Penny stock under Rs 15 with a multibagger return of 500 per cent in the last six months, hits an upper circuit on Friday, Do you own it?
The shares of the company have generated an impressive multibagger return of 180 per cent in the last one month.
GVK Power and Infrastructure Limited witnessed a significant surge in its stock prices on Friday. The stock opened trading at Rs 12.53 per share, reflecting a 4.94 per cent increase compared to the previous day's closing price of Rs 11.94 per share on the BSE.
Furthermore, during the intraday session, the stock hit the upper circuit limit of 5 per cent, with no sellers willing to sell shares in the market. The stock hit a 52-week high too, and finally, the stock concluded Friday’s trading session at Rs 12.53 per share on the BSE.
With a market capitalization of Rs 1,979 crore, the stock has demonstrated outstanding performance in recent periods, yielding an impressive 180 per cent return in a month. Moreover, it has generated an impressive multibagger return of 500 per cent in the last six months.
Shifting focus to the financial performance of the company. In the June quarter of FY24, the company experienced a decline in revenue from operations, with a year-on-year decrease of 18.60 per cent, falling from Rs 615 crore to Rs 500 crore. The company reported an operating profit of Rs 453 crore, compared to a profit of Rs 321 crore in the corresponding quarter of the previous year, resulting in an operating profit margin of a remarkable 91 per cent in the recent quarter.
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Meanwhile, the company's net profit amounted to Rs 275 crore, compared to a net loss of Rs 400 crore in the corresponding quarter of the previous year. In the last quarter of FY23, the company reported a net loss of Rs 275 crore. The shares are trading at a price-to-earnings ratio of 8.4 times in the market.
GVK Power and Infrastructure Limited is primarily engaged in the business of providing operation and maintenance services, manpower and consultancy services, and incidental services to owners of power plants, airports, and infrastructure companies.
Investors must keep this stock on their radar.
Disclaimer: This article is for informational purposes only and not investment advice.