Penny stock under Rs 5: Heavy buying witnessed in this micro-cap stock; hit 10 per cent upper circuit post debt reduction programme & patent win!

The stock is up by 50 per cent from its 52-week low of Rs 2.38 per share.

Indian markets remained largely flat today, with the Sensex dipping slightly by 0.07 per cent and the Nifty edging up by 0.02 per cent. However, amidst the subdued broader sentiment, a penny stock named Vikas Ecotech Ltd bucked the trend, skyrocketing 10 per cent to Rs 3.56 per share. This surge came on the back of a more than fivefold volume jump, marking Vikas Ecotech as the standout performer of the day.

Vikas Ecotech Ltd, a New Delhi-based company, is a leader in the field of speciality polymers, speciality additives and chemicals for the plastics & rubber industries. Their products cater to a wide range of applications across diverse sectors, including agriculture, infrastructure, packaging, electrical, footwear, pharmaceuticals, automotive, and medical devices.

Vikas Ecotech celebrates a crucial milestone: its first patent, awarded for groundbreaking "smart conjugated polymer nanocomposites." This novel technology, designed for superior corrosion protection in harsh saline environments, encases nano-sized particles within a custom-engineered matrix. These "smart" coatings offer key advantages over traditional paints: they're environmentally friendly (VOC-free), self-healing for lasting protection, and outperform in demanding industries like infrastructure, marine, and oil & gas. As the sole Indian manufacturer of Organotin stabilizers and with expertise in Plasticizer production, Vikas Ecotech boasts a robust R&D and expansion strategy is making the stock reach close to new highs.

Vikas Ecotech is sprinting towards a debt-free future! Since launching its debt reduction program in August 2021, they've already repaid a whopping Rs 118.7 crore, shrinking their bank debt by 74 per cent from its peak of Rs 161.2 crore to just Rs 4.25 crore today. This impressive progress shows their commitment to financial stability.

Adding to the good news, Vikas Ecotech has secured hefty orders worth Rs 22.5 crore from leading clients like Alert India, Capstan Rubber, and Polycab India. These orders, to be delivered within the next 30-45 days, are a strong vote of confidence in their speciality polymer compounds and promise robust revenue growth.

The stock’s 52-week high is Rs 5.09 and its 52-week low is Rs 2.38. The stock is up by 50 per cent from its 52-week low of Rs 2.38 per share.

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