Multibagger in just 1 year; Board announced bonus shares!

The stock gave multibagger returns of 190 per cent in just 1 year whereas BSE Sensex Index is up by 23.24 per cent.

Sunrise Efficient Marketing Ltd (BSE: 543515) a leader in the distribution business of Automation, Drive, Gear Box, Motors, Pumps, Oils and FMCG Products, etc; has announced that the company’s board, in its meeting held on July 03, 2023, has recommended the issue of bonus shares in the ratio of 1:1, i.e., one bonus equity share for every one share held as on record date, subject to the approval of the shareholders in the upcoming AGM. The company will inform the record date for determining shareholders entitled to receive bonus shares in due course.  

SEML has a market cap of Rs 127.50 crore. The net sales increased by 77.34 per cent to Rs 60.81 crore and net profit increased by 280.92 per cent to Rs 6.59 crore in H2FY23 over H2FY22. The net sales increased by 50.66 per cent to Rs 96.83 crore and net profit increased by 63.60 per cent to Rs 8 crore in FY23 over FY22.

The company has strategically added new feathers to its cap in terms of expanding infrastructure, the addition of new business lines and collaborating with different industry leaders. The objective is to provide high-quality and energy-efficient products and automation solutions using the latest technology to its customers.

On Monday, at the closing bell, shares of Sunrise Efficient Marketing surged 5.72 per cent to Rs 255 per share with an intraday high of Rs 270.95 and an intraday low of Rs 248.50. The stock has a PE of 15.40x, a ROE of 104 per cent and a ROCE of 57.20 per cent. The share of the company saw a spurt in volume by more than 2.26 times on BSE.

The stock gave multibagger returns of 190 per cent in just 1 year whereas BSE Sensex Index is up by 23.24 per cent. Investors should keep an eye on this micro-cap stock under the radar.