Deepak Fertilisers skyrockets to almost reach its pre-COVID 52-week high
Share price of Deepak Fertilisers and Petrochemicals Corporation Limited has skyrocketed and almost reached its pre-COVID 52-week high. The rally in the stock price is significant as it was mostly driven by fundamental cues.
The company's product mix held the key position for the company with most of its products falling under the essential commodities category. They were thus, able to continue operations even amidst the lockdown situation. Though, disruptions in supply chain and closure of customer plants created issues but were not anything that could not have been managed.
Riding high on overall strong cues, the stock of the company was further fuelled by its entry to the hand sanitizer segment. Earlier, its Isopropyl Alcohol (IPA) segment was only supplied to other makers, but now Deepak Fertilisers got its own sales capacity. The company's production capacity of IPA is already among the highest in the industry. With an installed capacity of 70,000 MTPA, it dominates the industry with a 75 per cent market share in IPA manufacturing.
In January 2020, the stock of the company had touched a 52-week high of Rs 126.85 on BSE while its last traded price is Rs 114.10, after recovery of 95 per cent since its March lows.