29,000 per cent multibagger returns: This small-cap company receives order from Department of Tourism, U.T. Administration of Lakshadweep; scrip hit 52-week high!

The stock gave multibagger returns of 200 per cent in just 1 year whereas BSE Small-cap Index is up by 39.4 per cent.

Praveg Ltd (BSE Script Code: 531637) informed that the company has received a work order from the Department of Tourism, U.T. Administration of Lakshadweep for the development, operation, maintenance and management of at least 50 tents at Agatti Island, UT of Lakshadweep.

The order includes the development of a minimum of 50 tents; restaurant/cafeteria; cloak cloakroom; changing room and other facilities. The work order is for 3 years that could be extended up to another 2 years.

Additionally, the company's meeting is scheduled for Tuesday, December 26, 2023, to discuss and vote on a proposal to raise funds. This may involve issuing new shares, convertible securities, or other eligible financial instruments, potentially through preferential rights or other permitted methods. The specific approach will be determined based on what's most suitable, and all necessary regulatory and shareholder approvals will be required.

On Friday, the shares of Praveg Ltd gained 11.2 per cent to an intraday & 52-week high of Rs 730 per share from its previous closing of Rs 656.50 per share. At the closing bell, shares of the company were trading at Rs 708.35 per share, up 7.9 per cent with a spurt in volume by more than 1.01 times on BSE.

Praveg Ltd is an advertising company with core competence in exhibition and event management. The company is also engaged in providing services to the hospitality sector, publications and real estate marketing. The company has set up its branches nationally and internationally.

According to the financials, Praveg Ltd has a market cap of over Rs 1,600 crore. In both quarterly and annual results, the company has reported excellent results. In Q4FY23, net sales increased by 12.16 per cent and net profit skyrocketed by 10.47 per cent compared to the same quarter last year(Q4FY22). The net sales increased by 87 per cent to Rs 84 crore and net profit skyrocketed 133 per cent to Rs 28 crore in FY23 over FY22.  

The stock has an ROE of 40.50 per cent and a ROCE of 53.10 per cent respectively. The stock gave multibagger returns of 200 per cent in just 1 year whereas BSE Small-Cap Index is up by 39.4 per cent. In 3 years, the stock is up by 1,480 and a whopping 29,000 per cent in 5 years.

Disclaimer: The article is for informational purposes only and not investment advice.