Heavy buying witnessed: Keep a close eye on this stock ahead of its Q3 results!

The net profit of the company grew by 196.51 per cent to Rs 22.09 crore as against the figure of 7.45 crore during the previous quarter ended last year

On Friday, shares of Kingfa Science & Technology (India) saw a solid price-volume break and surged more than 4.7 per cent upper circuit, recording an intra-day high of Rs 1439 per share on BSE. 

In Q2FY23, the company reported revenue of Rs 351.26, up by 32.69 per cent from the corresponding quarter of last year of Rs 264.72 crore. The EBITDA levels grew by 139 per cent on a YOY basis to reach Rs 34 crore. Subsequently, the net profit of the company grew by 196.51 per cent to Rs 22.09 crore as against the figure of 7.45 crore during the previous quarter ended last year. This was the highest-ever quarterly financials of the company.  

Ahead of the results of quarter ended December 31, 2022, the market is expecting great results from the company after historic performance last quarter. It is expected that the next few quarters of the company should be great as performance is improving on all parameters including revenues, EBITDA and profit after tax. 

Kingfa Science & Technology (India) is a subsidiary company of M/s Kingfa Science & Technology Co Ltd China. It is engaged in the business of manufacturing and supply of high-quality modified plastic compounds for automotive and consumer products and personal protective types of equipment like masks and gloves.     

The company is also present in the electric vehicles (EV) segment and has successfully commercialized flame-retardant compound for 2-wheeler segments in EV. It is also working with OEMs for passenger vehicles as well.  

The stock has surged about 33 per cent in the last six months and has gained traction in the past 5 days with the stock rising more than 10 per cent. Investors should keep this trending stock on their radar for the upcoming sessions