30 Per Cent From 52-Week Low: Multibagger Penny Stock Under Rs 40 In Green; Here’s Why
The stock gave multibagger returns of over 1,300 per cent in 5 years.
Today, shares of Rathi Steel and Power Ltd jumped 6.33 per cent to Rs 31.74 per share from its previous closing of Rs 29.85 per share. The stock’s 52-week high is Rs 97.81 per share while its 52-week low is Rs 24.50 per share.
Rathi Steel and Power Limited informed that the commercial operations of TMT Rolling Mill Division(for production of TMT Bars) of the Company set up at A-3, South of G T Road, Industrial Area, Ghaziabad, have recommenced.
Additionally, Rathi Steel and Power Limited's Board approved the allotment of 13,00,001 equity shares (face value Rs 10 each) to PCR Holdings Pvt Ltd (formerly Archit Securities Pvt Ltd). This was due to the conversion of 15,05,265 OCRPS issued on February 22, 2024, at Rs 55 per equity share via preferential allotment. Consequently, the company's paid-up equity share capital increased to Rs 86,36,30,040, divided into 8,63,63,004 equity shares of Rs 10 each. Additionally, PCR Holdings Pvt Ltd acquired 70,000 Rathi Steel shares in two transactions, raising their holding by 0.33 per cent.
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About the Company
Incorporated in 1971, Rathi Steel and Power Limited manufactures and supplies steel and steel-related products. The company specializes in stainless steel products like Wire Rods, flats etc., which are primarily used in infrastructure, engineering, and household applications. Rathi operates a plant in Ghaziabad, UP, with an installed capacity of 2,00,000 tons per annum or rolling capacity. The Company also operates a steel melting shop with an installed capacity of over 90,000 tons per annum to manufacture stainless steel billets.
According to Quarterly Results, the net sales increased by 3.2 per cent to Rs 104.43 crore and the net profit decreased by 32 per cent to Rs 0.79 crore in Q3FY25 compared to Q3FY24. In its nine-month results, the net sales decreased by 6 per cent to Rs 353.59 crore and the net profit increased by 199 per cent to Rs 10.16 crore in 9MFY25 compared to 9MFY24
The promoters of the company own a 40.32 per cent stake, FIIs own 8.94 per cent, DIIs own 2.53 per cent and the public owns a 48.22 per cent stake as of December 2024. The stock gave multibagger returns of over 1,300 per cent in 5 years. Investors should keep an eye on this micro-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.