Most fertilizer stocks were up as the market rose. Shares of Khaitan Chemicals & Fertilizers surged 4.97% and got locked at an upper circuit. It was already listed on the BSE, but it got listed on the NSE in October 2020.
The share has given multibagger returns in the last year. On April 01, 2021, its share price was ₹ 22.90 and on April 01, 2021, its share price is ₹132, thereby giving shareholders a return of 476.42%. If an investor would have invested ₹1,00,000 in these shares a year ago, the value of their investment would have been ₹5,76,420 today.
Similarly, if an investor would have invested in these shares a month ago when the share price was at ₹103.50 apiece, they would have got returns of 27.54%. This means that an investment of ₹1,00,000 a month ago would have been worth ₹1,27,540.
The demand for shares of fertilizer companies has been rising due to the commodity boom, especially after the start of the Russia Ukraine Conflict.
The Government had recently permitted fertilizer companies to raise the output of urea manufacturing units beyond installed capacity in order to meet its shortfall.
The promoters have repaid the entire term loan due to SBI in December 2021, therefore the bank has released its pledged shares.
Khaitan Chemicals & Fertilizers Ltd. is engaged in the selling of Wind Power, Processing Oil Seeds and manufacturing of Single Super Phosphate Fertilisers, Sulphuric Acid and their variants. It has India’s largest Single Super Phosphate (SSP) production capacity of 11 lakh MT. It is looking to diversify into new geographical markets and improve its product portfolio.
Disclaimer
The content in this news article is not investment advice. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
