Stock below Rs 200: This turnaround stock has delivered 1000 per cent returns in just 3 years; trades at a PE of 10!
The stock is trading within striking distance from its 52-week high and interestingly, the stock trades at a P/E of 10x.
On Friday, Nifty traded lower in the first half of the trading session but recovered more than 200 points from the day’s low to hit an intraday high of 17,999.30. Finally, the Nifty ended the session with gains of 98 points at 17,957, supported by banking and financial services, auto, technology and metal stocks. As a result, Nifty snapped its three days losing streak to close higher amid easing inflation.
As the appetite for risker assets returned amid the dollar slump, hence, we saw many of the stocks buzzing on D-Street. But one stock stood out with its outperformance as it jumped nearly 5 per cent on an intraday basis, and also touched its upper circuit limit of the day. The stock name is Ovobel Foods Ltd.
Ovobel Foods is engaged in the business of manufacturing and distributing a complete range of Egg products. The company sells its products in India as well as in various other global markets like Europe, Japan, South East Asia etc.
The stock reported a net sale of Rs 59.87 crore in the quarter that ended on September 2022 up 99.18 per cent from Rs 30.06 crore in September 2021. Quarterly net profit jumped to Rs 11.10 crore in September 2022 against a loss of Rs 1.41 crore in September 2021.
The stock has given multibagger returns of over 1000 per cent in the last three years and in the last three months the stock has jumped nearly 96 per cent. The stock is trading within striking distance from its 52-week high and interestingly, the stock trades at a P/E of 10x.
The company has built a reputation over the years amongst its customer for quality products. The company’s sustainability has been centred around enlarging its presence within profitable and attractive retail niches, capitalizing on robust brand building and manufacturing foundation. The new management is making efforts to capitalize on the existing brand name and taking several other steps to register steady growth.