List of Penny Stock Under 2 Rs in India 2025
Penny stocks are low-priced shares of small-cap companies with high volatility and potential for speculative gains. In 2025, the following listed Indian companies are trading below Rs.2, attracting attention from high-risk investors and traders due to their low entry cost and possible turnaround potential.
| Company Name |
| Filatex Fashions Ltd |
| Alstone Textiles (India) Ltd |
| G G Engineering Ltd |
| Excel Realty N Infra Ltd |
| Avance Technologies Ltd |
| Indian Infotech and Software Ltd |
| Standard Capital Markets Ltd |
| Teamo Productions HQ Ltd |
| Landmarc Leisure Corporation Ltd |
| Rajnish Wellness Ltd |
Overview of Penny Stock below ₹2
Penny stocks under Rs.2 are often small-cap or micro-cap companies with lower liquidity and limited historical performance data. However, due to their affordability, they attract retail investors looking for diversification. These stocks can deliver high returns if the underlying company undergoes business improvement or financial restructuring, but they also carry substantial risk.
Filatex Fashions Ltd
Filatex Fashions is engaged in textile and garment manufacturing, offering hosiery products under its brand. The company’s stock is often volatile but has a strong presence in regional markets. Investors track it for low base investment and occasional spikes due to industry developments or speculative interest in the textile sector.
Alstone Textiles (India) Ltd
Alstone Textiles operates in the business of textile trading and fabric supply. It has attracted penny stock investors due to its low share price and moderate turnover. The stock’s movement is mostly sentiment-driven, and investors speculate on improvements in textile demand and operational turnaround in the small-cap segment.
G G Engineering Ltd
G G Engineering manufactures and supplies diesel generators and engineering components. Though fundamentally weak in recent quarters, it garners attention due to its industry niche and growth potential. Penny stock traders often monitor news around infrastructure policies and industrial demand to anticipate its stock movements.
Excel Realty N Infra Ltd
Excel Realty N Infra is involved in infrastructure development and IT-enabled services. It has a diverse business model but inconsistent financial performance. The stock appeals to certain type of investors during real estate upswings or technology investment trends, offering a low-cost entry to the hybrid sector.
Avance Technologies Ltd
Avance Technologies provides digital communication and SMS services to enterprises. Despite limited revenue growth, the company remains on penny stock watchlists due to its presence in the growing digital communication segment. It offers high price fluctuation opportunities, especially when digital and tech sectors rally in broader markets.
Indian Infotech and Software Ltd
Indian Infotech and Software Ltd operates in finance and software services. It is often highlighted for corporate restructuring and capital reorganisation news. The stock is driven more by sentiment and short-term momentum than fundamentals, making it a high-risk, high-reward option under the Rs.2 range.
Standard Capital Markets Ltd
Standard Capital Markets is a finance-based company offering advisory and capital investment services. While the company’s operations remain limited, certain rallies occasionally attract traders due to regulatory announcements or restructuring expectations in the NBFC or small financial service provider segment.
Teamo Productions HQ Ltd
Teamo Productions HQ Ltd is engaged in media production and entertainment-related ventures. As a micro-cap with limited historical data, the company’s stock fluctuates based on news or investor interest in the entertainment and content creation space. Its low entry cost makes it a speculative buy in bullish micro-cap trends.
Landmarc Leisure Corporation Ltd
Landmarc Leisure Corporation is involved in leisure and hospitality businesses. Although financially weak, the company occasionally gains investor attention based on revival expectations or announcements related to real estate and hospitality expansions. The stock remains volatile and is generally suited for short-term speculative play.
Rajnish Wellness Ltd
Rajnish Wellness Ltd operates in the wellness and healthcare segment, offering Ayurvedic and sexual wellness products. The company’s niche product line often creates buzz, especially during health-related trends. Despite revenue constraints, it is tracked by traders for its brand value and potential for expansion in India’s growing wellness market.
What are Penny Stocks?
Penny stocks are low-priced shares, typically trading below Rs.10, and often under Rs.2 in India. These stocks belong to small or micro-cap companies with low market capitalisation, limited liquidity, and higher volatility. They attract speculative investors looking for high returns but carry significant risks due to poor financial visibility and inconsistent performance.
Features of Best Penny Stocks Below Rs 2
The best penny stocks under Rs.2 usually have growth potential, low entry cost, and operate in scalable industries. While not always fundamentally strong, they show signs of revival, restructuring, or untapped market opportunity. These stocks are often illiquid and driven by market sentiment, investor buzz, and trading volumes rather than long-term financial indicators.
Factors to consider when investing in Penny Stock below 2 Rs
Investors should assess business viability, promoter holding, past price movements, trading volumes, and industry outlook. It’s crucial to avoid pump-and-dump schemes and review quarterly financials, even if limited. Look for stocks with visible turnaround signs, minimal debt, and strategic announcements to identify safer bets among extremely low-priced shares.
How to invest in Penny Stock below 2 Rs?
To invest in penny stocks under Rs.2, open a demat and trading account with a SEBI-registered broker. Use stock screeners to filter based on price, volume, and sector. Analyse company reports, watch for announcements, and allocate only a small portion of your portfolio. Always trade cautiously and consider using stop-loss orders.
Impact of government policies on Penny Stock below 2 Rs
Government policies on MSMEs, digitalisation, textile subsidies, or infrastructure investment may indirectly boost penny stocks in those sectors. Reforms in GST, financial inclusion, or rural healthcare can also affect companies trading under Rs.2. However, due to low fundamentals, such stocks react more sharply to policy rumours and short-term news flow.
How Penny Stock below 2 Rs perform in economic downturns?
In economic downturns, penny stocks under Rs.2 often underperform due to weak financials, low cash reserves, and fragile business models. They are highly sensitive to market sentiment and face liquidity crunches. However, some stocks may see short-term rallies driven by speculative interest or expectations of business revival post-recovery.
Advantages of investing in Penny Stock below ₹2
The main advantage of investing in penny stocks under Rs.2 is the low capital requirement. Even minor price changes can yield high percentage gains. They allow for diversified small-scale investments across sectors and can generate multi-bagger returns if the underlying company revives. Some may benefit from government support or acquisitions.
Risks of investing in Penny Stock below ₹2
Penny stocks below Rs.2 are highly volatile, illiquid, and vulnerable to market manipulation. Many lack proper disclosures, strong financials, or consistent business models. Sudden drops or trading suspensions are common. Investors must conduct due diligence and limit exposure to manage risk.
Penny Stock below 2 Rs GDP contribution
Individually, penny stocks under Rs.2 contribute a negligible share to India’s GDP. However, collectively, these micro-cap companies may play niche roles in sectors like textiles, IT services, manufacturing, or wellness. Their real contribution lies in employment generation, SME activity, and participation in India’s broader entrepreneurial ecosystem and digital economy.
Who should invest in Penny Stock below 2 Rs?
Penny stocks under Rs.2 are suitable for high-risk investors, experienced traders, or those looking to diversify with small amounts. Beginners should be cautious and allocate only a minor portion of their capital. Investors with a deep understanding of market patterns, news-based trading, and risk management can consider exploring this segment carefully.
Conclusion
Penny stocks under Rs.2 in India offer high-reward opportunities but come with elevated risk and volatility. With low entry barriers, they are popular among retail traders, but careful analysis and strict risk controls are essential. Investors should focus on identifying fundamentally improving businesses and avoid speculative traps for sustainable long-term gains.
