Turnaround net profit after 5 years in this stock under Rs 60: President of India’s portfolio gains Rs 817,31,85,438 in just 1 day!

The stock gave multibagger returns of 330 per cent in just 1 year whereas BSE Sensex Index is up by 19 per cent.

Today, the stock market was trading in red with Sensex Index down by 0.30 per cent and Nifty-5O Index down by 0.17 per cent. Though the market was in red, one multibagger stock gained Rs 4.36 per share or 8.90 per cent to an intraday high of Rs 53.33 per share from its previous closing of Rs 48.97 per share. The President of India’s portfolio gains Rs 817,31,85,438 in just 1 day as it owns 1,87,45,53,816 shares or 71.72 per cent stake in the company. Therefore 1,87,45,53,816 shares x Rs 4.36 per share = Rs 817,31,85,438 in just 1 day.

The stock name is Industrial Finance Corporation of India Ltd (IFCI Ltd).

IFCI Ltd, formerly called the Industrial Finance Corporation of India, is a government-owned non-banking financial institution established in 1948 specifically to provide long-term financial backing for industrial projects in India. The company, now a Non-Banking Financial Company (NBFC), supports a wide range of industries including airports, roads, telecommunications, power, real estate, manufacturing, and the service sector.

The company delivered a financial turnaround, boasting strong performance in both its fourth quarter (Q4FY24) and full fiscal year (FY24). Net sales for Q4FY24 surged by 46.4 per cent, reaching Rs 605.42 crore compared to Rs 413.65 crore in Q4FY23. Even more impressive, the company swung from a net loss of Rs 241.18 crore in Q4FY23 to a net profit of Rs 157.32 crore in Q4FY24, representing a remarkable 165.2 per cent increase. 

Also Read: From Rs 10.98 to Rs 608.10 per share in just 1 year: Heavy buying in this multibagger micro-cap stock; Hit back-to-back upper circuits & 52-week highs!

The company showed a strong turnaround in its financial performance for FY24. Net sales climbed 17.2 per cent to Rs 1,986.58 crore compared to Rs 1,694.64 crore in FY23. Even more significantly, the company ended a five-year streak of net losses by reporting a turnaround net profit of Rs 241.05 crore in FY24, a substantial increase of 301.2 per cent compared to the net loss of Rs 119.78 crore in FY23. This marks a positive shift in the company's financial health.

Additionally, the President of India bought 41,76,62,944 shares and increased their stake to 71.72 per cent in March 2024 compared to 66.35 per cent in March 2023. The company has a market cap of over Rs 13,000 crore. The stock gave multibagger returns of 330 per cent in just 1 year whereas BSE Sensex Index is up by 19 per cent. Investors should keep an eye on this stock.

Disclaimer: The article is for informational purposes only and not investment advice.