Since the Covid-19 pandemic, a wide range of stocks listed in India have given tremendous returns to its stakeholders paving the way for them to increase their wealth base.
Listed below is one such stock under the ‘small-cap’ category that has delivered a whopping return of 12,000 percent to its shareholders within a period of just three years:
SG Mart Limited
With a market capitalization of Rs 6,341.61 crores, the stocks of SG Mart Limited closed their trading session on Friday hitting the 2 percent upper circuit at Rs 11,371. The company’s stock hit its new 52-week high price on Friday at the locked price.
As per the BSE data, the company’s stock has delivered a huge return of approximately 12,000 percent within a period of just three years. The stock price shifted from Rs 94 in January 2021 to the current stock price level prevailing in the market.
The same means that if someone had invested Rs 10,000 in the stock three years ago, it would have converted to Rs 12.10 lakhs.
Digging into the standalone financials of the company, the prime business indicators such as operating revenues and after-tax profits showed drastic movements during the recent quarter periods.
The former moved up from Rs 506 crores during Q2FY23-24 to Rs 748 crores during Q3FY23-24, and, the latter, keeping the timeframe the same, more than doubled from Rs 8 crores to Rs 17 crores.
The basic profitability metrics, due to underperformance on an annual basis, reported a dip in numbers with the return on equity (RoE) decreasing from 2.51 percent during FY21-22 to 1.61 percent during FY22-23. Moreover, the return on capital employed (RoCE) shifted down from 3.43 percent to 2.19 percent during the same time horizon.
The latest shareholding data, as per the September 2023 quarter, represents the company’s Promoters holding a 75 percent stake followed by the Public (retail) investors holding the remaining 25 percent stake in the company.
Founded in 1985, SG Mart Limited, formerly known as “Kintech Renewables Limited”, is engaged in the business of providing wind & solar energy solutions as well as the execution of various Engineering, Procurement and Construction (EPC) Projects.
Written by Amit Madnani
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