Multibagger penny stock under Rs 40: This small-cap banking stock delivered gains of over 160 per cent in a year!
Shares of the company gained more than 100 per cent in the last six months.
Dhanlaxmi Bank Limited has delivered multibagger returns to its shareholders in the last one year. During this period, the company’s share price jumped from Rs 12.15 on October 06, 2022, to Rs 32.20 on October 06, 2023, an increase of more than 160 per cent in a one-year holding period.
The latest business update of Dhanlaxmi Bank shows that the bank's total business grew by 10.27 per cent year-over-year to Rs 24,101 crore in the quarter ended September 30, 2023. This was driven by growth in both deposits and advances.
The deposits grew by 8.17 per cent year-over-year to Rs 21,857 crore, while advances grew by 13.21 per cent year-over-year to Rs 10,040 crore. The bank's CASA ratio improved to 74.91 per cent in the quarter, up from 74.78 per cent in the previous quarter.
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The bank's gold loan portfolio grew by 26.57 per cent year-over-year to Rs 2,596 crore. This was driven by strong demand from retail customers.
The bank's net interest margin improved to 3.33 per cent in the quarter, up from 3.09 per cent in the previous quarter. This was due to a lower cost of deposits and an improved yield on advances.
Overall, the Dhanlaxmi Bank business update shows that the bank is performing well. The bank's total business is growing, its CASA ratio is improving, and its net interest margin is expanding.
Dhanlaxmi Bank Limited was incorporated in 1927 in Thrissur, Kerala is a publicly held banking company engaged in providing a wide range of banking and financial services including retail banking, corporate banking, and treasury operations with a major concentration in Southern states.
The stock has shown tremendous growth and investors should keep a close eye on this stock.
Disclaimer: The article is for informational purposes only and not investment advice.
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