50 per cent returns from its 52-week low: Low PE gems & jewellery stock rockets over 9 per cent with 3 times spurt in volume on August 20
The stock is up by 50 per cent from its 52-week low of Rs 170 per share.
Today, the shares of Manoj Vaibhav Gems N Jewellers Ltd surged 9.1 per cent to an intraday high of Rs 255.80 per share from its previous closing of Rs 234.40. The stock’s 52-week high is Rs 382.2 and its 52-week low is Rs 170 with a market cap of over Rs 1,200 crore. The stock is up by 50 per cent from its 52-week low of Rs 170 per share. The shares of the company saw a spurt in volume by more than 3 times on BSE.
Manoj Vaibhav Gems 'N' Jewellers, a national brand with a strong presence in South India, has grown from a regional player to a dominant force by specializing in high-quality gold, diamond and other precious metal jewellery. They cater to a loyal customer base through a network of stores strategically placed in Tier 2 and 3 cities, and offer a wide range of daily wear, festive wear, bridal, antique and temple jewellery online, along with expert advice to help you style your look and find the perfect piece.
Earlier, Manoj Vaibhav Gems N Jewellers Ltd, a major player in the organized jewellery market, is expanding its physical footprint with 2 new stores launched on March 24, 2024, bringing its total store count to 15 (including two franchise stores) and is well-positioned to benefit from the growing middle class and online jewellery market boom.
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The company’s majority of the stake is owned by the promoters of the company i.e., 74.28 per cent while FIIs own 7.96 per cent, DIIs own 1.23 per cent and the public owns 16.54 per cent stake in the company as of June 2024. The shares of the company have a PE of 14x whereas the industry PE is 28x with an ROE of 17 per cent and an ROCE of 16 per cent. Manoj Vaibhav Gems N Jewellers Ltd stands as a firmly established jewellery retailer maintaining a strong foothold in the rural and semi-urban regions of Andhra Pradesh and Telangana.
The Indian government's recent budget has injected renewed vigour into the gems and jewellery sector. By significantly slashing customs duty on precious metals like gold, silver, and platinum, the government aims to reduce retail jewellery prices, thereby stimulating consumer demand and boosting domestic manufacturing. Additionally, the complete removal of duties on essential jewellery-making minerals, streamlined trade processes, and dedicated support for the lab-grown diamond industry create a favourable environment for growth. With these tailwinds, the sector is poised to accelerate its expansion, targeting a substantial valuation of USD 100 billion by 2027.
Disclaimer: The article is for informational purposes only and not investment advice.
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