The shares of Deep Industries limited zoomed by approximately 6 percent on Monday’s trading session as it was trading at Rs 258.50 levels. The stock rallied after the company announced that it received a Letter of Award from the Oil and Natural Gas Corporation.
The order entails the hiring of gas compression services at Balol GGS I for a period of three years and the total estimated value of the said Award is approximately Rs 135.19 crore.
As per the BSE filing, the company has received another order worth Rs 43.13 crores from Oil and Natural Gas Corporation for Hiring Gas Dehydration Services for ADB GCS and Konaban GCS for a period of two years at ONGC Tripura Asset.
Deep Industries Limited, is specialized in providing Air & Gas Compression Services, Drilling and Workover Services, and Gas Dehydration Services, and also has expertise in Integrated Project Management Services.
The shares of the company have zoomed from Rs 41 in May 2021 up to the current levels logging a multibagger return of 525 percent in just 20 months. An investment of Rs 1 lakh then would be worth Rs 6.25 lakhs today.
The company has grown up to be a “One Stop Solution” provider and its portfolio includes various Machines, equipment, and tools that are used in the Oil and Gas Industry from Exploration & Production Services to Midstream Services.
In Q2FY23, the company reported a total revenue of Rs 66.67 Crore which declined from Rs 91.27 Crore in the same quarter a year earlier. In the period, their net profit stood at Rs 16.57 Crore which also declined from Rs 21.32 Crore Year on Year.
The small-cap stock has a market capitalization of Rs 822 Crore and a dividend yield of 1.27 percent. The promoters hold a 63.49 percent stake while the Foreign Institutional Investors (FIIs) hold a 2 percent stake.
Written by Anoushka Roy
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