Analysts' top small-cap picks for 2024 that can give returns up to 42%

ET looks at some of the stock recommendations by analysts. These stocks are expected to return between 21% and 42% as per analysts’ price targets.

Five-Star Business Finance

Brokerage: DAM Capital
Price Target: Rs 1,000

CMP: Rs 705.85
Upside: 41.7%

• One of the best compounding bets and perfect proxy to play India’s growth story over the next 3-5 years
• Robust capital adequacy of 55%; no need for any dilution over the next five years
• High potential growth, strong return ratios given less potential competition, and one of the best longevities of current management

Protean eGov Technologies
Brokerage: Equirus Securities
Price Target: Rs 1,500
CMP: Rs 1,220.45
Upside: 23%

• Initiate coverage with Long rating; good bet on the India digitisation story
• Market leader in tax infrastructure (TIN/PAN issuance), retirement (NPS-CRA), and identity authentication and management services
• Generates free cashflows and dividend-paying for almost two decades; cash on balance sheet is Rs 6.5 billion

Oriental Carbon & Chemicals
Brokerage: SMIFS
Price Target: Rs 1,036
CMP: Rs 790
Upside: 31%

• Market leader in insoluble sulphur chemistry with 60% domestic and 10% global market share
• Play on tyre sector recovery; local tyre makers have lined up capex of Rs 200-250 billion over the next 2-3 years
• Net cash company with strong dividend payout history of 20-25%

Cello World
Brokerage: Systematix
Price Target: Rs 949
CMP: Rs 778.95
Upside: 21.8%

• Upbeat about company’s prospects because of leading brand position, fastpaced growth, strong margin and return ratios
• Aims at 15-20% compounded growth over next 3-5 years to enhance market share
• Existing businesses and foray into glassware manufacturing would drive revenue