Promoter bought 39,55,062 shares of this multibagger penny stock below Rs 35; Company announces stellar quarterly & nine-month results – scrip hit upper circuit

Kiran Shroff
Promoter bought 39,55,062 shares of this multibagger penny stock below Rs 35; Company announces stellar quarterly & nine-month results – scrip hit upper circuit

The stock gave multibagger returns of 148 per cent from its 52-week low of Rs 13.15 per share and a whopping 275 per cent in 3 years.

Today, shares of North Eastern Carrying Corporation Ltd (NECC) hit 5 per cent to Rs 32.60 per share from its previous closing of Rs 31.05. The stock’s 52-week high is Rs 37.40 while its 52-week low is Rs 13.15.

North Eastern Carrying Corporation Ltd primarily provides freight transportation services to bulk and retail customers, particularly in the Full Truckload (FTL) segment, along with other services like warehousing and packing. The company has a market cap of over Rs 300 crore.

The sudden rise in the stock price was due to the company announcing stellar Quarterly Results (Q3FY24) and nine-month results (9MFY24). Here are the details: -

According to quarterly results, the net sales increased by 15.9 per cent to Rs 88.59 crore and net profit increased by 118.2 per cent to Rs 25.18 crore in Q3FY24 compared to Q2FY24. In its nine-month results, the 4.6 net sales increased by per cent to Rs 243.27 crore and net profit increased by 11 per cent to Rs 51.58 crore in 9MFY24 compared to 9MFY24. According to annual results, the net sales increased by 22.40 per cent to Rs 306 crore and the net profit increased by 50 per cent to Rs 6 crore in FY23 over FY22.  

The company will issue up to 46,25,062 equity shares/ warrants each convertible into, or exchangeable for, 1 fully paid-up equity share of the company, having a face value of Rs 10 within 18 months for Rs 32.05 per equity share aggregating up to Rs 14,82,33,237. The promoter of the company Sunil Kumar Jain bought 39,55,062 shares and the non-promoter of the company Hemant Kumar Aggarwal bought 6,70,000 via preferential issue allotment.

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North Eastern Carrying Corporation Ltd (NECC) has not only secured a 3-year contract worth Rs 52.48 crore for polymer transportation from GAIL (India) Limited but has also partnered with S.G. Logistic Management Private Limited (SGL) to enter the electric vehicle (EV) trucking business. This collaboration, involving a Rs 20 crore investment and a 20 per cent stake acquisition in SGL, aims to build a sustainable and eco-friendly transportation network using electric vehicles, ultimately strengthening NECC's presence in the logistics sector and promoting EV adoption in India.

The stock gave multibagger returns of 148 per cent from its 52-week low of Rs 13.15 per share and a whopping 275 per cent in 3 years.

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

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