The Kalyani Group Company manufactures specialised steel which is used by auto ancillary, defence, tube manufacturing and smelting sectors. Also, its long-term debt fell by 40% in FY16.

It has reported over 50% earnings growth in each of the last four quarters. The governmentРІР‚в„ўs thrust on infrastructure provides great potential. The company is into manufacturing of steel and iron pipes, demand for which has been strong due to rapid urbanisation. He has identified seven top-quality small-cap stocks which are quoting at a P/E of less than 7. Now, the all-important question as to which small-cap stocks we should focus on is answered by Jwalit Vyas of ET. Shankar assured that if we are careful about our stock selection, we can get enormously rich. ShankarРІР‚в„ўs logic is that while behemoth large-cap stocks require a great deal of improvement in the economy to move forward, small-cap stocks thrive in niche areas and can prosper even if the economy is growing at a low rate. Shankar Sharma advised us a few days ago to forget about investing in large-cap stocks and instead to focus on finding top-quality stocks from the micro, small and mid-cap stocks universe. Luckily, seven top-quality small-cap stocks have been handed over to us on a platter by ET After Shankar SharmaРІР‚в„ўs clarion call that small-cap stocks will give up to 300% gains in the next three years, the onus is on us to identify these stocks.

Micro cap stocks in play