Multibagger penny stock below Rs 10: This micro-cap company is expanding its business in Jammu and Kashmir by setting up 2 more procurement facilitation centres!

The stock gave multibagger returns of 265 per cent in just 1 year and of a whopping 1,245 per cent in 3 years.

Expanding its reach in Jammu and Kashmir, Sarveshwar Foods Ltd has opened two new SFL Chaupals in Kulgam and Doda, bringing its total procurement centres to 12 across the region. These farmer-managed hubs, operating in both Jammu and Kashmir, not only ensure swift and direct procurement of walnuts, apples, rajma, and other Himalayan delights but also empower local farmers with information and support throughout the cultivation cycle, fostering a seamless and mutually beneficial partnership.

Earlier, Sarveshwar Foods launched two SFL Chaupals—direct procurement centres for apples and dry fruits in Baramulla and Pulwama—to both streamline their supply chain and support farmers from planting to harvest. Through its network of SFL Choupals, Sarveshwar Food Limited facilitates real-time access to current, pertinent information on market prices, agricultural expertise, and optimal farming practices.

Leveraging its extensive knowledge, the company aims to address the multifaceted challenges faced by farmers in a structured manner. This comprehensive intervention platform fosters a virtuous cycle of enhanced farm productivity, increased income, and amplified risk management capabilities for farmers, ultimately ensuring a consistent supply of authentic, high-quality farm produce for the company.

SFL, a 130-year-old ISO & USFDA certified rice specialist from the Himalayan foothills, crafts healthy, tasty rice (branded & unbranded, Basmati & non-Basmati) for domestic & international markets. They also sell premium FMCG & Organic products under "NIMBARK," promoting a "SATVIK" lifestyle. They use sustainable practices, organic manures, and Himalayan snow melt to nourish their soil and products, reaching customers through traditional channels, their own retail outlets, and online platforms.

The company has a market cap of over Rs 700 crore with a 3-year CAGR of 150 per cent. According to Quarterly Results, the net sales increased by 15.2 per cent to Rs 205.22 crore and net profit increased by 220 per cent to Rs 4.83 crore in Q2FY24 compared to Q2FY23. In its annual results, the net sales increased by 14 per cent to Rs 689 crore and net profit increased by 166.7 per cent to Rs 8 crore in FY23 compared to FY22.

The stock gave multibagger returns of 265 per cent in just 1 year and of a whopping 1,245 per cent in 3 years. Investors should keep an eye on this micro-cap stock.

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