This company attracted investors by delivering 167 per cent returns within 2 years

The stock is trading at a PE multiple of 23.29x.

In the last two years, shares of Stylam Industries Ltd touched a high of Rs 1269. The company belongs to the S&P 500 SmallCap index and has a market capitalisation of Rs 1853 crore.   

Stylam Industries Ltd produces a huge selection of premium decorative laminates, solid surfaces, speciality surfaces, PU+ lacquer coating and compact laminates. Under the brand name "STYLAM," it produces decorative laminates, with the majority of its exports going to South East Asian and European nations. As per FY22, about 63.88 per cent of the revenue comes from exports.     

The company has strong financials. It has delivered 10-year sales and net profit CAGR of 20 per cent and 36 per cent, respectively. The company reported highest ever quarterly revenue in the latest September quarter, which stood at Rs 246 crore with 43 per cent YoY and 4.6 per cent QoQ growth. The Q2FY23 net profit stood at Rs 24 crore, 60 per cent YoY and 14.5 per cent sequential growth.     

The company has reached about 80 per cent capacity utilization level in the laminates division. They have also started modular expansion at the existing facilities, that is likely to increase the capacity by up to 40 per cent. This will entail a total investment of Rs 40 crore.  

About the shareholding pattern, 54.61 per cent of the company’s stake is owned by the promoters, 5.45 per cent by FIIs, 11.33 by DIIs and the rest 28.6 per cent by non-institutional investors.  

The stock is trading at a PE multiple of 23.29x. The scrip has a 52-week high and low of Rs 1269 and Rs 760.15, respectively.