FIIs bought 8,92,07,640 shares: Power penny stock under Rs 20 reports a turnaround net profit in Q1FY25; Rockets over 250 per cent in just 1 year!
The stock gave multibagger returns of 250 per cent in just 1 year and a whopping 1,240 per cent in 5 years.
The stock market ended the day in red on Friday with the benchmark Sensex down 1.08 per cent at a level of 80,982 and the Nifty-50 down 1.17 per cent at a level of 24,718. About 1,616 shares advanced, 2,311 declined and 106 were unchanged on the BSE.
Though the market was in red, shares of RattanIndia Power Limited gained 2.80 per cent to Rs 17.30 per share from its previous closing of Rs 16.83. The shares of the company saw a spurt in volume by more than 2 times on BSE. The stock’s 52-week high is Rs 21.13 and its 52-week low is Rs 4.67.
RattanIndia Power Limited is one of India’s largest private power generation companies, with an installed capacity of 2,700 MW thermal power plants at Amravati and Nashik (1,350 MW at each location) in Maharashtra, India. The company has a market cap of over Rs 9,000 crore.
According to Quarterly Results, the company reported net sales of Rs 931.83 crore in Q1FY25 compared to net sales of Rs 847.27 crore in Q1FY24, an increase of 10 per cent. The company reported a net profit of Rs 93 crore in Q1FY25 compared to a net loss of Rs 549.36 crore in Q1FY24, an increase of 117 per cent.
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In its annual results, the company reported net sales of Rs 3,364 crore in FY24 whereas Rs 3,231 crore in FY23. The company reported a net profit of Rs 8,897 crore in FY24 compared to a net loss of Rs 1,870 crore in FY23, an increase of 575 per cent (the company reported net profit after 3 years consecutive net loss in FY23, FY22 and FY21).
Earlier, RattanIndia Power fully repaid its senior debt to international financial institutions with a new loan of Rs 1,114 crores from Kotak Mahindra Bank. The company has been steadily repaying its debt since 2019, and its operational performance remains strong.
As of June 2024, Power Finance Corporation Limited (PFC) owns a 4.38 per cent stake in the company and REC Ltd (REC) owns a 1.72 per cent stake in the company. In June 2024, FIIs bought 8,92,07,640 shares or a 3.38 per cent stake and increased their stake to 3.69 per cent compared to 0.31 per cent in June 2023. The stock gave multibagger returns of 250 per cent in just 1 year and a whopping 1,240 per cent in 5 years. Investors should keep an eye on this Small-Cap power company.
Disclaimer: The article is for informational purposes only and not investment advice.
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