Vijay Kedia Bought 7.25 Lakh Shares of This Small-Cap Luggage Manufacturer – Stock Surges Over 16 Per cent in Just 2 Days!

DIIs increased their stake in the company from 12.68 per cent to 13.76 per cent in the company.

Stock market veteran Vijay Kedia has acquired approximately 7.25 lakh shares of VIP Industries. Following the news, VIP Industries' stock surged by around 6 per cent on Tuesday, pushing the share price to Rs 589.90.

The total value of the deal stands at Rs 39.59 crore. Kedia Securities, Vijay Kedia’s investment firm, purchased shares of VIP Industries, a leading luggage manufacturer, for Rs 545.97 per share.

VIP Industries is a Small-Cap company primarily engaged in the manufacturing and marketing of luggage, bags, and accessories. The company is Asia’s leading and the world’s second-largest manufacturer and retailer of luggage, backpacks, and handbags. It holds a dominant position in the organized and oligopolistic Indian luggage market, with an approximate 38% market share.

Finally, the shares of VIP Industries closed at around Rs 580.60 per share on the BSE. The company’s current market capitalization stands at Rs 8244.40 crore.

As per the Quarterly Results, VIP Industries recorded a revenue of Rs 638.89 crore compared to Rs 636.13 crore. The operating profit stood at Rs 49.31 crore. The net profit stood at Rs 4.04 crore compared to a profit of Rs 57.75 crore. Looking at the annual performance, the company generated a revenue of Rs 2245 crore in FY24. The operating profit for FY24 was Rs 198 crore with an operating profit margin of 9 per cent and a profit of Rs 54 crore.

According to the company's shareholding pattern, the promoters hold a 51.75 per cent stake while public investors own 27.18 per cent of the shares. FIIs and DIIs holds a 7.32 per cent and 13.76 per cent stake in the company. DIIs increased their stake in the company from 12.68 per cent to 13.76 per cent in the company.

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Investors must keep this stock on their radar.

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