Only buyers in this multibagger cable stock at Rs 79 with Rs 443.5 crore order book: Exchanges gives trading approval for 2,02,74,980 equity shares to non-promoters

The stock gave multibagger returns of over 130 per cent from its 52-week low of Rs 34.07 and a whopping 650 per cent in 3 years.

Today, shares of Paramount Communications Ltd hit a 5 per cent upper circuit to Rs 78.90 per share from its previous closing of Rs 7.155. The stock’s 52-week high is Rs 116.70 and its 52-week low is Rs 34.07. The company's shares saw heavy buying with a spurt in volume by more than 3 times on BSE. The stock has been hitting upper circuits from the past 2 trading sessions.

Paramount Communications Ltd produces a variety of wires and cables, including power cables, telecom cables, railway cables, and specialised cables. The company boasts a substantial client base, including esteemed organisations such as Larsen & Toubro, Steel Authority of India (SAIL), BSES, Bharat Heavy Electrical Ltd, Power Grid Corporation, BSNL, Tata Steel, Alcatel Lucent Enterprises, ISRO, Indian Railways, Indian Oil, NTPC, among others.

The company has received Trading approval from BSE vide letter dated May 22, 2024 and NSE vide letter dated May 21, 2024 for 2,02,74,980 equity shares of Rs 2 each issued at a premium of Rs 64.50 bearing distinctive numbers from 281309891 to 301584870 issued to non-promoters on a preferential basis.

Additionally, The Board of Directors of the Company is scheduled to be held on Friday, May 24, 2024, to consider and approve, among other things, the Audited Standalone and Consolidated Financial Results for the Quarter and Financial Year ended on March 31, 2024.

Earlier, the company received a long-term rating of [ICRA] BBB- (Stable) from ICRA, a credit rating agency, for their bank facilities of Rs 150 crore. This rating indicates moderate credit quality with a stable outlook. The rating is based on the specific terms and conditions of the bank facilities and may change if those terms change. It's important to note that this rating is an opinion and shouldn't be considered financial advice. The rating will need to be reviewed if the size of the facilities changes.

Also Read: 7,000 per cent returns: Heavy buying in this high ROE & high ROCE multibagger chemicals stock - Rockets over 5 per cent today; Here’s why!

The company announced stellar Quarterly Results (Q3FY24) and nine-month results (9MFY24) for the fiscal year 2024. According to quarterly results, the net sales increased by 30.3 per cent to Rs 284.25 crore, operating increased by 35.5 per cent to Rs 25.66 crore and profit after tax (PAT) increased by 53.8 per cent to Rs 22.03 crore in Q3FY24 compared to Q3FY23 while in its nine-month results, the net sales increased by 25.7 per cent to Rs 747.23 crore, profit before tax (PBT) increased by 65.1 per cent to Rs 56.1 crore and profit after tax (PAT) increased by 65 per cent to Rs 56 crore in 9MFY24 compared to 9MFY23.

These remarkable outcomes are supported by a robust order book totalling Rs 443.5 crore as of December 31, 2023. The portfolio is diversified across various sectors including power, railway, telecom, house wire, export, and EPC projects.

The company's shares exhibit an ROE of 21.2 per cent and an ROCE of 14 per cent. The stock gave multibagger returns of over 130 per cent from its 52-week low of Rs 34.07 and a whopping 650 per cent in 3 years. Over a decade, the stock has soared from Rs 2.04 per share to an intraday high of Rs 78.90 per share, achieving multibagger returns of 3,767 per cent. Investors should keep an eye on this cable manufacturing stock.

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