10:1 bonus shares announced with revised record date: Radhakishan Damani bought 2,33,766 shares in this deft-free cigarettes & tobacco manufacturing company in Q1
The stock is up by 30.35 per cent from its 52-week low and gave multibagger returns of 170 per cent in a decade.
On Wednesday, shares of VST Industries Ltd plunged 0.32 per cent to Rs 4,118.95 per share from its previous closing of Rs 4,132.35 with an intraday high of Rs 4,172 and an intraday low of Rs 4,076. The stock’s 52-week high is Rs 4,850 and its 52-week low is Rs 3,160.
Radhakishan Shivkishan Damani, the biggest ace investor of the Indian stock market with a net worth of approx. Rs 1.50 lakh crore and the owner of Avenue Supermarts Ltd (D Mart). He bought 2,33,766 shares in Q1FY25 and increased to 3.47 per cent compared to 1.95 per cent in Q4FY24.
The Board announced bonus shares in the ratio of 10:1 i.e., 10 new bonus equity shares of Rs 10 each for every 1 existing equity share of Rs 10 each fully paid up. The Board fixed Friday, September 06, 2024 as the revised Record Date to determine the names of members who shall be entitled to allotment of bonus equity shares.
Established in 1930, VST Industries, a leading cigarette manufacturer with a 10 per cent market share, focuses on manufacturing and trading cigarettes, tobacco and related products, solidifying its position as the third-largest player in the Indian tobacco market.
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Talking about the financials, VST has a market cap of over Rs 6,300 per share and has been maintaining a healthy dividend payout of 65 per cent. In its Quarterly Results and annual results, the company reported positive numbers. The company has no outstanding debts, and its stock is yielding a favourable dividend of 3.65 per cent.
The shares of the company have a PE of 23x, an ROE of 25 per cent and an ROCE of 32 per cent. The stock is up by 30.35 per cent from its 52-week low and gave multibagger returns of 170 per cent in a decade. Investors should keep an eye on this small-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.
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