Shares of a company in Ashish Kacholia’s portfolio appreciated to the tune of 4% to reach an intraday high of ₹ 1090.00 apiece on Friday after it announced the record date for a 1:5 stock split. On Friday, its shares closed at ₹ 1,055 apiece.
ADF Foods is engaged in the business of manufacturing and selling food products like pickles, chutneys, ready-to-eat items, paste and sauces, frozen foods, spices and so on.
As per the latest shareholding pattern of the company, ace investor Ashish Kacholia holds 2,27,605 shares or a 1.04% stake in it.
The company informed the bourses that it has fixed Monday, September 11, 2023, as the record date for determining the eligibility of its shareholders for the purpose of subdivision or split of its shares in the ratio of 1:5. Accordingly, each share of a face value of ₹ 10.00 will be subdivided into five shares of the face value of ₹ 2 each.
With a market capitalization of ₹ 2,307 crores, ADF Foods is a small-cap company. It has an ideal return on equity of 16.46% and an ideal debt-to-equity ratio of 0.01. Its shares were trading at a price-to-earnings ratio (P/E) of 36.34, which is lower than the industry P/E of 52.15, indicating that the stock might be undervalued as compared to its peers.
Retail investors hold a 54.05% stake in it, followed by promoters with 36.50% and foreign institutions with 9.45%.
The stock gained 45.29% in the past six months, and 194% in the past three years, to deliver multibagger returns. Therefore, if an investor had invested ₹ 1 lakh in the company’s shares three years ago, the value of their holdings would have been ₹ 2.94 lakhs today!
Written by Simran Bafna
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