10:1 Stock Split & FIIs increase stake: This multibagger penny stock under Rs 60 from the textile sector, jumps over 5 per cent; Keep under the radar!
From Rs 17.26 (52-week low) to Rs 51.41 per share, the stock gave multibagger returns of 198 per cent.
Today, shares of Nandan Denims Ltd jumped 5.43 per cent to Rs 51.51 per share from the intraday low of Rs 51.61. The stock’s 52-week high is Rs 57.95 and its 52-week low is Rs 17.26. The shares of the company saw a spurt in volume by more than 1.01 times on BSE.
Founded in 1994 as part of the Chiripal Group, Nandan Denim Ltd (NDL) has transformed from a textile trading company into a global leader in denim fabric production. Today, NDL stands as India's largest and the world's fourth-biggest denim manufacturer, boasting a massive production capacity that supplies over 27 countries and major Indian retailers. Their extensive product portfolio includes not only over 2,000 denim varieties annually but also diverse shirting options and eco-conscious organic cotton yarn. Furthermore, Nandan Denim prioritizes continuous innovation through its in-house research and development department, ensuring its textile offerings remain at the cutting edge.
The board of directors at Nandan Denim Ltd (NDL) approved a 1:10 stock split for their equity shares. This means that each existing share with a face value of Rs. 10 will be subdivided into 10 new shares with a face value of Re 1 each. The company will announce the record date for this stock split on the stock exchanges in due course.
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While Nandan Denim Ltd reported a slight dip in annual net sales from FY23 to FY24, going from Rs 2,026.76 crore to Rs 2,010.09 crore, profitability soared year-on-year. In FY24, net profit saw a dramatic increase of 8,385 per cent to Rs 44.97 crore, compared to just Rs 0.53 crore in FY23. This positive trend continued into Q4FY24, with net sales rising 26.7 per cent to Rs 579.12 crore and net profit experiencing a staggering 881.1 per cent growth to Rs 27.11 crore, compared to the same quarter in the previous fiscal year.
Nandan Denims has a market cap of over Rs 700 crore. As of June 2024, the maximum share is owned by the promoter of the company (58.46 per cent). In June 2024, FIIs increased their stake to 0.60 per cent compared to 0.48 per cent in March 2024. The shares of the company have a PE of 16.2x whereas the industry PE is 32x. From Rs 17.26 (52-week low) to Rs 51.41 per share, the stock gave multibagger returns of 198 per cent. Investors should keep an eye on this textile stock under the radar.
Disclaimer: The article is for informational purposes only and not investment advice.
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