Dark horse stock of the day: Bedmutha Industries jumps 20% and hits the upper circuit

Shares of Bedmutha Industries Limited witnessed a significant surge today. The stock opened trading at Rs 75.58, which was 2% down from the previous day’s closing price of Rs 77.12. What’s more, the stock hit an upper circuit limit of 20%, and there were no sellers available on BSE.  

The stock reached a 52-week high today, with its 52-week high and low being Rs 92.54 and Rs 46.70, respectively. With a market capitalisation of Rs 299 crore, the stock has demonstrated outstanding performance in recent periods, yielding a 66% return in the last three months. Moreover, it has generated an impressive multibagger return of 380% in the last three years.    

When analysing today’s share volumes, it becomes apparent that there has been a substantial increase of over 4.83 times in trading volumes compared to its average volumes on the BSE. Finally, the stock concluded the session at Rs 92.54 per share on the BSE.   

Bedmutha Industries, a prominent company, specialises in the production and export of various types of wires, including Wire Rope, Tyre Bead Wire, and Galvanized Wires. Additionally, the company is actively engaged in EPC Projects and Consultancy services.  

Furthermore, the company has a diverse range of products that find applications in a wide array of industries such as automotive, power, infrastructure, copper, retail, and more.   

Financial Performance    

In the June quarter of FY24, the company’s revenue from operations experienced a significant increase of 11.5% YoY, rising from Rs 172 crore to Rs 192 crore. The company reported an operating profit of Rs 2.88 crore, compared to an operating profit of Rs 4 crore in the corresponding quarter last year. In Q4 FY23 company reported an operating profit of Rs 4.37 crore. 

Meanwhile, the net profit of the company amounted to Rs 3.71 crore, net profit decreased as compared to the corresponding quarter last year.  

Here is the chart presentation of the company’s shares on the monthly time frame:  

Upon examining the weekly candle on the stock chart, it appears to indicate a promising upcoming performance. However, when reviewing the company’s recent quarter’s financials, the top line (revenue) has shown year-over-year growth, while the bottom line (net profit) declined in the recent quarter. This could potentially signal the start of a new bull run in the stock. 

Investors should consider keeping a close watch on this stock.  

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.