Shares of this multibagger micro-cap steel stock jumped up to 5 percent in Wednesday’s trading session after the company’s Board fixed the Record Date for the sub-division of equity shares of the company in the ratio of 1:10.
With a market capitalization of Rs 201.02 crores, the stocks of Dhatre Udyog Limited started their trading session on Wednesday at Rs 194.80 and currently trade at Rs 184.50. The company’s scrip witnessed an intra-day high price of Rs 195.90 indicating a gain of around 5 percent compared to its previous closing levels of Rs 187.35 apiece.
Such share price movements were observed today after the company, through a recent regulatory filing with the Bombay Stock Exchange (BSE), intimated that the company’s Board of Directors (BOD), in their meeting held on 10th March 2024, fixed “29th March 2024” as the ‘Record Date’ for determining the eligibility of shareholders for sub-division in the ratio of 1:10.
The same means a split of one fully paid-up equity share having face value of Rs 10 each into ten fully paid-up equity shares having face value of Rs 1 each.
During the latest financial quarters, the company’s prime indicators of business, such as operating revenues and after-tax profits, showed a stellar performance. The former jumped from Rs 38.92 crores during Q2FY24 to Rs 54.33 crores during Q3FY24 and the latter, during the same time horizon, took an upward shift from Rs 1.92 crores to Rs 3.62 crores.
The latest financials, on a consolidated basis, portray the return ratios being reported at decent numbers in FY23 with the return on equity (RoE) reported at 10.94 percent and the return on capital employed (RoCE) at 15.03 percent.
According to the latest shareholding pattern data for the December 2023 quarter, the company’s Promoters hold a 89.6 percent stake followed by the Public (retail) Investors holding a 10.39 percent stake in the company.
Keeping a purview of the last one year, the company’s stock delivered multibagger returns of nearly 117 percent, i.e., if someone had invested Rs 1 lakh into the company’s stock a year ago, it would have converted to Rs 2.17 lakhs.
Incorporated in 1996, Dhatre Udyog Limited is engaged in the business of manufacturing as well as selling iron, steel, and related products in India. The company offers TMT bars, MS-grade angels, flats, and wire rod coils.
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.
