This energy stock intends to enter the EV market. Do you own it?

Today, this stock closed the day on a high note, up 3.14 per cent to Rs 129.75, while BSE Energy was down 0.61 per cent to Rs 8790.45.

Castrol India, the manufacturer of automotive lubricants, intends to enter the electric vehicle (EV) segment. The company will invest Rs 500 crore in establishing a global battery research and development centre. The centre is expected to open in 2024 and will focus on thermal management solutions for electric vehicle batteries. 

About 80 per cent of the company’s revenue comes from the retail segment. The company reported a positive annual performance having net sales increase by 39.88 per cent, operating profit increase by 27.2 per cent and net profit soared by 30 per cent to Rs 758.10 crore in FY22 compared to FY21. 

Castrol India Ltd is principally engaged in the business of manufacturing & marketing automotive and industrial lubricants and related services. As the company announced positive results, there was a volume spurt of over 4.88 times. This stock is currently trading at a PE multiple of 15.35 and an ROE of 45.17, indicating that management is effective. 

Today, Castrol India Ltd closed the day on a high note, up 3.14 per cent to Rs 129.75, while BSE Energy was down 0.61 per cent to Rs 8790.45. Keep an eye on this stock.