Stock to keep on your radar: Microcap stock rallies 271 per cent in past three months, declares 1:1 bonus!

The company has been maintaining a healthy dividend payout of 33.9 per cent.

Evan Electric Ltd is an Electro-Mechanical Repair and Rewind Service company. Company provides advancing repair, refurbishment and support services to Power Generation, Distribution, Manufacturing and Process industries and all types of Electro-Mechanical equipment used in Industries. Company provides import substitution on costly foreign made apparatus and also does in-house development and manufacture of costly replacement components.

The company is a micro-cap company having a market cap of Rs 43.6 crore and interestingly, the stock has skyrocketed nearly 271 per cent in the last three months, which means the stock has given multibagger returns to its shareholders in just a span of three months. Isn’t it amazing?! What’s more striking is the fact that the company’s Board meeting is scheduled to be held on January 31, 2023 to consider and approve fixation of record date for the purpose of determining bonus entitlement to the shareholders.

Earlier, the Board of Directors recommended the Bonus Issue of Equity Shares in the ratio of 1:1 i.e. 1 (One) fully paid up equity share for every 1 (One) equity share held to the shareholders of the Company as on record date. So, the record date would be ascertained on January 31, 2023.

Considering that the date of Board meeting has been released to announce the record date for the bonus issue, we could expect the stock to remain in market participants radar!

For the half year ended September, 2022, the stock reported net sales of Rs 14.18 crore and operating profit of Rs 3.13 crore and net profit of Rs 2.73 crore. EPS stood at Rs 19.90 and the debtor days have improved from 66.9 to 48.7 days for the company. The company has been maintaining a healthy dividend payout of 33.9 per cent.