Multibagger penny stock under Rs 10; Board announced bonus shares!

The net sales increased by 16.48 per cent to Rs 49.98 crore and the net profit skyrocketed 425 per cent to Rs 3.73 crore in FY23 over FY22.

Goldstar Power Ltd announced that the Board of Directors of the company have approved bonus shares to the equity shareholders of the company. The company will issue fully paid-up bonus shares in the ratio of One (1) fully paid-up share for every four (4) fully paid-up shares held by equity shareholders as of the record date. Additionally, the company will increase the existing authorized share capital of the company from Rs 21 crore divided into 21 crore equity shares of Rs 1 each to Rs 26 crore divided into 26 crore equity shares of Rs 1 each and subsequent alteration to the MoU of the company.

After rising nearly 575 per cent over the period of 1 year, shares of Goldstar Power Ltd are undergoing a correction and have hit the lower circuit for the fifth straight day. Today, shares of Goldstar Power Ltd plunged 5 per cent to Rs 8 per share from its previous closing of Rs 8.40. The 52-week high of the stock is Rs 13 and the 52-week low of Rs 1.44.

Goldstar Power is engaged in the business of manufacturing inverter batteries, battery parts, plates & processing of lead.

According to the financials, Goldstar Power Ltd has a market cap of Rs 154 crore with a 3-year CAGR of 79 per cent. The company reported positive numbers in its Quarterly Results and annual results. The net sales increased by 16.48 per cent to Rs 49.98 crore and the net profit skyrocketed 425 per cent to Rs 3.73 crore in FY23 over FY22. The EPS for FY23 stood at Rs 0.19.

Investors should keep an eye on this multibagger micro-cap stock under the radar.