics manufacturing and laminates.
Three years is enough time for rising sales to show up in profit and price. For three year stocks, both FY26 and the latest quarter showed growth. For three year stocks, checking each result against the latest quarter matters more than any single ratio. The next sections explain what stands out in each of three year stocks, using FY26 and latest quarter data. Prices move daily, so recheck the figures for three year stocks before you decide.
Three Year Stocks at a Glance: Price, Market Cap, PE and ROE
Prices are closing prices as of 23 October 2026. Great Eastern Shipping has the lowest PE of the group at 5.57, while Elgi Equipments posts the highest return on equity at 19.28%.
| Stock | CMP (Rs) | Market Cap (Rs Cr) | PE | Industry PE | ROE | Debt to Equity | 52-Week Range (Rs) |
|---|---|---|---|---|---|---|---|
| The Great Eastern Shipping Company | 1,496.60 | 20,868 | 5.57 | 8.87 | 17.35% | 0.06 | 1,002.55 to 1,798.00 |
| Elgi Equipments | 512.85 | 17,466 | 39.00 | 45.93 | 19.28% | 0.24 | 408.25 to 653.40 |
| Avalon Technologies | 1,856.60 | 14,011 | 104.85 | 45.19 | 15.65% | 0.29 | 777.30 to 2,618.00 |
| Stylam Industries | 3,105.30 | 5,270 | 31.04 | 36.42 | 18.57% | 0.04 | 1,861.00 to 4,150.00 |
Great Eastern Shipping: 47.03% Profit CAGR Since FY22
The Great Eastern Shipping Company owns and operates crude tankers, product tankers and dry bulk carriers and also has an offshore business. It reported FY26 revenue of Rs 6,312.42 crore, up 2.53% year on year, and net profit of Rs 2,942.52 crore, up 25.52%. Net profit has compounded at 47.03% a year since FY22, while revenue has grown 14.53% a year. Operating margin was 66.75% in FY26. The debt-to-equity ratio is 0.06, which keeps interest costs low.
In the June 2026 quarter, revenue rose 71.01% to Rs 2,286.21 crore and net profit grew 159.43% to Rs 1,308.84 crore. The share price has gained 330.69% over five years and 42.23% over the past year. Foreign investors raised their holding from 24.88% in September 2025 to 29.52% in September 2026. The stock trades at a PE of 5.57 against an industry PE of 8.87, below the sector average, with a return on equity of 17.35%. The dividend yield is 2.40%.
Elgi Equipments: 24.61% Profit CAGR Since FY22
Elgi Equipments makes air compressors for industrial customers in India and overseas. It reported FY26 revenue of Rs 4,068.50 crore, up 14.02% year on year, and net profit of Rs 430.20 crore, up 22.84%. Net profit has compounded at 24.61% a year since FY22, while revenue has grown 12.06% a year. Operating margin was 17.53% in FY26. The debt-to-equity ratio is 0.24.
The stock trades at a PE of 39.00 against an industry PE of 45.93, below the sector average, with a return on equity of 19.28%. In the June 2026 quarter, revenue rose 22.13% to Rs 1,082.60 crore and net profit grew 20.68% to Rs 103.30 crore. The share price has gained 182.78% over five years and 21.42% over the past year. Domestic institutions raised their holding from 5.23% in June 2025 to 10.13% in June 2026.
Avalon Technologies: Revenue Up 46.35% in FY26
Avalon Technologies is an electronics manufacturing services provider for industrial, clean energy, mobility and healthcare customers in India and the US. It reported FY26 revenue of Rs 1,632.13 crore, up 46.35% year on year, and net profit of Rs 112.95 crore, up 78.04%. Net profit has compounded at 13.75% a year since FY22, while revenue has grown 17.66% a year. Operating margin was 12.62% in FY26. The debt-to-equity ratio is 0.29.
In the June 2026 quarter, revenue rose 49.93% to Rs 487.23 crore and net profit grew 145.39% to Rs 34.87 crore. The share price has gained 414.32% over five years and 78.87% over the past year. Domestic institutions raised their holding from 22.01% in June 2025 to 24.72% in June 2026. The stock trades at a PE of 104.85 against an industry PE of 45.19, with a return on equity of 15.65%.
Stylam Industries: 25.14% Profit CAGR Since FY22
Stylam Industries makes decorative laminates, compact laminates and allied surfacing products, and exports them to many countries. It reported FY26 revenue of Rs 1,136.09 crore, up 10.02% year on year, and net profit of Rs 149.87 crore, up 22.98%. Net profit has compounded at 25.14% a year since FY22, while revenue has grown 14.23% a year. Operating margin was 20.15% in FY26. The debt-to-equity ratio is 0.04, which keeps interest costs low.
The stock trades at a PE of 31.04 against an industry PE of 36.42, below the sector average, with a return on equity of 18.57%. In the June 2026 quarter, revenue rose 15.48% to Rs 327.69 crore and net profit grew 70.36% to Rs 48.16 crore. The share price has gained 213.14% over five years and 72.69% over the past year. Promoters hold 56.86%, which keeps ownership stable.
Three Year Stocks: Financial Comparison on Growth and Margins
The table compares scale and growth across these three year 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) |
|---|---|---|---|---|---|---|
| Great Eastern Shipping | 6,312.42 | 2,942.52 | 2.53% | 14.53% | 47.03% | 80.71% |
| Elgi Equipments | 4,068.50 | 430.20 | 14.02% | 12.06% | 24.61% | 16.02% |
| Avalon Technologies | 1,632.13 | 112.95 | 46.35% | 17.66% | 13.75% | 12.55% |
| Stylam Industries | 1,136.09 | 149.87 | 10.02% | 14.23% | 25.14% | 21.46% |
Check the Univest Screener for live data on these three year stocks
Institutional Holding in Great Eastern Shipping, Elgi Equipments, Avalon Technologies and Stylam Industries
Institutional holding shows who is backing these three year stocks alongside the promoter. The table uses the latest reported quarter for each. Great Eastern Shipping has the deepest institutional backing, with FII and DII together holding 41.14% as of September 2026. Domestic institutions increased their holding over the past year in Elgi Equipments (from 5.23% to 10.13%) and Avalon Technologies (from 22.01% to 24.72%).
| Stock | Promoter | FII | DII | Public | Quarter |
|---|---|---|---|---|---|
| Great Eastern Shipping | 30.07% | 29.52% | 11.62% | 28.79% | September 2026 |
| Elgi Equipments | 31.19% | 21.90% | 10.13% | 36.78% | June 2026 |
| Avalon Technologies | 44.39% | 7.81% | 24.72% | 23.08% | June 2026 |
| Stylam Industries | 56.86% | 2.62% | 12.14% | 28.39% | June 2026 |
Risks to Weigh in Three Year Stocks
Being careful with three year 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: Avalon Technologies trades at a PE of 104.85 against an industry PE of 45.19, 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 Three Year Stocks
Picking from three year 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 (8.87 to 45.93) 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.
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Conclusion
Among three year stocks, Great Eastern Shipping stands out for the fastest profit growth, 47.03% a year since FY22, Elgi Equipments for the highest return on equity at 19.28%, Avalon Technologies for the biggest five-year price gain at 414.32% and Stylam Industries for a nearly debt-free balance sheet, with a debt-to-equity ratio of 0.04. 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 three year 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 Three Year Stocks to Watch
Which are the best three year stocks to watch for multibagger potential?
Ans. Great Eastern Shipping, Elgi Equipments, Avalon Technologies and Stylam Industries are the 4 names this list highlights, with market caps of Rs 20,868 crore, Rs 17,466 crore, Rs 14,011 crore and Rs 5,270 crore respectively. Great Eastern Shipping is notable for the fastest profit growth, 47.03% a year since FY22. Elgi Equipments stands out for the highest return on equity at 19.28%. Avalon Technologies offers the biggest five-year price gain at 414.32%. Stylam Industries brings a nearly debt-free balance sheet, with a debt-to-equity ratio of 0.04. These are watchlist names for three year stocks, not recommendations, so match each one to your own risk profile and time horizon.
Is Elgi Equipments a good stock for long-term investors?
Ans. Elgi Equipments has a return on equity of 19.28%, a PE of 39.00 against an industry PE of 45.93 and a market cap of Rs 17,466 crore. Net profit has compounded at 24.61% a year since FY22, and FY26 revenue rose 14.02% while June 2026 quarter net profit grew 20.68%. Long-term returns in three year stocks depend on earnings growth and the price paid at entry, so staggering purchases and consulting a SEBI-registered advisor is sensible.
Can Great Eastern Shipping become a multibagger from here?
Ans. Great Eastern Shipping has already gained 330.69% in five years, so another multi-fold move would need sustained earnings growth. A multibagger outcome in three year stocks requires earnings to keep growing faster than the market for several years. Net profit has compounded at 47.03% a year since FY22, and FY26 revenue rose 2.53%. At a PE of 5.57 against an industry PE of 8.87, valuation should be checked against that growth before investing.
What is the market cap of Great Eastern Shipping, Elgi Equipments, Avalon Technologies and Stylam Industries?
Ans. As of 23 October 2026, Great Eastern Shipping has a market cap of Rs 20,868 crore, Elgi Equipments has a market cap of Rs 17,466 crore, Avalon Technologies has a market cap of Rs 14,011 crore and Stylam Industries has a market cap of Rs 5,270 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 three year stocks.
What are the risks of investing in three year 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. Avalon Technologies trades at a PE of 104.85 against an industry PE of 45.19, so earnings growth needs to hold up.
Why is Avalon Technologies trading at a PE of 104.85?
Ans. Avalon Technologies’ PE of 104.85 compares with an industry PE of 45.19. The market is paying a premium for a return on equity of 15.65%, profit growth of 13.75% a year since FY22 and latest-quarter profit growth of 145.39%, which also means the stock is more sensitive if growth slows. Investors in three year 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 Great Eastern Shipping, Elgi Equipments, Avalon Technologies and Stylam Industries?
Ans. As of the latest reported quarter, FII and DII together hold 41.14% of Great Eastern Shipping (29.52% and 11.62%), 32.03% of Elgi Equipments (21.90% and 10.13%), 32.53% of Avalon Technologies (7.81% and 24.72%) and 14.76% of Stylam Industries (2.62% and 12.14%). Rising institutional holding is a useful signal in three year stocks, though it should be read with earnings trends rather than on its own.
