Don't miss action in this micro-cap multibagger which is on verge of multi-year breakout

ITD is a low price-to-earnings stock, with a PE of 13.8, compared to the industry PE of 48.3. This means that ITD is trading at a significant discount to its peer

Indian Toners & Developers Ltd (ITD) is a micro-cap stock that manufactures toners for the domestic and export markets. It is a low price-to-earnings stock, with a PE of 13.8, compared to the industry PE of 48.3. This means that ITD is trading at a significant discount to its peers.

The company's financial performance for the quarter ended November 7, 2023, was strong, with both revenue and profit increasing from the previous quarter. Total revenue from operations increased by 11.85 per cent to Rs. 39.80 crores, while net profit increased by 10.26 per cent to Rs. 5.65 crores. The company's stock price also reflected its strong performance, reaching a new 52-week high of Rs. 344.00 on November 7, 2023, on high volume.

The company's financial performance for the half year ended September 30, 2023 was generally positive. Revenue and profit both increased from the previous quarter. However, expenses also increased, at a slightly faster rate than revenue. This resulted in a slight decrease in profit margins.

The increase in revenue was driven by a combination of factors, including increased sales volume and higher prices. The increase in expenses was primarily due to higher costs of materials consumed and employee benefits.

Indian Toner has demonstrated impressive stock price growth over the past year, increasing by 76.49 per cent. This upward momentum extends back three years, with a cumulative gain of 174.19 per cent. At its peak, Indian Toner's stock price has increased by 2,391.11 per cent. This strong performance indicates robust market confidence and resilience in the company.

Indian Toner stock price is at a multi-year breakout, forming a rounding bottom pattern. Breakouts from such patterns can lead to substantial gains, up to 85 per cent returns, as suggested by technical analysis.

Overall, the company's financial position is strong, and it is well-positioned for continued growth in the future.

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