Multibagger Penny Stock Under Rs 55; Board Announces 10:1 Stock Split & PAT Jumps 181 Per Cent in FY25

The stock has given multibagger returns of 334 per cent from its 52-week low of Rs 11.42 per share and a whopping 1,070 per cent in 5 years.

Chandrima Mercantiles Limited has announced a proposed sub-division or split of its existing equity shares, where one equity share with a face value of Rs 10.00 each will be divided into ten equity shares with a face value of Re 1.00 each, subject to shareholder approval. The rationale behind this stock split is to improve the liquidity of the company's equity shares in the capital market by increasing the number of outstanding shares, broadening the shareholder base, and making the shares more accessible to smaller investors. The record date for this share split will be announced at a later time.

Established in 1982, Chandrima Mercantiles Ltd primarily operates in the trading of agricultural products. Previously, the company's business activities encompassed a wider range of goods, including building materials, yarn, jute, jewellery, and ornaments, as well as cloth, textiles, gold, silver, bullion, and related items. The company has since shifted its focus to the agricultural sector for its trading operations.

The company reported net sales of Rs 8.76 crore and net loss of Rs 0.99 crore in its Quarterly Results (Q4FY25). Looking at its annual results, the net sales increased by 51 per cent to Rs 29.19 crore and net profit increased by 181 per cent to Rs 0.73 crore in FY25 compared to FY24.

On Tuesday, shares of Chandrima Mercantiles Limited plunged 2 per cent to Rs 49.52 per share from its previous closing of Rs 50.53 per share. The company has a market cap of over Rs 100 crore and the stock is trading at 1.10 times its book value. The stock has given multibagger returns of 334 per cent from its 52-week low of Rs 11.42 per share and a whopping 1,070 per cent in 5 years.

Disclaimer: The article is for informational purposes only and not investment advice.