Multibagger in just 1 year; Board likely to announce bonus shares!

The stock gave multibagger returns of 139.75 per cent in just 1 year.

Today, one of the Top Gainers on NSE, shares of Shriram Pistons & Rings Ltd zoomed 5 per cent upper circuit to Rs 1,630.30 per share from its previous closing of Rs 1,552.70. At the closing bell, shares of the company ended the day in the red, down 0.18 per cent to Rs 1,549.90 per share.

Shriram Pistons & Rings Ltd informed that the meeting of the Board of Directors of the company is scheduled to be held on Tuesday, June 13, 2023 at shorter notice, inter-alia, to consider:

1) The proposal for issuance of bonus Equity Shares to the Members of the Company, subject to necessary approvals.

2) The rescheduling of the date of the 59th AGM.

Shriram Pistons & Rings Ltd is primarily engaged in the manufacturing of pistons, piston pins, piston rings and engine valves for various automotive companies in the domestic and export markets.

According to the Quarterly Results, the net sales increased by 19.37 per cent to Rs 701.01 crore and net profit increased by 81.42 per cent to Rs 91.38 crore in Q4FY23 over Q4FY22. The net sales increased by 26.38 per cent to Rs 2,609.33 crore and net profit increased by 79.67 per cent to Rs 293.88 crore in FY23 over FY22. The EPS for FY23 stood at Rs 133.27.

The shares of the company have a PE of 11.60x, a ROE of 21.10 per cent and a ROCE of 25.20 per cent. The stock gave multibagger returns of 139.75 per cent in just 1 year. Investors should keep an eye on this Small-Cap stock.