Heavy volume breakout in this multibagger penny stock under Rs 50 from logistics sector; scrip gains over 18 per cent & hit 52-week high on July 22

Heavy volume breakout in this multibagger penny stock under Rs 50 from logistics sector; scrip gains over 18 per cent & hit 52-week high on July 22

Kiran Shroff

The stock also made a fresh new 52-week high of Rs 42.69 while its 52-week low is Rs 18.40 with a spurt in volume by more than 7 times on BSE.

Today, shares of North Eastern Carrying Corporation Ltd gained 18.42 per cent to an intraday high of Rs 42.69 per share from its previous closing of Rs 36.05. The stock also made a fresh new 52-week high of Rs 42.69 while its 52-week low is Rs 18.40 with a spurt in volume by more than 7 times on BSE.

The stock gave multibagger returns of 132 per cent from its 52-week low of Rs 18.40 per share and gave multibagger returns of over 700 per cent in 5 years. The company has not made any significant announcements of late. Hence, the rally in the share price could be driven purely by the market forces. 

Earlier, the company informed that the Promoter & Managing Director of the company - Sunil Kumar Jain bought 39,55,062 shares or a 3.96 per cent stake in the company via preferential issue allotment having a face value of Rs 10 each at a price of Rs 32.05 which includes a premium of Rs 22.05 per equity share. In March 2024, FIIs took a fresh entry into this stock and bought 0.15 per cent.

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Furthermore, North Eastern Carrying Corporation (NECC) has secured a 3-year contract worth Rs 52.48 crore for polymer transportation from GAIL (India) Limited. Looking beyond this immediate win, NECC has also partnered with S.G. Logistic Management Private Limited (SGL) in a strategic collaboration. This partnership involves a Rs 20 crore investment and a 20 per cent stake acquisition in SGL. The joint venture aims to build a sustainable and eco-friendly transportation network using electric vehicles (EVs).

North Eastern Carrying Corporation Ltd primarily provides freight transportation services to bulk and retail customers, particularly in the Full Truckload (FTL) segment, along with other services like warehousing and packing. The company has a market cap of over Rs 400 crore.

According to Quarterly Results, the net sales increased by 25.2 per cent to Rs 91.84 crore and net profit increased by 155.4 per cent to Rs 2.86 crore in Q4FY24 compared to Q4FY23. In its annual results, the net sales increased by 9.5 per cent to Rs 335.12 crore and net profit increased by 8.2 per cent to Rs 10.17 crore in FY24 compared to FY23. Investors should keep an eye on this logistics stock.

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

Also Read: 5:1 stock split & Rs 1,747 crore order book: multibagger telecom infrastructure company bags new orders worth Rs 64,24,51,195 from KPI Green Energy & Pace Digitek Infra

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