Shares of this multibagger stock under the ‘micro-cap’ category opened their trading session on Tuesday hitting the 5 percent upper circuit after the company’s Board is set to meet to consider and approve sub-division of equity shares.
With a market capitalization of Rs 123.39 crores, the stocks of United Van Der Horst Limited opened their trading session on Tuesday hitting the 5 percent upper circuit at Rs 211.10, and are currently locked at the same price.
Such sharp stock price movements were observed after the company, through a regulatory filing with the Bombay Stock Exchange (BSE), intimated that the company’s Board of Directors have scheduled a meeting on Thursday, 25th January 2024, to consider and approve the proposal for sub-division of the equity shares of the company.
The proposal is subject to the approval of the company shareholders and other such authorities as may be required.
Keeping a purview of one year, the company’s stock has delivered multibagger returns of approximately 150 percent to its stakeholders, viz, if someone had invested Rs 1 lakh into the company’s stock a year ago, it would have converted to Rs 2.50 lakhs.
During the recent financial quarters, the company’s financial metrics such as operating revenues and after-tax profits, on a standalone basis, showed opposing movements.
The former, on one end, increased marginally from Rs 5.62 crores during Q1FY23-24 to Rs 6.04 crores during Q2FY23-24, and the latter, on the other end, dipped from Rs 53 lakhs to Rs 33 lakhs during the same time horizon.
In addition, the primary profitability metrics of the company were on the rise with the return on equity (RoE) shifting from 5.37 percent during FY21-22 to 6.70 percent during FY22-23, and the return on capital employed (RoCE), in congruence, rose from 3.97 percent to 7.26 percent.
The latest shareholding pattern data as per the September 2023 quarter portray the company’s Promoters holding a 70.44 percent stake followed by the Public (retail) investors holding a 29.53 percent stake in the company.
United Van Der Horst Limited is a company engaged in providing re-standardizing, reconditioning, reverse engineering, and manufacturing services to various sectors such as oil fields, marine, power plants, petrochemicals, and mining. The company offers products like hydraulic seals, pneumatic cylinders, jacking cylinders, and others.
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.
