CMP: 1000

Gujarat Reclaim and Rubber Products Limited produces reclaim rubber from scrap of whole tires, tread peelings, natural rubber tubes, butyl tubes, molded rubber products.

GRRP is a 135 Crore penny cap stock. Its currently trading at a P/E of little less than 7. Good dividend yields of over 2% in the last 12 months with manageable liabilities. Recent quarter Q1 FY11 results has been exceedingly good. Revenues have grown consistently from 60 Crores to 185 Crores in the last 5 years. Profits have also picked up from less than 6 Crores to almost 18 Crores in the same period. NPM has been stable at near 10%. A good buy for long term.