75 Per Cent Returns From 52-Week Low: Only Buyers In This Penny Under Re 1; Hit 10 Per Cent Upper Circuit On December 09
From Re 0.49 per share (52-week low) to Rs 0.86 per share, the stock gave over 75 per cent returns.
Today, shares of Srestha Finvest Ltd hit a 10 per cent upper circuit to Re 0.86 per share from its previous closing of Rs 0.79. The stock’s 52-week high is Rs 1.28 while its 52-week low is Re 0.49. A total of 2 crore shares changed hands on BSE.
Established in 1985, Srestha Finvest Ltd. is a multifaceted financial services company offering various solutions, including loans, financing, and investments. They hold a specific regulatory license: a Category B Non-Systematically Important Non-Deposit Taking NBFC - Investment and Credit Company. This allows them to provide loans secured by various assets (securities, movable and immovable properties), offer hire purchase and leasing options, and engage in trading and investing shares. The company has a market cap of over Rs 140 crore.
The total income increased by 7 per cent to Rs 358 lakh in Q2FY25 compared to the total revenue of Rs 210 lakh in Q2FY24. The company reported a net loss of Rs 1,482 lakh in Q2FY25 compared to a net loss of Rs 330 lakh in Q2FY24. In its half-yearly results, the total income increased by 884 per cent to Rs 4,308 lakh in H1FY25 compared to the total revenue of Rs 438 lakh in H1FY24. The company reported a net profit of Rs 1,619 lakh in H1FY25 compared to a net loss of Rs 286 lakh in H1FY24, an increase of 666 per cent.
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The total income increased by 269 per cent to Rs 1,013.01 lakh in FY24 compared to the total income of Rs 274.56 lakh in FY23. The company reported a net profit of Rs 173.86 lakh in FY24 compared to a net loss of Rs 497.41 lakh in FY23, an increase of 135 per cent. The company reported a net profit in FY24 after reporting a net loss for the past 5 years i.e., FY23, FY22, FY21, FY20 and FY19.
Additionally, the company approved a Qualified Institutional Placement (QIP) to raise up to Rs 100 crore by issuing 93 crore equity shares at Rs 1.05 per share to 20 non-promoters. This requires both shareholder and regulatory approval. Second, the board has increased the company's borrowing limit to Rs 500 crore, a decision that falls under Section 180(1)(c) of the Companies Act, 2013 and necessitates shareholder consent. On September 23, 2024, the shares of the company ex-traded stock split in the ratio 2:1 i.e., splitting of 1 equity share have a face value of Rs 2 into 2 equity shares have a face value of Re 1 each.
From Re 0.49 per share (52-week low) to Rs 0.86 per share, the stock gave over 75 per cent returns. Investors should keep an eye on this micro-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.