Multibagger penny stock below Rs 10: This micro-cap company set up 2 new SFL Chaupals for procurement of Dry Fruits & Apples directly from Farmers in Baramulla and Pulwama – know more here!
The stock gave multibagger returns of 245 per cent from its 52-week low of Rs 2.07 and of a whopping 1,500 per cent in 3 years.
Sarveshwar Foods Limited announced that the company has established two new SFL Chaupals, or Procurement Facilitation Centres, dedicated to the direct procurement of dry fruits and apples from farmers in Baramulla and Pulwama. These SFL Chaupals serve a dual purpose: firstly, to streamline and expedite the procurement process by eliminating unnecessary leaks, delays, and logistical challenges; and secondly, to engage with farmers from the inception of the crop cycle, offering assistance at every stage of cultivation and providing unwavering support.
The SFL Chaupals have revolutionized the accessibility of real-time, up-to-date information on price discovery, agricultural knowledge, best practices, and more. Sarveshwar Food Limited aims to utilize its expertise in an organized manner through these Chaupals to address the myriad challenges faced by farmers. This initiative forms a comprehensive intervention platform, fostering a virtuous cycle of increased farm productivity, elevated income, and enhanced capabilities for farmer risk management. Ultimately, this approach ensures a consistent supply of high-quality, authentic farm products to the company.
With knowledge and services readily available at the farm gate, farmers have experienced heightened productivity, improved quality, better risk management, and increased earnings. SFL Chaupals, by establishing a more efficient marketing channel, effectively reduce transaction costs and empowers farmers to adapt and refine crop types and qualities in response to evolving market trends. This strategic move by Sarveshwar Foods Limited marks a significant step towards a sustainable and mutually beneficial relationship between the company and the agricultural community.
SFL, a 130-year-old ISO & USFDA certified rice specialist from the Himalayan foothills, crafts healthy, tasty rice (branded & unbranded, Basmati & non-Basmati) for domestic & international markets. They also sell premium FMCG & Organic products under "NIMBARK," promoting a "SATVIK" lifestyle. They use sustainable practices, organic manures, and Himalayan snow melt to nourish their soil and products, reaching customers through traditional channels, their retail outlets and online platforms.
The company has a market cap of Rs 690 crore with a 3-year CAGR of 150 per cent. According to Quarterly Results, the net sales increased by 15.2 per cent to Rs 205.22 crore and net profit increased by 220 per cent to Rs 4.83 crore in Q2FY24 compared to Q2FY23. In its annual results, the net sales increased by 14 per cent to Rs 689 crore and net profit increased by 166.7 per cent to Rs 8 crore in FY23 compared to FY22.
Today, shares of Sarveshwar Foods Ltd surged 6.20 per cent to Rs 7.02 per share with an intraday high of Rs 7.14 and an intraday low of Rs 6.64. The stock gave multibagger returns of 245 per cent from its 52-week low of Rs 2.07 and of a whopping 1,500 per cent in 3 years. Investors should keep an eye on this micro-cap stock.
DSIJ's ‘Penny Pick’ service provides research-backed penny stock recommendations below Rs. 100. If this interests you, do download the service details here.