Can this multibagger small-cap stock hit 52-week high today? Ashish Kacholia bought 1,07,500 shares & company reported stellar Q1FY25 results!

The shares of the company have a PE of 21x, an ROE of 24 per cent and an ROCE of 32 per cent.

On Monday, shares of this multibagger specialty chemicals company ended the trading session in the green, up 0.51 per cent to Rs 2,364.40 per share from its previous closing of Rs 2,352.35 with an intraday high of Rs 2,399.20 and an intraday low of Rs 2,330. The stock’s 52-week high is Rs 2,425 and its 52-week low is Rs 952.05

The buzzing stock name is Styrenix Performance Materials Ltd.

Styrenix Performance Materials Ltd, established in 1973, is an Indian manufacturer and seller of engineering thermoplastics. Specializing in Absolac (ABS) and Absolan (SAN) production, the company provides ABS, a plastic resin used in appliances, automobiles, and consumer goods and Absolan, a polymerized resin used in lighting, stationery and packaging. Additionally, they produce polystyrene for food service, packaging and electronics applications.

According to Quarterly Results, net sales increased by 28.5 per cent to Rs 698.71 crore, operating profit increased by 73.8 per cent to Rs 92.20 crore and net profit increased by 88.6 per cent to Rs 61.20 crore in Q1FY25 compared to Q1FY24. In its annual results, net sales decreased by 6.3 per cent to Rs 2,222.17 crore, operating profit decreased by 6 per cent to Rs 272.80 crore and net profit decreased by 5.4 per cent to Rs 173.17 crore in FY24 compared to FY23.

On June 27, 2024, an ace investor, Ashish Kacholia (thought is owned company Bengal Finance & Investment Pvt Ltd) bought 1,07,500 shares at Rs 1,860 per share aggregating to approx. Rs 200 crore. 

The company has a market cap of Rs 4,158 crore and has been maintaining a healthy dividend payout of 120 per cent. The shares of the company have a PE of 21x, an ROE of 24 per cent and an ROCE of 32 per cent. The stock gave multibagger returns of over 100 per cent in 1 year and a whopping 460 per cent in 5 years. Investors should keep an eye on this small-cap stock.

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

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