Shares of Jupiter Wagons Ltd(JWL) were trading at ₹ 120.20 gaining 3.95% on Tuesday’s trading session from the previous close price of ₹ 115.50. One of the notable reasons for the stock price movement is the company’s announcement of raising ₹ 125 crores from Qualified Institutional Placement (QIP) including Tata Mutual Fund, Ananta Capital, and ITI Mutual Fund.
JWL aims to use the fund for the acquisition of Stone India, working capital optimization, and other corporate purposes.
In the past year, the company’s share price rose from ₹ 46.30 to the current level, giving multi-bagger returns of 157.99 percent. Therefore, if an investor would have invested ₹ 1 lakh in the company’s shares years ago, the value of their holdings would have been ₹2.58 lakhs today!
Jupiter Wagons Limited is an Indian private manufacturer of railway wagons, passenger coaches, wagon components, and castings. The company is engaged in the business of manufacturing vehicle bodies for commercial vehicles and the production of Fully Built Vehicles (“FBVs”). Further, it has a wide range of product offerings in the commercial vehicles division.
The company is set to release its Q4 in the upcoming weeks, Having a quick walkthrough of the financials of the previous quarter, As per Consolidated financials their operating revenues have increased from ₹ 416 crores in Q2 to ₹ 644 crores in Q3 Similarly, for YoY comparison, the revenues significantly increased from ₹ 995 crores during FY 20-21 to ₹ 1,178 crores in FY 21-22.
The net profit of the company has increased from ₹ 24 crores in Q2 to ₹ 45 crores in Q3, Similarly, for YoY comparison the net profit slightly reduced from ₹ 53 crores during FY 20-21 to ₹ 49 crores in FY 21-22.
In the last three years, the stock has gained around 1393 percent ranging from ₹ 7.45 to the current price level.
The basic profitability ratios exhibit operational efficiencies such as return on equity (ROE) and return on capital employed (ROCE). ROE declined from 8.44 percent during FY 20-21 to 7.27 percent in FY 21-22 and ROCE, keeping the time frame the same, took a shift from 12.99 percent to 13.18 percent The company has a market capitalization of ₹ 4,599 Cr and debt-to-equity ratio stood at 0.20 for FY22.
According to the latest data pertaining to the shareholding pattern, the promoters hold a 74.64 percent stake, and Domestic Institutional Investors (DIIs) hold a 1.49 percent stake in the company for FY 22-23.
Written by Omkar C
