300 per cent returns in this multibagger stock; Board announced bonus shares and stock split!

From Rs 27.25 per share to Rs 112.35 per share, the stock gave multibagger returns of over 300 per cent in just 2 years.

Rudra Global Infra Products Ltd informed that the Board of Directors of the company have approved the issue of equity shares by way of bonus issue in the ratio of 1:1 [i.e., 1 (One) fully paid-up equity share for every 1 (One) equity share] as of record date. Additionally, the Board has approved the proposal of stock split /sub-division of the company's 1 (one) equity share of face value of Rs 10 each into 2 (two) equity shares of face value of Rs 5 each and subsequent alteration to the memorandum of association of the company. The company has not yet set a record date for the distribution of bonus shares or the division of its stock.

On Wednesday, shares of Rudra Global Infra Products Ltd gained 2 per cent upper circuit to Rs 112.35 per share from its previous closing of Rs 110.15. At the closing bell, shares of the company were trading at Rs 108 per share, down 1.95 per cent with a spurt in volume by more than 2.35 times on BSE.

Rudra Global Infra Products Ltd was started in 1991 with a steel re-rolling mill in Gujarat having a capacity of 1000 MT per month. Today, it is engaged in various businesses like ship recycling, oxygen plants, induction furnaces and re-rolling mills producing more than 3 lakh MT per annum of steel.

Talking about the financials, Rudhra Global has a market cap of Rs 270 crore. According to the Quarterly Results, the net sales increased by 43.14 per cent to Rs 138.16 crore, operating profit increased by 10.24 per cent to Rs 9.8 crore and net profit increased by 14.58 per cent to Rs 4.4 crore in Q1FY24 compared to Q1FY23. In FY23, the net sales increased by 28.77 per cent to Rs 452 crore and net profit increased by 75 per cent to Rs 14 crore compared to FY22.

From Rs 27.25 per share to Rs 112.35 per share, the stock gave multibagger returns of over 300 per cent in just 2 years. Investors should keep an eye on this micro-cap stock.

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