1:10 stock split announcement: Multibagger consumer durable company approves stock split; Promoters and FIIs increase stake!
The company’s shares have delivered impressive multibagger returns of over 600 per cent to their shareholders.
PG Electroplast Limited (PGEL) is the flagship company of the PG Group. While the PG Group started its journey in 1977, PG Electroplast was formally established in 2003. It is a leading and diversified Indian Electronic Manufacturing Services provider, specializing in Original Design Manufacturing (ODM), Original Equipment Manufacturing (OEM), and Plastic Injection Molding, catering to over 50 leading Indian and global brands. The company has made a significant announcement regarding the stock split.
Stock Split:
The Board of Directors of the Company, in their meeting held on Wednesday, May 22, 2024, has considered and approved the subdivision/stock split of existing equity shares of the Company from 1 (one) equity share having a face value of Rs 10 each (Rupees Ten Only), fully paid-up, into 10 (ten) equity shares having a face value of Rs 1 each (Rupee One Only), fully paid-up, subject to the approval of the shareholders of the Company. The record date for such a subdivision/split of equity shares will be intimated in due course.
Share Performance of PG Electroplast:
On Thursday the company's stock is trading at around Rs 2500 per share on the BSE, with a market capitalisation of Rs 6506 crore. Additionally, the stock has delivered a return of around 72 per cent in the past one year and a multibagger return of 600 per cent in the past three years.
Financial Performance of PG Electroplast:
In FY24, PG Electroplast reported revenue of Rs 2746 crore, representing a year-on-year growth of 27 per cent from Rs 2160 crore last year. The company posted an operating profit of Rs 262 crore, compared to a profit of Rs 177 crore last year. The company’s net profit stood at Rs 135 crore in FY24, compared to Rs 77 crore in FY23, representing a YoY gain of around 75 per cent. As per Quarterly Results, in Q4 FY24 the company’s revenue surged by 30 per cent while net profit grew by 75 per cent YoY during the same period.
Investors must keep this Small-Cap multibagger stock on their radar.
Disclaimer: The article is for informational purposes only and not investment advice.
DSIJ's 'Value Pick' service recommends long-term stocks based on Value Investing Philosophy. If this interests you, do download the service details here.