Multibagger Penny Stock Under Rs 10 in Focus as Company Embarks on Diversification into Warehousing and Storage Sector
The stock is up by 27.6 per cent from its 52-week low of Rs 4.53 per share and gave multibagger returns of 2,800 per cent in 5 years.
IEL Limited, a prominent name in the chemical and trading industries, has announced its strategic diversification into the burgeoning warehousing and storage sector. This move signifies a significant step forward for the company, which has a long history of success in the chemical, dyes, and pigments market. IEL Limited has consistently demonstrated its ability to adapt and evolve, transitioning from a manufacturer of solvent extraction and groundnut oil to a leading player in export trading and chemical indenting.
With a strong presence in the U.S. and European markets, IEL Limited currently engages in the wholesale and retail trading of various chemicals, dyes, and commodities, while also providing valuable marketing and support services. Building upon this solid foundation, the company is now poised to expand its operations into the warehousing and logistics sector. This strategic diversification will involve the development, operation, and management of modern storage facilities across India, including warehouses, cold storage units, and godowns.
IEL Limited's ambitious plans for its warehousing and storage segment encompass the implementation of cutting-edge technology to ensure efficient logistics and distribution management. By amending its Memorandum of Association, the company has clearly defined its objectives within this new venture. These objectives include the construction and maintenance of storage facilities for a wide range of goods, the provision of comprehensive services such as clearing, forwarding, transportation, and distribution, and acting as packers, hauliers, and commission agents to effectively support the storage and logistics needs of its customers.
The Indian warehousing and logistics sector is experiencing rapid growth, with projections indicating a substantial market size of $215 billion by 2026. IEL Limited's strategic entry into this dynamic sector positions the company to capitalize on this tremendous growth potential. By contributing significantly to India's evolving infrastructure and logistics landscape, IEL Limited aims to solidify its position as a leader in the warehousing and storage industry.
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About IEL Ltd
IEL Limited, a BSE-listed company with a legacy in manufacturing, has successfully transitioned into a prominent player in the chemical and commodity trading sector. Founded in 1956, IEL initially operated a solvent extraction plant but later shifted its focus to trading, leveraging its expertise to offer a range of services including marketing and warehousing.
On Wednesday, shares of IEL Ltd plunged 2.20 per cent to Rs 5.78 per share with an intraday high of Rs 6 per share and an intraday low of Rs 5.52 per share from its previous closing of Rs 5.91 per share. The stock’s 52-week high is Rs 12.03 per share and its 52-week low is Rs 4.53 per share. The shares of the company saw a spurt in volume by more than 1.01 times on BSE.
The company has a market cap of Rs 19.29 crore. The share of the company has an ROE of 24 per cent and an ROCE of 15 per cent. The stock is up by 27.6 per cent from its 52-week low of Rs 4.53 per share and gave multibagger returns of 2,800 per cent in 5 years. Investors should keep an eye on this penny stock.
Disclaimer: The article is for informational purposes only and not investment advice.