Multibagger automobile stock surges 7 per cent on outstanding results; declares stellar dividend!
The shares of the company saw a spurt in volume by more than 20.07 times on BSE.
On Friday, one of the Top Gainers on BSE. Shares of Eicher Motors surged 7.05 per cent to an intraday high of Rs 3,647.20 per share. At the closing bell, shares of the company were in green, up 6.56 per cent to Rs 3,630.60 per share with a spurt in volume by more than 20.07 times on BSE.
The reason behind the sudden rise in stock price is due to the outstanding results announced by the company. The net sales increased by 19.10 per cent and the net profit increased by 48.40 per cent in Q4FY23 over Q4FY22. In FY23, net sales increased by 40.20 per cent and net profit rose by 73.80 per cent compared to FY22.
The company has crossed the 1,00,000 Royal Enfield export shipments milestone for the first time. Additionally, the company has declared the highest ever dividend of Rs 37 per equity share as the final dividend for the financial year 2022-2023 aggregating to Rs 1,011.88 crore (37 per cent of PAT).
Furthermore, the Board has also approved a cash outlay towards capex of Rs 1,000 crore for the Financial Year 2023-24, which also includes the investment towards EV manufacturing facility and product development and new product development under the Internal Combustion Engine portfolio.
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Eicher Motors Limited, incorporated in 1982, is the listed company of the Eicher Group in India and a leading player in the Indian automobile industry and the global leader in middleweight motorcycles.
From Rs 306 per share to Rs 3,647.20 per share, the stock gave multibagger returns of 1092 per cent in just 1 decade. Investors should keep an eye on this automobile stock.