Multibagger stock under Rs 50 hits upper circuit after the company received an order worth USD 12.50 million!
The stock gave multibagger returns of 164 per cent in 3 years and over 750 per cent in 1 decade.
On Monday, shares of Virinchi Ltd hit a 5 per cent upper circuit to Rs 39.98 per share from its previous closing of Rs 38.08. The shares of the company saw a spurt in volume by more than 1.40 times on BSE.
The sudden rise in the stock price was due to the company entering into a multi-year agreement with one of the leading micro-lending companies in the USA on July 28, 2023, which will add USD 2 million to USD 2.50 million per annum to the top line of the company going forward.
The initial Term of the agreement is for 5 Years from July 28, 2023. The order includes implementation, hosting, support and maintenance of the Base QFund Applications by the company for use by the customer.
Virinchi Limited is a fintech, global consulting and technology services and healthcare company. The company is headquartered in Hyderabad and has expanded its presence across North America, Europe, Middle East, and the Asia Pacific.
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Talking about the financials, the company have a market cap of Rs 334.39 crore with a PE of 17.60x whereas the sectoral PE is 36.60x. The stock is trading at 0.84 times its book value. Recently the company announced its Quarterly Results that ended June 30, 2023, where the net sales increased by 6 per cent to Rs 80.30 crore and net profit skyrocketed by 344 per cent to Rs 4.41 crore in Q1FY24 compared to Q1FY23.
The stock gave multibagger returns of 164 per cent in 3 years and over 750 per cent in 1 decade. Investors should keep an eye on this micro-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.