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978 per cent jump in net profit: Multibagger penny stock under Rs 50 hit upper circuit & 52-week high as it announces stellar quarterly results & stock split!
Kiran Shroff

978 per cent jump in net profit: Multibagger penny stock under Rs 50 hit upper circuit & 52-week high as it announces stellar quarterly results & stock split!

The shares of the company have a PE of 12.4x whereas the industry PE is 80.3x with an ROE of 53 per cent and an ROCE of 71 per cent.

Today, shares of Franklin Industries Ltd hit a 5 per cent upper circuit to Rs 47.7 per share. The stock also made a 52-week high is Rs 47.71 per share. The shares of the company saw a spurt in volume by more than 3.55 times on BSE.

The sudden rise in the stock price was due to the company announcing stellar Quarterly Results and a stock split. Here are the details: -

Quarterly results: In Q3FY24, the net sales increased by 106.5 per cent to Rs 16.73 crore, operating profit increased by 982.4 per cent to Rs 4.68 crore and net profit increased by 978.4 per cent to Rs 3.45 crore compared to Q3FY23.

Stock Split Update: The Board of Directors of the company has approved a sub-division of 1 equity share of the face value of Rs 10 each fully paid up into 1 equity share of Rs 1 each fully paid up, resulting in the issuance of 10 equity shares of Rs 1 each fully paid up, thereby keeping the paid-up capital intact. The stock split is to improve the liquidity of the company's equity shares in the stock market and to make the shares more affordable to small investors. The company fixed the record date for the stock split as Thursday, January 11, 2023.

Franklin Industries Limited provides financial services. The company offers real estate services, as well as trading of various commodities, equities, gems, jewellery and textiles. Franklin Industries serves customers in India. The stock gave multibagger returns of 350 per cent in just 1 year.

The company has a market cap of Rs 17.25 crore. The shares of the company have a PE of 12.4x whereas the industry PE is 80.3x with an ROE of 53 per cent and an ROCE of 71 per cent. As of September 2023, there are zero promoters in the company and a 100 per cent stake is owned by the public.

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

DSIJ's ‘Penny Pick’ service provides research-backed penny stock recommendations below Rs. 100. If this interests you, do download the service details here.

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