High ROE and ROCE multibagger stock: This micro-cap company bags new orders worth Rs 77,55,388 from Swiggy, Shoppers Stop Ltd and Amelior Packaging Pvt Ltd!

The stock gave multibagger returns of over 250 per cent from its 52-week low of Rs 47.80 per share.

Alphalogic Industries Ltd announced that the company bagged a total of 4 orders worth Rs 77,55,388 from various clients across India and all the orders will be completed by the last week of December 2023. Here are the details:

The company bagged 2 orders worth Rs 40,48,354 from Scootsy Logistics Private Limited (popularly known as Swiggy). The company has secured a trifecta of contracts to design, manufacture, supply, and install storage racking systems for Swiggy, the popular food delivery platform. The projects encompass three units: Visakhapatnam in Andhra Pradesh, Thane in Maharashtra, and Malkajgiri in Telangana, solidifying its position as a leading provider of storage solutions for the rapidly growing e-commerce and logistics sectors.

Additionally, the company have received an order worth Rs 22,73,334 from Shoppers Stop Limited which includes the design, manufacture, supply and installation of slotted angle racks and staff locker. Furthermore, the company received an order worth Rs 14,33,700 from Amelior Packaging Private Limited which includes design, manufacture, supply and installation of a mezzanine floor structure.

Alphalogic Industries is engaged in the design, manufacturing, supply and installation of industrial and institutional storage systems i.e., compactor storage systems, heavy-duty storage racks, cantilever racks, lockers, mezzanine floors, metal pallets and crates. The company has a market cap of over Rs 175 crore.

According to half-yearly results, the company's net sales increased by 220.2 per cent to Rs 19.73 crore, operating profit increased by 45.64 per cent to Rs 1.67 crore and net profit increased by 59 per cent to Rs 1.11 crore in H1FY24 compared to H1FY23.

According to the annual results, the net sales increased by 130 per cent to Rs 18.02 crore, operating profit increased by 338 per cent to Rs 3.20 crore and net profit increased by 606 per cent to Rs 2.19 crore in FY23 compared to FY22

The company, in addition to its strong financial results, had also announced a bonus share issue in the 1:1 ratio. This meant that for every fully paid-up equity share of Rs 10 each, shareholders would receive one bonus share. The bonus shares ex-traded on Friday, December 01, 2023.

Today, shares of Alphalogic Industries Ltd plunged 8.02 per cent to Rs 172 per share from its previous closing of Rs 187 with an intraday high of Rs 181 and an intraday low of Rs 171. The stock’s 52-week high is Rs 194.5 and its 52-week low is Rs 47.8.

The shares of the company were listed on BSE on Friday, July 14, 2023, at Rs 96.29 per share as an S&P BSE SME IPO with a lot size of 1,200 shares. The stock has an ROE of 84.4 per cent and an ROCE of 63 per cent. The stock gave multibagger returns of over 250 per cent from its 52-week low of Rs 47.80 per share. Investors should keep an eye on this SME stock.

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