Rs 81,000 crore order book: Will this President of India-backed multibagger civil construction stock hit 52-week high tomorrow? Board likely to announce bonus shares!

The stock gave multibagger returns of 262 per cent in just 1 year whereas BSE Sensex is up by 26 per cent.

On Tuesday, shares of this civil construction backed by the President of India; gained 1.93 per cent to an intraday high of Rs 179.30 per share from its previous closing of Rs 175.90. The company has a market cap of over Rs 30,000 crore and has been maintaining a healthy dividend payout of 35 per cent. At the closing bell, shares of the company were trading at Rs 171.50 per share, up 4.76 per cent.

The Board of Directors of the company is scheduled to be held on Saturday, August 31, 2024, to inter-alia to consider the proposal for the issue of bonus Shares to the equity shareholders of the company in the ratio, as it may deem fit by way of capitalization of reserves, subject to the Shareholders approval.

Earlier, HSCC (India) Limited, a wholly-owned subsidiary of the company, secured a contract to supply bio-medical equipment and hospital furniture to Pt. Deen Dayal Upadhayaya University of Health Sciences, Kutail, Karna. This contract, valued at approximately Rs 528.21 crore, aligns with HSCC's typical business operations.

The buzzing stock name is NBCC (India) Ltd.

About NBCC (India) Ltd

NBCC (India) Limited, a prominent government-owned construction company under India's Ministry of Housing and Urban Affairs, offers a comprehensive suite of services across three key segments. Their project management consultancy (PMC) arm tackles civil construction projects for various sectors including residential, commercial, healthcare, and educational institutions. Additionally, they specialize in engineering, procurement, and construction (EPC) for complex structures like high-rise chimneys and cooling towers. Finally, NBCC (India) Limited is a major player in real estate development, building residential townships, apartments, commercial office spaces, and shopping malls. This diversified approach has positioned them as a leading construction enterprise in India.

Results

According to the Quarterly Results, the net sales increased by 11.32 per cent to Rs 2,144.16 crore and the net profit increased by 38.4 per cent to Rs 107.20 crore in Q1FY25 over Q1FY24. In its annual results, the net sales increased by 17.53 per cent to Rs 10,432.64 crore and the net profit increased by 49.54 per cent to Rs 414.27 crore in FY24 over FY24.

Order Book: The company's order book as of June 30, 2024, crosses Rs 81,000 crore. And the current year target for order inflow is around Rs 10,000 crore turnover at the standalone and Rs 13,000 crore at the consolidated level

As of June 2024, the President of India owns a 61.75 per cent stake and the Life Insurance Corporation of India (LIC) owns a 5.96 per cent stake in the company. The stock gave multibagger returns of 262 per cent in just 1 year whereas BSE Sensex is up by 26 per cent.

A question arises that the stock is down by 11.6 per cent from its 52-week high of Rs 198.25 per share. Will this President of India-backed multibagger civil construction stock hit 52-week high tomorrow?

Do let us know your thoughts in the comment below

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

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