Multibagger penny stock under Rs 20: Board announced bonus shares; scrip hit back-to-back upper circuits & 52-week highs!

The stock gave multibagger returns of 124 per cent from its 52-week low of Rs 8.04 per share with a PE of 16x whereas the industry PE is 37x

Jonjua Overseas Ltd.'s board of directors has approved a bonus issue in the ratio of 9:50 i.e., 9 bonus shares for every 50 equity shares held by shareholders on the record date of Tuesday, October 10, 2023.

Additionally, the Board of Directors will be holding a meeting on Wednesday, October 11, 2023, to allot 12,08,950 equity bonus shares to the existing shareholders of the company in the ratio 9:50 and to review general day-to-day affairs and such other matters as the board may deem necessary including compliances relating to bonus issue.

Jonjua Overseas Ltd is an Indian company involved in various sectors, including service exports, corporate consultancy, agriculture, and the sale of printed books. The company offers services such as service exports, printing of books, agriculture, and domestic service sales. The company has a market cap of Rs 12.10 crore.

According to the financials, the company reported amazing numbers in its half-yearly results (H2FY23) and annual results (FY23). The net sales increased by 14.99 per cent to Rs 3.61 crore and the net profit increased by 11.36 per cent to Rs 1.18 crore in FY23 compared to FY22.

On Thursday, shares of Jonjua Overseas Ltd hit a 5 per cent upper circuit to Rs 18.02 per share from its previous closing of Rs 17.17. The stock also made a new 52-week high of Rs 18.02 per share. The stock is an SME stock having a lot size of 3,460 shares and currently trading at 0.62 times its book value.

The stock gave multibagger returns of 124 per cent from its 52-week low of Rs 8.04 per share with a PE of 16x whereas the industry PE is 37x. Investors should keep an eye on this micro-cap IT stock under the radar.

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