Vijay Kedia gains Rs 32,50,00,000 from this multibagger penny stock under Rs 50 in six months with Rs 2,00,033 million order book; company reports stellar results!

The stock gave multibagger returns of 104.82 per cent in just 6 months whereas BSE Industrials Index is up by 30.88 per cent.

Indian stock markets were trading in green on Friday, with the BSE Sensex Index up 0.55 per cent at a level of 64,364 and the NSE Nifty-50 Index up 0.51 at 19,231. About 2,267 shares have advanced, 1,422 have declined and 129 were unchanged on BSE.

Along with the market in green, this multibagger penny stock bucked the trend and traded in the green. Let us know about this stock:

The stock we will be discussing today is PATEL ENGINEERING LTD.

Let's take a look at how the ace investor Vijay Kedia made Rs 32,50,00,000 in six months. Here are the details:

Vijay Kedia holds 1,30,00,000 or 1.3 crore shares in a multibagger penny stock. Over the last six months the stock is up by 25 points or 104.82 per cent.

Therefore, Rs 1,30,00,000 shares - Rs 25 per share = Rs 32,50,00,000 in six months.

Results
According to the Quarterly Results, the net sales increased by 23 per cent to Rs 1,021.31 crore and the net profit skyrocket by 191.2 per cent to Rs 38.07 crore in Q2FY24 compared to Q2FY23. According to the half-yearly results, the net sales increased by 14.62 per cent to Rs 2,139.92 crore and the net profit increased by 38.06 per cent to Rs 80.10 crore in H1FY24 compared to H1FY23. In its annual results, the net sales increased by 24.31 per cent to Rs 4,201.97 crore and net profit increased by 160 per cent to Rs 178.80 crore in FY23 over FY22.

Order Book

As of September 30, 2023, the company’s order stands at Rs 2,00,033 million (Including L1 Orders). Hydroelectric projects make up the largest portion of the company's order book, with 15 projects valued at Rs 1,19,707 million. Irrigation projects are the next largest segment, with 17 projects valued at Rs 42,485 million. Tunnel projects, road projects, and other projects make up the remaining portion of the order book, with 6 projects valued at Rs 23,133 million, 5 projects valued at Rs 6,238 million, and 5 projects valued at Rs 8,471 million, respectively.

About the Company

Patel Engineering Ltd is engaged in the construction of dams, bridges, tunnels, roads, piling works, industrial structures and other kinds of heavy civil engineering works in areas like hydro, irrigation & water supply, urban infrastructure and transport. The company has a market cap of over Rs 3,700 crore with a 3-year stock price CAGR of 76 per cent. The shares of the company have a PE of 19.4x whereas the industry PE is 26.5x and its 88.67 per cent share are pledged.

On Friday, shares of the company plunged 0.18 per cent to Rs 48.82 per share with an intraday high of Rs 51.36 and an intraday low of Rs 48.50. The stock gave multibagger returns of 104.82 per cent in just 6 months whereas BSE Industrials Index is up by 30.88 per cent.

Do you have this stock in your portfolio? Do let us know in the comment session below

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