This Online Gaming Stock Surge with Massive 20 per cent following strong earnings Report, do you own it?

Market capitalisation of company crosses Rs 1000 crore and currently shares locked into an upper circuit price limit of 20 per cent.

The stock opened at Rs 85, marking a 7.33 per cent increase from the previous day's closing price of Rs 79.19. Throughout the intraday session, the stock surged by 20 per cent, accompanied by significant trading volume in OnMobile Global shares, leading to a substantial increase today.

Upon analysing today's share volumes, it is evident that there has been a substantial increase of more than 9.73 times in volumes than its normal trading volumes on the BSE. 

As of the current moment, while writing this article, the shares of the company are up by Rs 15.83, which is Rs 95.02 on the BSE. It is currently locked into an upper circuit price limit of 20 per cent.

The stock's 52-week highs and lows are recorded at Rs 136.30 and Rs 56.27, respectively. With a market capitalization of just Rs 1008 Crore, the stock has displayed remarkable performance in recent times, delivering a 23 per cent return in a week and an impressive 153 per cent return in the last three years.  

Financial Performance  

The company announced its June quarter result on Aug 07, if we examine the company's financials, revenue from operations experienced an increase of 1.43 per cent YoY, going from Rs 135.13 crore to Rs 137.06 crore. The operating profit of the company increased from Rs 7.62 crore to Rs 11.36 crore, the operating profit stood increased from 5.64 per cent to 8.29 per cent.

Whereas the net profit of the company amounts to Rs 9.85 crore, the net profit margins stood at 7 per cent in FY23. 

The company's return on capital employed (ROCE) and return on equity (ROE) are at 1.95 per cent and 1.47 per cent, respectively. The book value of the company is Rs 61.8, whereas the Price to book value of 1.53 times.

Business Overview:  

OnMobile Global Limited, an India-based firm, specializes in delivering mobile entertainment services, including offerings like Ringback Tones, a Digital Content Store, and Infotainment. The company's operational regions encompass India, Latin America, the United States of America, Europe, Africa, and the Rest of the World. The Digital Content Store provides a diverse array of digital content, such as videos, games, music, and images. The company's white-label video streaming solutions are dedicated to offering sports and kids' content/videos.