KDDL Ltd - Penny Stock Idea

CMP: 128

KDDL Ltd designs and markets watches components.

KDDL is a 106 Crore penny cap stock. Its currently trading at a P/E of 11 with good dividend yields of well over 2% in the last 12 months. It runs at a debt of 32 Crores with 2 Crores cash in hand. Debt to Profits ratio is above safe levels of 3. Revenues have fluctuated around 75 Crores over the last 5 years. Profits have swung between 6 Crores to losses 3 Crores in the last 5 years. 2012 so far has been great with profits breaking out of the range, towards 10 Crores for FY 2012. Buy and book profits at higher levels or when Nifty peaks.