On Thursday’s morning trading session, the share price of an India-based company engaged in the textile industry jumped by 13.7 percent on BSE to hit an intraday high at Rs. 46.1, after a Board meeting is scheduled to consider stock split.
At 10:25 a.m., the shares of Nandan Denim Limited were trading in the green at Rs. 45.4, up by 12.04 percent, compared to its previous closing price of Rs. 40.52, and has a market cap of Rs. 656.6 crore.
According to the latest regulatory filings with the stock exchanges, the meeting of the Board of Directors of the company is scheduled to be held on 17th June to consider and approve the sub-division or split of equity shares of Nandan Denim.
A stock split is intended to increase liquidity and lower the price of shares for those investors who previously were unable to purchase them because of high prices.
A company’s share count rises but its market capitalisation stays the same when it announces a stock split.
The company’s standalone revenue from operations stood at Rs. 579.12 crore in Q4 FY23-24, rising by 26.6 percent YoY from Rs. 457.2 crore in Q4 FY22-23, while the net profit increased from Rs. 2.8 crore in Q4 FY22-23 to Rs. 27 crore in Q4 FY23-24, indicating a significant growth of 864.3 percent YoY.
The return on equity (ROE) stood at 7.68 percent in FY23-24, up from 0.14 percent in FY22-23, as well as a rise in the Return on Capital Employed (ROCE) from 8.12 percent in FY22-23 to 15.41 percent in FY23-24.
Nandan Denim shares have delivered multibagger returns of about 122.4 percent in one year, and around 56.8 percent of positive returns in the last six months. So far in 2024, the company has given nearly 61 percent.
As per the shareholding pattern of March 2024, the Promoters hold a 64.87 percent stake in the company, Foreign Institutional Investors hold a 0.48 percent stake, while Retail Investors hold a 34.65 percent stake in the company.
Incorporated in 1994, Nandan Denim Limited is engaged in the business of manufacturing gray cotton fabrics, khakhis and denims, along with manufacturing fabrics of different weaves, dyes, combinations of yarns and weights.
Written by Shivani Singh
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.
