High ROE and ROCE multibagger stock: Board announced bonus shares and stock split!

In Q3FY23, net sales skyrocketed 431.91 per cent and net profit skyrocketed 108.36 per cent compared to Q3FY22.

Varanium Cloud Limited announced that the Board of the company has approved bonus shares in the ratio 1:1 and a stock split of 1 equity share of the company having a face value of Rs 10 each into 2 equity shares of the company having a face value of Rs 5 each. The company fixed the record date of bonus shares and stock split as Friday, May 12, 2023.   

On Friday, shares of Varanium Cloud Ltd plummeted 5 per cent to Rs 802.85 per share from its previous closing of Rs 845.10. The 52-week high of the stock is Rs 1,602 and the 52-week low of Rs 146.50.  

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Varanium Cloud Limited is a technology company focused on providing services surrounding digital audio, video and financial blockchain (for PayFac) based streaming services. The company also did a partnership with QMS MAS (Medical Allied Services) and unveiled a cloud-based medical wearable device called Vyana.   

Talking about the financials, Varanium Cloud has a market cap of Rs 916 crore. The company reported excellent Quarterly Results. In Q3FY23, net sales skyrocketed 431.91 per cent and net profit skyrocketed 108.36 per cent compared to Q3FY22. The stock has an ROE of 106 per cent and a ROCE of 146 per cent.   

The stock gave multibagger returns of 525 per cent in just 1 year. Investors should keep this stock under their radar.