President of India’s portfolio gains Rs 692,66,49,904 from this multibagger penny stock in just 1 day; scrip hit upper circuit!
The stock gave multibagger returns of over 100 per cent from its 52-week low of Rs 26.36 per share.
Indian stock markets remained flat on Thursday, with the BSE Sensex Index down 0.19 per cent to close at 69,521 and the NSE Nifty-50 Index down 0.12 at 20,912. About 2,196 shares have advanced, 1,568 have declined and 121 were unchanged on BSE.
Although the market traded flat, this multibagger penny stock bucked the trend and traded in the green. Let us know about this stock:
The stock we will be discussing today is MMTC Ltd.
The President of India owns a significant stake (1,36,89,03,143 shares) in the company, holding 89.93 per cent of the shares, which translates to 1,36,89,03,143 shares. Today, the stock price experienced a surge, hitting the 10 per cent upper circuit and reaching Rs 55.74 per share. This increase was accompanied by a substantial rise in trading volume, exceeding 3.37 times the average.
This resulted in a notable gain for the President's holdings, amounting to Rs 692,66,49,904 in a single day. However, it's important to note that despite this positive movement, the stock remains down by 37.4 per cent compared to its 52-week high of Rs 89.04 per share. This presents an interesting contrast, highlighting the volatility and potential risks associated with stock investments with the fundamentals of the company.
MMTC Ltd was incorporated in 1963, to facilitate foreign trade in India and canalize the export and import of essential minerals and metals. It is under the administrative control of the Ministry of Commerce & Industry, and the Government of India and is engaged in trading across minerals, metals, precious metals, agro products, fertilizers & chemicals and coal & hydrocarbons.
The company's market cap of Rs 8,361 crore and has delivered good profit growth of 47.9 per cent CAGR over the last 5 years. According to the Quarterly Results and annual results, the company reported positive numbers. The shares of the company have an ROCE of 49.2 per cent and an ROCE of 23 per cent. The company has issued bonus shares twice in the past, once in 2010 in the ratio of 1:2 and again in 2018 in the ratio of 1:1.
The stock gave multibagger returns of over 100 per cent from its 52-week low of Rs 26.36 per share.
Do you own MMTC Ltd.’s shares in your portfolio? Do let us know in the comments below
Disclaimer: The article is for informational purposes only and not investment advice.
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