Clear Wealth Consultancy Services, one of the promoters of Gokaldas Exports and holding a 20.56 percent stake as of Q3, is likely to sell a portion of its shares which is estimated to be 8.25 percent (40% of the total stake) through a block deal.
The deal is likely to be done at a price of Rs 390 per share, which is at a discount of around 2 percent to the current trading levels. The size of the deal is said to be worth Rs 234 crore and the broker for the above-mentioned deal is J M Financial.
Sivaramkrishnan Ganapathi, MD of Gokaldas Exports mentioned that demand in the west has seen a slowdown and growth is likely to pick up only in the second half of the next financial year.
The company’s stock opened its trading session at Rs 396 and is currently trading at Rs 398 which is a marginal up movement of 0.5 percent. The stock has provided Multibagger returns to its stakeholders which is about 400 percent within a timeframe of 2 years. In comparison to the previous closing price, the stock is trading at a downfall of around 2.5 percent.
Picture for a month of the horizon is in contrast to the current scenario, the stakeholders have enjoyed gains of around 9 percent during the mentioned time frame. Going further ahead with a 6-month duration, the stock has proved to have gained an upside of around 12.5 percent.
Gokaldas Exports, the largest manufacturer and exporter of apparel in India, has established itself as one of the largest manufacturers and exporters of apparel in India. It is the One Stop Shop for the world’s most acclaimed brands with an annual turnover for the company of 200 Million Dollars with 25,000 people across 23 manufacturing units.
The company is also expected to be one of the beneficiaries of the government push on the textile sector and the PLI scheme announced for the same.
Evaluating the financials of the company, it can be observed that the basic parameters such as the revenues and net profits for the company have gone down on a QoQ basis. Revenues went down from Rs 570 crores in Q2 v/s Rs 519 crores in Q3. Net profits, in congruence with the trend shown by the revenues, have gone down from Rs 46 crores in Q2 v/s Rs 41 crores in Q3.
Written by Amit Madnani
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. 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.
