Foreign Institutional Investors (FIIs) are large companies that invest in countries other than where their headquarters are located. They are typically associated with fast-developing economies, such as India and China.
FIIs can impact the stock price and market sentiment. A higher FII stake is generally interpreted as positive, while a lower FII stake indicates low confidence in FIIs in the company.
When FIIs increase their stake in a company, it can lead to a rise in the stock price, as it signals that the company is gaining credibility and attracting more foreign capital.
Listed below is one such share in which FIIs have increased their stake and is also held by Ace investor Dolly Khanna:
Mangalore Refinery And Petrochemicals Ltd
With a market capitalisation of Rs. 30,399 crores, the shares of Mangalore Refinery And Petrochemicals started Tuesday’s trading session on a lower note at Rs. 169 compared to its previous close of Rs. 174.90. During the trading session, the shares hit a high of Rs. 177, gaining around 1 percent and are currently trading at Rs. 174.30 apiece.
The shares have delivered a multibagger return of 203 percent in one year to its shareholders. For example, if someone had invested Rs. 1 lakh in the company’s shares a year ago, then the worth of those shares would be Rs. 3.03 lakhs now.
During the recent financial quarters, Foreign Institutional Investors (FII) have increased their stake in the company by around 1.01 percent, i.e., from 1.54 percent holdings during the September 2023 quarter to 2.55 percent holdings during the December 2023 quarter.
According to the BSE data, Ace Investor Mr Dolly Khanna, entering the stock in March 2022, currently holds 15,40,990 lakh equity shares equivalent to a 1.30 percent stake in this company. The current holding value of his investment amounts to Rs. 19.5 crores.
Looking at the recent financial statements published by the company, the revenue zoomed by 28 percent from Rs. 19,230 crores during the September quarter to Rs. 24,677 crores in the December quarter. On a contrasting note, the net profits declined by around 64 percent from Rs. 1,059 crores to Rs. 387 crores during the same period.
Written By Vaibahv Patil
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