Infrastructure acts as the backbone of any economy, aiding its growth and development. Studies released by the Reserve Bank of India and the National Institute of Public Finance show that every rupee invested in infrastructure results in a GDP increase of ₹2.5 to ₹3.5.
Therefore, as India becomes the fourth-largest economy in the world and against the backdrop of ₹11.21 lakh crore allocation to infrastructure by the Union Budget 2025, this blog takes a closer look at the best infrastructure penny stocks in India.
Overview of the infrastructure industry
The infrastructure sector is a key contributor to the Indian economy, constituting 40% of the total industrial output. Although the industry experienced a slowdown in its growth rate in April 2025 at 0.5%, the industry had maintained a high CAGR of 4.6% in March. Furthermore, from 2021 to 2026, the total infrastructure capital outlay is anticipated to rise at a CAGR of 11.4%.
The Union Budget 2025 also highlights the plan of creating three-year-long project pipelines under the public-private partnership mode. This further demonstrates government support for private players in this sector. Therefore, understanding the top infrastructure penny stocks can aid investors.
Also read: Penny Stocks – Definition, Features, Benefits, and Risks
Analysis of the top infrastructure penny stocks
Based on market capitalisation as of 12 June 2025, the best infrastructure penny stocks in India are discussed below.
| Name | Market cap (₹ Crore) | ROCE (%) | Latest Quarterly NPM (%) | Return over 1 year (%) |
| GVK Power & Infrastructure Ltd. | 700 | 10.6 | -382 | -61.9 |
| Sadhbhav Infrastructure Projects Ltd. | 191 | 14.01 | 6.11 | -14.2 |
| Noida Toll Bridge Company Ltd. | 74.7 | -8.54 | 38.9 | -68.7 |
| Madhucon Projects Ltd. | 66.5 | -27.6 | -44.3 | -71.6 |
| MEP Infrastructure Developers Ltd. | 43.6 | -401 | -2952 | -71.6 |
Company overview of infrastructure penny stocks
The analysis of the infrastructure penny stocks is incomplete without understanding the company profile.
- GVK Power & Infrastructure Ltd.
The Chhatrapati Shivaji Maharaj International Airport in Mumbai is operated and managed by GVK. The company has ₹17,000 crores worth of projects in its pipeline. It also pioneered the first Independent Power Plant in India. With a cumulative capacity of over 1562 MW, the company operates the Jaipur-Kishangarh Expressway. Therefore, it is one of the key infrastructure penny stocks in India.
The quarterly performance can aid in optimal decision-making.
| Particulars | March 2025 (₹ Crores) | March 2024 (₹ Crores) |
| Sales | 44 | 69 |
| Operating Profit | 5 | 31 |
| Net Profit | -195 | -143 |
| EPS (₹) | -0.83 | -0.64 |
Also read: The Journey of Multibagger Penny Stocks: From Pennies to Fortunes
- Sadbhav Infrastructure Project Ltd.
The company is among the top infrastructure penny stocks. It is a subsidiary of Sdbhav Engineering Limited (SEL). With a massive expanse of 2595.92. 6 lane kilometres, the company has ten Build-Operate-Transfer (BOT). The company has managed the enhancement and expansion of the then two-lane SP Ring Road into four lanes around Ahmedabad.
The quarterly performance can aid in optimal decision-making.
| Particulars | March 2025 (₹ Crores) | March 2024 (₹ Crores) |
| Sales | 200 | 174 |
| Operating Profit | 123 | 60 |
| Net Profit | -59 | -107 |
| EPS (₹) | -2.44 | -2.71 |
- Noida Toll Bridge Company Ltd.
Incorporated in 1966, the company is incorporated in Uttar Pradesh and operates only in India. The company is engaged in the Project DND Flyway, aimed at increasing the connectivity between different locations in and around Delhi. It includes an 8-lane dual carriageway that connects Noida Sector 15A with the Ring Road. It also includes a completely digitised 32 lane, 200M wide toll plaza. There are many other exclusive features of this project.
A look at the quarterly performance below can provide significant insights.
| Particulars | March 2025 (₹ Crores) | March 2024 (₹ Crores) |
| Sales | 10.44 | 9.97 |
| Operating Profit | 3.70 | 3.33 |
| Net Profit | 4.05 | -5.37 |
| EPS (₹) | 0.22 | -0.29 |
- Madhucon Projects Ltd.
With more than three decades of experience, the company is one of the best infrastructure penny stocks in India. It facilitates in-house Design Engineering & Research. The operations of the company span across various states, such as New Delhi, Andhra Pradesh, Maharashtra, Tamil Nadu and many more. The company contributed 7% by building around 500 kilometres of the Golden Quadrilateral Road Network Project. The company has 1,700 lane kilometres under construction.
A look at the quarterly performance below can provide significant insights.
| Particulars | March 2025 (₹ Crores) | March 2024 (₹ Crores) |
| Sales | 139 | 421 |
| Operating Profit | -36 | -221 |
| Net Profit | -61 | -7 |
| EPS (₹) | -5.27 | 0.65 |
Also read: Top Semiconductor Penny Stocks in India
- MEP Infrastructure Developers Ltd.
Incorporated in 2002, the corporation is among the best infrastructure penny stocks in India. The headquarters are in Mumbai. Moreover, it operates across 15 states. The National Highway Authority of India and the Ministry of Road Transport and Highways are some of its prominent clientele. The company has 117 toll collection projects, 10 hybrid annuity models and much more.
Quarterly performance is an indispensable tool to gauge fiscal performance.
| Particulars | March 2024 (₹ Crores) | March 2023 (₹ Crores) |
| Sales | 20 | 20 |
| Operating Profit | -600 | -60 |
| Net Profit | -605 | -70 |
| EPS (₹) | -32.88 | -3.80 |
Bottomline
Stocks that trade below ₹10 are called penny stocks in India. Given the booming infrastructure industry in India, the blog lists the top infrastructure penny stocks. Investors often invest in penny stocks to earn high returns. However, these stocks are highly volatile.
Investors must analyse the financial statements and market performance before investing. Due diligence is indispensable for penny stocks. The penny stocks in infrastructure have contributed to significant government projects and some have demonstrated optimum project pipelines. Understanding their future sources of cash flow can aid optimal decision-making.
FAQs
Penny stocks refer to shares that are trading below ₹10 in India. These stocks are highly volatile and fluctuate frequently. Some investors choose these stocks for high returns and growth potential. However, the high prospective return stems from significant market risk. Performing a thorough analysis of the stock through its financial statements and market performance is integral to investing.
Some of the top construction companies based on market capitalisation (as of June 12,2025) are Larsen & Toubro Ltd., Rail Vikas Nigam Ltd. and NBCC (India) Ltd. The infrastructure sector in India is at an exponential growth rate. Moreover, the government is also aiding and abetting private participation in this sector to promote its growth. The infrastructure sector also witnesses optimum budget allocation. Therefore, the government timely injects liquidity into this capital-intensive sector.
The top three penny stocks based on market cap (as of June 12,2025) are GVK Power & Infrastructure Ltd., Sadhbav Infrastructure Ltd and Noida Toll Bridge Company Ltd. These stocks are highly volatile and fluctuate frequently. Some investors choose these stocks for high returns and growth potential. Performing a thorough analysis of the stock through its financial statements and market performance is integral to investing.
Although there is no direct rulebook or guiding principle regarding penny stock investments. However, it is generally said that investors should not invest a significant chunk of their portfolio into these stocks. Moreover, it needs regular monitoring to take corrective measures in the case of any discrepancy. The high risk of penny stocks stems from their high degree of risk.
Every investment has a degree of risk. The higher the return, the higher the prospective risk. Penny stocks trade at very low market prices. They are subject to substantial market volatility and fluctuate frequently. Safety of investment rests on due diligence, through research and prudent investment decision-making.
