5,700 Per Cent Returns & DIIs Took Fresh Entry: FMCG Stock Jumps 14.6 Per Cent With Heavy Volume; Do You Own It?

The stock gave multibagger returns of 1,573 per cent in 5 years and a whopping 5,700 per cent over a decade.

On Monday, the shares of GRM Overseas Ltd gained 14.6 per cent to Rs 211.95 per share from its previous closing of Rs 185 per share. The stock’s 52-week high is Rs 288.60 while its 52-week low is Rs 114.15. The company has a market cap of over Rs 1,200 crore and saw a spurt in volume by more than 7 times on BSE.

GRM Overseas Ltd, a leading Indian company in the basmati rice industry, mills, processes, and markets both branded (like their 10X brand) and non-branded basmati rice for both domestic consumption and international export. Their product range goes beyond just basmati rice, also including atta flour (Shakti Chakki Fresh) and ready-to-cook biryani kits in various regional styles like Moradabadi, Hyderabadi and Lucknowi.

According to Quarterly Results, the company reported net sales of Rs 315.49 crore in Q2FY25 compared to net sales of Rs 203.67 crore in Q2FY24, an increase of 55 per cent. The net profit increased by 39 per cent to Rs 9.19 crore in Q2FY25 compared to Q2FY24. In its annual results, the company reported net sales of Rs 685.57 crore and net profit of Rs 27.21 crore in H1FY25 compared to H1FY24.

Recently, the company revitalized its 10X brand with a revamped identity. This transformation encompasses a fresh packaging design and a captivating CGI-led video campaign featuring Bollywood superstar Salman Khan. The campaign has already generated significant buzz on digital platforms, underscoring the brand's focus on quality, innovation, and contemporary appeal. Partnering with Salman Khan as the brand ambassador proves to be a strategic masterstroke. The actor's global appeal and massive fan following will undoubtedly amplify 10X's brand visibility and customer engagement. The newly packaged products have already hit the market and have garnered positive consumer feedback. With Salman Khan's charisma, cutting-edge campaign, and visually appealing packaging, 10X is poised to redefine its position in the FMCG market. This revitalized brand identity not only excites existing customers but also paves the way for significant market expansion.

In September 2024, DIIs took a fresh entry and bought a 0.25 per cent stake in the company. The shares of the company have an ROE of 19 per cent and an ROCE of 13 per cent. The stock gave multibagger returns of 1,573 per cent in 5 years and a whopping 5,700 per cent over a decade. Investors should keep an eye on this small-cap stock.

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