Low PE; high ROE & high ROCE multibagger stock: This civil construction company acquires a 100 per cent ownership of Square Port Shipyard Pvt Ltd

The stock gave multibagger returns of 307 per cent in just 1 year, 9,350 per cent in 3 years and a whopping 29,000 per cent in 5 years.

Hazoor Multi Projects Limited acquired 100 per cent ownership of Square Port Shipyard Private Limited, a recently incorporated company (founded on November 29, 2022) located in Kolkata, for Rs 3,91,50,000 in cash. Square Port Shipyard is a small company in its first year of operation, with an authorized capital of Rs 15 lakh, a paid-up share capital of Rs 15 lakh, and a net loss of Rs 17,990 for the financial year 2022-23. The acquisition does not involve any related parties and is intended to achieve economies of scale and diversification for Hazoor Mult Projects' future growth. The deal was completed through a Share Purchase Agreement (SPA) with a share price of Rs 261 per share.

Earlier, Hazoor Infra Projects Private Limited, a subsidiary of Arawali Kante Multi Projects Private Limited, for the rehabilitation and upgradation of NH-66 in Maharashtra under the government's NHDP-IV program. This project, valued at approximately Rs 1,130 crore, will see the four-lining of the Arawali to Kante section of the highway. The concessionaire will receive a combination of upfront payments, annuities with interest, and reimbursements for operation and maintenance costs to finance the project. This initiative will significantly improve connectivity and boost economic activity in the region.

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Incorporated in 1992, Hazoor Multi Projects Limited is engaged in the business of Infrastructure and Real Estate. According to the financials, Hazoor Multi Projects has a market cap of over Rs 700 crore with a 5-year CAGR of 220 per cent. The company reported positive numbers in its Quarterly Results and annual results.

The shares of the company have a PE of 12x whereas the sectoral PE is 19x with an ROE of 86 per cent & an ROCE of 84 per cent. The stock gave multibagger returns of 307 per cent in just 1 year, 9,350 per cent in 3 years and a whopping 29,000 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.