Shares of this multibagger stock associated with the ‘Textile’ sector hit the 2 percent upper circuit in Tuesday’s trading session after the company’s Board of Directors (BOD) is set to meet in the last week of March 2024 to consider sub-division of equity shares of the company.
With a market capitalization of Rs 234.48 crores, the stocks of Vardhman Polytex Limited opened their trading hour on Tuesday at Rs 85.92 and currently are locked in the 2 percent upper circuit recorded at a price of Rs 85.92 apiece. The locked price is also marked as the company’s fresh 52-week high price.
Such bullish behavior in the company’s share price is observed after the company, through a recent regulatory filing with the Bombay Stock Exchange (BSE), intimated that the Board of Directors (BOD) of the company is set to meet on Thursday, 28th March 2024, at the registered office to consider sub-division of equity shares of the company. The company’s shares currently have a Face Value of Rs 10 per equity share.
During the recent financial quarters, the company’s basic business parameters, including its operating revenues as well as after-tax profits, showed movements in opposing directions on a standalone basis.
The former, on one end, reduced sharply from Rs 100.60 crores during Q2FY24 to Rs 60.81 crores during Q3FY24, and the latter, on the other end, showed an upward shift from losses of Rs 34.07 crores to profits of Rs 5.31 crores due to effective cost management by the company.
Keeping a purview of the last one year, the company’s stock has delivered stellar returns of approximately 305 percent to its holders, i.e., if someone had invested Rs 1 lakh into the company’s stock a year ago, it would have converted to Rs 4.05 lakhs.
According to the latest shareholding pattern data available for the December 2023 quarter, the company’s Promoters hold a 49.14 percent stake, and the Retail (public) Investors, recently increasing their stake, currently hold a 50.2 percent stake in the company.
Vardhman Polytex Limited is an India-based company operating in the Textile industry engaged in manufacturing as well as exporting cotton fabrics and branded yarn. The
company’s product portfolio includes yarns, fabrics, and garments including polo t-shirts, sweatshirts, etc.
Written by Amit Madnani
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