Promoters back-to-back buying: Ashish Kacholia and Mrs. Agarwal held multibagger stock attracts promoter buying amid robust order book

Its promoters are doubling down on their confidence in its future prospects. As the company continues to chart a course for growth and diversification, it's certainly a stock to watch for those looking to ride the multibagger wave

In the high-stakes world of Small-Cap stocks, one name has recently emerged as a shining star, dazzling investors with its meteoric rise - Venus Pipes and Tubes. The stock has not only delivered jaw-dropping multibagger returns over the past year but has also garnered attention for its association with notable small-cap investors. Among these, the enigmatic Ashish Kacholia commands a 1.97 per cent stake in the company, while the dynamic duo of Mukul Agarwal and Madhulika Agarwal together hold an impressive 2.46 per cent stake.

But what has truly set tongues wagging in the financial world is the recent surge in promoter interest. Over the last week, the company's promoters have been on a buying spree, sending a resounding message to the market. The latest disclosure under SEBI's Prohibition of Insider Trading regulations came from none other than Arun Axaykumar Kothari, who acquired 8,750 equity shares at an average price of Rs. 1498.6 on September 23, 2023. Just two days earlier, on September 21, the insider trading activity was even more intense. Prominent figures in the company, such as Dhruv Mahendrakumar Patel, Arun Axaykumar Kothari, and Payal Arunbhai Kothari, added a whopping 7,700, 37,424, and 12,200 shares, respectively.

The reason behind this fervent promoter buying activity becomes clear when you delve into Venus Pipes and Tubes' financial performance. For the quarter ending in June 2023, the company reported its highest-ever net profit, a staggering Rs 17 crore. The revenue figures are equally impressive, surging by 58 per cent year-on-year to reach Rs 180 crore. These remarkable numbers are a testament to the company's solid fundamentals and strategic vision.

But that's not all. Venus Pipes and Tubes is not resting on its laurels. It boasts a robust order book and is brimming with confidence about future growth prospects, both in the domestic and export markets. The company is not content with maintaining the status quo; it's actively diversifying into new sectors like pharmaceuticals, food processing, and railways, signaling its intent to capture new avenues for expansion. With new capacity coming into play, there is an expectation of increasing market share and improving profit margins.

In the world of small-cap stocks, Venus Pipes and Tubes is making waves, and its promoters are doubling down on their confidence in its future prospects. As the company continues to chart a course for growth and diversification, it's certainly a stock to watch for those looking to ride the multibagger wave and see how this captivating story unfolds.

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