Multibagger penny stock below Rs 10; Board likely to announce bonus shares!

The stock is up by 44 per cent from its 52-week low of Rs 5.73 per share and gave multibagger returns of over 140 per cent in 3 years.

Kanani Industries Ltd informed that the Board of Directors of the company is scheduled on Saturday, December 09, 2023, at 2.00 P.M. at the Registered Office of the Company to consider and approve the following matters:

The company is proposing to issue bonus shares to existing equity shareholders, appoint new auditors, increase its authorized capital, convene an extra general meeting of members, finalize the record date for the bonus share issue, appoint a scrutineer to oversee the e-voting process and discuss any other matters with the permission of the chair.

In October 2023, the company announced that it had secured export orders worth approximately Rs 20 crore from its esteemed international clients. These orders are for the manufacturing of jewellery and will be fulfilled using the company's in-house, backward-integrated manufacturing facility. This is expected to improve the company's profit margins. The company aims to deliver the orders within six months.

Today, shares of Kanani Industries Ltd gained 0.39 per cent to Rs 7.68 per share from its previous closing of Rs 7.65 per share with an intraday high of Rs 7.79 and an intraday low of Rs 7.62. The stock’s 52-week high is Rs 13.75 and its 52-week low is Rs 5.43. The shares of the company saw a spurt in volume by more than 5 times on BSE.

Kanani Industries Ltd, founded in 1983, is a manufacturer and exporter of diamond-studded jewellery. The company offers a wide range of diamond-studded jewellery, including rings, necklaces, earrings, bracelets, and pendants. The company has a market cap of Rs 76 crore with a 3-year stock price CAGR of 40 per cent. Furthermore, the company reported positive numbers in its Quarterly Results (Q1FY24) and annual results (FY23).

As of June 2023, the promoters of Kanani Industries Ltd own 61.35 per cent of the company, while the remaining 38.65 per cent is owned by public shareholders.

The stock is up by 44 per cent from its 52-week low of Rs 5.73 per share and gave multibagger returns of over 140 per cent in 3 years. Investors should keep an eye on this micro-cap stock.

Disclaimer: The article is for informational purposes only and not investment advice.