Back-to-back 52-week highs in this multibagger stock; Board is likely to announce stock split!

The company signed a contract worth Rs 54.38 crore with the Ministry of Defence and declares stellar results.

On Tuesday, shares of Avantel Ltd surged 7 per cent to make a new 52-week high of Rs 704 per share from its previous closing of Rs 598.35. The stock gave multibagger returns of 197.17 per cent for its 52-week low of Rs 236.90 per share. At 03:30 pm, shares of the company ended the trading session in the green, up 1.46 per cent to Rs 667.65 per share.

The company will hold a meeting on Friday, June 23, 2023 inter alia to consider and approve the proposal for sub-division/split of the Equity shares of the company having a face value of Rs 10 (Rupees Ten) each fully paid up. The company announced a final dividend of 10 per cent or Rs 1 per share. The company verified the record date as Friday, June 16, 2023.

Recently, the company signed a contract worth Rs 54.38 crore with the Ministry of Defence, Coast Guard Headquarters, New Delhi. The order includes manufacturing SATCOM Terminals and Hub Stations and will be completed by September 2024.

Avantel Ltd specializes in the Information Technology sector. The company's services include designing, developing and deploying various e-business solutions, in addition to supplying assorted application services in the ISP area.

Avantel has a market cap of Rs 1,083 crore with a 3-year CAGR of 128 per cent. The company has reported excellent numbers in its Quarterly Results and annual results. The shares of the company have a PE of 35.53x, a ROE of 31 per cent and a ROCE of 38 per cent.

The stock gave multibagger returns of over 120 per cent in just 1 year whereas BSE Sensex Index is up by 19.47 per cent. Investors should keep an eye on this Small-Cap stock.