Promoters bought 2,28,13,340 shares: Multibagger penny stock under Rs 70 jumps over 5 per cent with heavy volume; Here’s why!
The stock gave multibagger returns of 600 per cent in 5 years and a whopping 1,100 per cent in a decade.
The Indian government has reversed its previous ban on rice sales to ethanol distilleries, allowing up to 2.3 million tonnes of rice from FCI stocks to be purchased through e-auctions between August and October 2024. This decision comes in response to the surplus rice stocks exceeding 540 lakh tonnes, creating a storage challenge for the upcoming harvest. The government hopes this move will help manage the excess inventory while also supporting ethanol production. However, the decision has raised concerns about food security, as it marks a shift in the government's stance on using food grains for biofuel production.
Today, shares of BCL Industries Ltd gained over 5 per cent to an intraday high of Rs 64 per share from its previous closing of Rs 60.66. The stock’s 52-week high is Rs 86.25 while its 52-week low is Rs 45.70. The shares of the company saw a spurt in volume by more than 3 times on BSE.
BCL Industries Limited is one of India’s largest agro-processing manufacturing companies with diverse businesses and vertical integrations. Established in 1976, BCL Industries Limited is engaged in edible oils, rice milling, grain-based distilleries and real estate. It is present in Punjab and West Bengal. BCL Industries Ltd Limited is a part of the Mittal group with a market cap of Rs 1,505 crore. The company's expansion is paying off. The Bathinda unit's new plant doubled its ethanol production capacity, and a new plant in Kharagpur along with a subsidiary's expansion boosted total capacity to 700 KLPD. This strong growth is meeting high demand, with a full order book from Oil Marketing Companies until November 2024.
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According to Quarterly Results, the net sales increased by 47.66 per cent to Rs 658.51 crore and net profit increased by 24.1 per cent to Rs 24.51 crore in Q1FY25 compared to Q1FY24. In its annual results, the net sales increased by 21 per cent to Rs 2,200.62 crore in FY24 compared to Rs 1,819.92 crore in FY23 while the net profit increased by 49 per cent to Rs 95.92 crore in FY24 compared to Rs 64.36 crore in FY23.
In Q1FY25, Promoters of the company bought 2,28,13,340 shares and increased their stake to 59.47 per cent compared to 56.08 per cent in March 2024. Additionally, an ace investor, Sangeetha S own a 1.13 per cent stake in the company as of June 2024. The stock gave multibagger returns of 600 per cent in 5 years and a whopping 1,100 per cent in a decade. Investors should keep an eye on this Small-Cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.
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