LIC-Backed Multibagger Power Generation Stock Hit Upper Circuit And 52-Week High On September 24
The stock gave multibagger returns of 300 per cent in just 1 year whereas BSE Small-cap Index is up by 55 per cent.
On Tuesday, shares of GMR Power and Urban Infra Limited hit a 5 per cent upper circuit to Rs 155.95 per share from its previous closing of Rs 148.55 with an intraday high of Rs 155.95 and an intraday low of Rs 155.28. The stock gave multibagger returns of 300 per cent in just 1 year whereas BSE Small-Cap Index is up by 55 per cent. The stock also made a new 52-week high of Rs 155.95 per share whereas its 52-week low is Rs 29.71 per share with a spurt in volume by more than 1.75 times on BSE.
GMR Power & Urban Infra Ltd (GPUIL), a subsidiary of the GMR Group, is a leading Indian company with expertise in energy, urban infrastructure, and transportation. They operate across three main business segments: energy generation with a balanced fuel mix including coal, gas, hydro, solar, and wind; road and transportation projects encompassing highways, railways, metros, and airstrips; and Engineering, Procurement, and Construction (EPC) services for various infrastructure sectors. The company has a market cap of over Rs 11,000 crore.
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According to Quarterly Results, the net sales increased by per cent to Rs 1,612 crore in Q1FY25 compared to Rs 1,124 crore in Q1FY24. The company reported a net profit of Rs 1,362 crore in Q1FY25 compared to a net loss of Rs 218 crore in Q1FY24, an increase of 725 per cent. In its annual results (FY24), the company reported net sales of Rs 4,489 crore and net loss of Rs 127 crore.
The Board authorizes raising up to Rs 3,000 crore in one or more instalments by issuing securities, including through Qualified Institutions Placement, Foreign Currency Convertible Bonds, or other securities. This decision is subject to shareholder approval and necessary regulatory or statutory clearances. As of July 2024, LIC owns a 1.32 per cent stake in the company.
Currently, energy is their biggest revenue driver, followed by roads & transportation, and then EPC. They have a strong track record with over 3,000 MW of installed power generation capacity and over 1,800 lane kilometres of operational roads & highways. Notably, they are nearing completion of a major EPC project for a section of the Eastern Dedicated Freight Corridor.
Disclaimer: The article is for informational purposes only and not investment advice.