From Rs 3.83 to Rs 9.20 per share: Multibagger micro-cap logistics stock gains 140 per cent in just 283 days, scrip hit back-to-back upper circuit!

The stock skyrocketed 5 per cent to Rs 9.20, hitting its upper limit and experiencing a 10-fold surge in trading volume on the BSE.

Indian markets edged higher today. The Sensex gained 0.1 per cent, reaching 72,100, while the Nifty rose slightly to 20,720. In contrast to the flat overall market, micro-cap logistics stock East West Holdings Ltd. skyrocketed 5 per cent to Rs 9.20, hitting its upper limit and experiencing a 10-fold surge in trading volume on the BSE. This multibagger stock's impressive performance stood out amidst the marginally positive market movement.

East West Holdings Ltd. is experiencing a surge in popularity as its logistics subsidiary, East West Freight Carriers Limited, secures two major contracts with prominent research institutions. The recent renewal of their CHA service contract with India's top university, IISc Bangalore, is expected to generate Rs 18-22 crore, while a separate contract with The Indian Institute of Petroleum, Dehradun, adds another Rs 1.5 crore to their revenue stream. These high-profile partnerships, combined with the company's overall success, are likely fuelling the current rise in East West Holdings stock price.

As of September 2023, Foreign Institutional Investors (FIIs) have significantly increased their stake in the company, holding 6.78 per cent of its shares (Ag Dynamic Funds Ltd bought 86,50,000 shares or 6.78 per cent). In December month of 2023, Ag Dynamic Funds sold 40,13,019 shares and currently it owns 46,36,981 shares of the company as of January 2023.

East-West Holding Limited is engaged in providing logistics and allied solutions through its wholly-owned subsidiary East West Freight Carriers Limited. The Company provides services in the trade of Global Logistics and Freight Forwarding. The company has a total investment of 40 crores in its subsidiary. East-West Holding Limited a micro-cap company has a market cap of Rs 117.37 crore.

The company's net sales decreased by 20.85 per cent from Rs 54.87 crore in Q1FY24 to Rs 43.43 crore in Q2FY24. However, the net profit skyrocketed by 200 per cent from Rs 0.03 crore in Q1FY24 to Rs 0.09 crore in Q2FY24. From its 52-week low of Rs 3.83 to Rs 9.20 per share today, the stock gave multibagger returns of 140 per cent.

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