Exchange filings for Q3 2025 reveal that Mukul Agarwal has again adjusted his portfolio, sparking immediate market interest. He has added 2 new stocks to his portfolio, which now has 70 stocks worth over Rs 6,615 cr.
One of these stocks is a construction company with questionable profit performance and the other is a recently listed pharma company that is an exact opposite when it comes to financials.
While the exact strategy Agrawal uses to pick or letting go his stocks is only known to him, these two poles apart picks have raised a lot of valid questions in the investor circles. Let us try and find out what could have been the reason behind these picks.
Rs 4,760 cr Penny Stock: Hindustan Construction Company Ltd
Incorporated in 1926, Hindustan Construction Company Limited (HCC) is an engineering and construction company developing infrastructure projects including dams, tunnels, bridges, hydro, nuclear, thermal power plants, expressways and roads, marine works, water supply, irrigation systems, etc.
With a current market cap of Rs 4,760 cr, HCC is a flagship company of the HCC Group, and has contributed to India’s 26% hydropower capacity, over 60% of its nuclear power generation capacity, 4,036 lane km of roads and expressways, 395 bridges, and 360 km of advanced tunnelling.
Ace investor Mukul Agarwal just bought a 1.7% stake in the company worth Rs 80 cr, as per the exchange filings made for the quarter ending December 2025.
This pick of Agrawal has raised many eyebrows, as the company is still a “penny stock” as far as the stock prices are concerned. Add to it, that the company is trading at a negative PE due to falling profits and a few loss-making years.
Looking at the financials of the company, its sales have seen a fall after seeing a good FY22. For H1FY26, sales of Rs 2,022 cr have been recorded.
| FY | FY20 | FY21 | FY22 | FY23 | FY24 | FY25 |
| Sales/Rs Cr | 9,444 | 8,248 | 10,668 | 8,270 | 7,007 | 5,603 |
The EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) has also seen a lot of ups and downs, making it difficult to see any pattern in it.
| FY | FY20 | FY21 | FY22 | FY23 | FY24 | FY25 |
| EBITDA/Rs Cr | 844 | 391 | 1,188 | 548 | 671 | 634 |
And for H1FY26, the company has recorded an EBITDA of Rs 325 cr.
As for the net profits, the company is struggling to sustain the growth it had seen in years like FY22 and FY24.
| FY | FY20 | FY21 | FY22 | FY23 | FY24 | FY25 |
| Profit/Rs Cr | 197 | -610 | 563 | -28 | 478 | 113 |
For H1FY25, the company has recorded profits of Rs 99 cr, which hints towards FY26 being a better year than FY25 if things go well. This could be one reason that got Agrawal interested in the company.
The share price of Hindustan Construction Company Ltd was around Rs 7 in January 2021 and as of closing on 9th January 2026 it was at Rs 18.2, which is a jump of 160%.
At the current price of Rs 18, the stock is trading at a discount of 82% from its all-time high of Rs 101.
The company’s share is currently trading at negative PE due losses and while the current industry median is at 18x. The 10-year median PE for the company is 8x and the industry median for the same period is 19x, which means historically the company has been undervalued.
As per the company most recent investor presentation from November 2025, the company has a robust orderbook with an order backlog of Rs 13,152 cr, that includes orders like the Patna Metro and an Aluminium smelter expansion project from Hindalco.
The company has also reduced its debt from Rs 4,253 cr five years ago to the current Rs 1,610 cr.
Sudeep Pharma: The Capital Efficiency Play
Incorporated in 1989, Sudeep Pharma Limited is a manufacturer of pharmaceutical excipients, food-grade minerals, and specialty nutrition ingredients serving over 100 countries.
With a market cap of Rs 6,175 cr, the company has an enviable client list that includes names like Pfizer Inc, Intas Pharmaceuticals Limited, Mankind Pharma Limited, Merck Group, Alembic Pharmaceutical Limited, Aurobindo Pharma Limited, Cadila Pharmaceutical Limited, IMCD Asia Pte. Ltd., Micro Labs Limited, and Danone S.A.
Mukul Agarwal bought a 1.3% stake worth Rs 82 cr as per the latest exchange filings.
Looking at the financials, the company’s sales have grown at a compound rate of 32% from Rs 123 cr in FY20 to Rs 502 cr in FY25. And for H1FY26, sales of Rs 288 cr have been recorded.
The EBITDA logged a compound jump of over 50% between Rs 25 in FY20 to Rs 191 cr in FY25. For H1FY26, EBITDA of Rs 99 cr has been logged.
The net profits also grew at a compounded rate of 50% from Rs 18 cr to Rs 139 cr in the same period.
The share price of Sudeep Pharma Ltd was around Rs 775 when it was listed in late November 2025, which has fallen sharply to Rs 547 as of closing on 9th January 2026.
The company’s share is trading at a current PE of 46 while industry median is 30x, which possibly means that investors are willing to pay a premium to buy into the company.
Sudeep Pharma has also showcased solid capital efficiency as its current ROCE is 36% which is much higher than the industry median of 15%. In simple words, while industry peers make around Rs 15 on every Rs 100 used as capital, Sudeep Pharma outperforms them all by delivering a return of Rs 36 on every Rs 100.
In the most recent investor presentation from December 2025, company’s Managing Director Sujit Bhayani said, “The increasing global focus on health and wellness continues to drive demand for nutritional supplements, reflecting a broader shift towards preventive healthcare. Supported by an expanding customer base and a growing product portfolio, we remain confident in our ability to deliver long-term, sustainable growth for all stakeholders”
The Investor Outlook: Turnaround or Trap?
When Mukul Agarwal buys new stocks or sells old ones, the news always causes ripples in the buy investor circles. After all, his moves are calculated and supported by solid research. And these two fresh moves have also had the same effect on investors across the board.
Especially because when it comes to financials, both the companies are on a different trajectory. While Hindustan Construction has seen good years, it is struggling to be effectively profitable.
On the other hand, Sudeep Pharma, despite a blockbuster market debut of listing at Rs 730, —a 23% premium over its Rs 593 IPO price and briefly peaking at Rs 795 went into a downward spiral. A 31% retracement from its peak creates a classic ‘broken IPO’ narrative, which may be exactly where Agarwal sees a value-entry opportunity.
It is going to be a fascinating ride to watch how these two stocks do in the coming weeks and months. Will the Mukul Agrawal Magic work again? The only way to know is to add these stocks to a watchlist and follow them closely.
Disclaimer:
Note: We have relied on data from www.Screener.in and www.trendlyne.com throughout this article. Only in cases where the data was not available, have we used an alternate, but widely used and accepted source of information.
The purpose of this article is only to share interesting charts, data points and thought-provoking opinions. It is NOT a recommendation. If you wish to consider an investment, you are strongly advised to consult your advisor. This article is strictly for educative purposes only.
Suhel Khan has been a passionate follower of the markets for over a decade. During this period, He was an integral part of a leading Equity Research organisation based in Mumbai as the Head of Sales & Marketing. Presently, he is spending most of his time dissecting the investments and strategies of the Super Investors of India.
Disclosure: The writer and his dependents do not hold the stocks discussed in this article.
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