In Tuesday’s early trade, shares of the country’s second-largest automotive battery manufacturer and technological leader in lead-acid batteries fell 6% to Rs 643.40 apiece on reports of a block deal.
Amara Raja Batteries Ltd shares were trading at Rs 650.15 on the NSE at 12:40 p.m., down 5.05% from the previous close, with a market capitalisation of Rs 11,110 crores.
According to a report by CNBC-TV18, over 16 percent of the company’s equity, worth over Rs 1,800 crore, exchanged hands in a large deal at an average price of Rs 654 per share. Clarios ARBL Holding LP was the likely seller.
Amara Raja Batteries Ltd is engaged in manufacturing of lead-acid batteries for industrial and automotive applications. The company has a global presence in 32 countries.
In the previous year, the stock has gained by 35.58 percent from Rs 479.40 per share, and it has increased by 11.61 percent in the last six months.
In March FY 22-23, revenue increased by 19% year on year to Rs 10,388 crore over the previous year. During the same year, net profit climbed by 35% to Rs 694 crore.
The company’s profitability metrics improved slightly in fiscal year 22-23, with return on equity at 13.10 percent and return on capital employed at 17.92 percent. At the same time, margins improved, with a 6.68 percent net profit margin and a 9.78 percent operating margin.
As per present shareholding pattern, the promoters own 28.06 percent of the company, foreign institutional investors own 36.19 percent, and domestic institutional investors own 9.21 percent.
Written by Omkar Chitnis
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.
