On Wednesday, this small-cap stock jumps over 9% after acquiring a 51% stake in the JDHL company. A significant volume rise that was higher than it was the day before and the prior week is helping to support the stock price. Currently, the stock is trading above both the 200-day and 50-day moving averages.
Syrma SGS Technology Ltd
The company Syrma SGS Technology Ltd., with a market capitalization of Rs. 10,184 Cr., is classified as a small-cap. On Wednesday company shares opened at Rs. 540.05 and at 12.30 p.m. shares were trading 6% up at Rs. 570.85 on BSE. It is 2.9% below the 52-week high.
According to the company filing, Syrma SGS Technologies Ltd. completed the acquisition of a 51% stake in Johari Digital Healthcare Limited (JDHl) for a consideration of Rs. 229.5 Cr. JDHL is well known for producing electro-medical devices with an emphasis on end-to-end design.
This acquisition will enhance Syrma SGS’s capabilities and offering in the electro-medical devices segment and create business synergies across multiple areas.
The stock has delivered 105% returns in six months, therefore making an investment of 1 lakh six months ago now would be worth 2.05 lakhs.
As per the company filing, total revenue grew by 59% YoY from Rs. 391.7 Cr in Q1 FY23 to Rs. 623.3 Cr in Q1 FY24 and net profit increased by 65% YoY from Rs. 17.1 Cr in Q1 FY23 to Rs. 28.3 Cr In Q1 FY24.
As of June 2023, Promoters hold 47.2%, FIIs hold 9.27%, DIIs hold 9.23% and the Public hold a 35.23% stake in the company.
Syrma SGS Technology Ltd. the company offers assistance with electronic manufacturing. It provides services like ATE programming, component engineering, environmental testing, digital FX engineering, and product design and engineering.
Written by Sheshadri N
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.
