This stock delivered over 200% return in one year! Do you own the smallcap multibagger?
In the last one year, its share price has jumped from Rs 157 to Rs 528.50, giving around 237 per cent return. The scrip has jumped around 156 per cent from the beginning of this year.
- Nov 9, 2021,
- Updated Nov 9, 2021 5:36 PM IST
Shares of VRL Logistics Ltd have delivered more than 200 per cent return to its shareholders in the past one year. The stock rose 5 per cent to hit an all-time high of Rs 528.5 on the Bombay Stock Exchange (BSE) on Tuesday.
In the last one year, its share price has jumped from Rs 157 to Rs 528.50, giving around 237 per cent return. The scrip has jumped around 156 per cent from the beginning of this year. The stock ended 2.97 per cent higher at Rs 517.65 on Tuesday against its previous close of Rs 502.70.
With a market capitalisation of Rs 4,676.63 crore, the shares stand higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages.
The company reported a standalone profit of Rs 49.48 crore for the quarter ended September 2021 as against a net profit of Rs 30.88 crore in the year-ago quarter. Its net revenue rose 45 per cent to Rs 636.37 crore during the quarter.
"Despite the difficulties faced, the impact on business was lesser than the first wave witnessed last year, as supply chains were well evolved enough to cope with localized and staggered lockdowns," the company said.
It added 22 new branches in Q2FY22 and 31 new branches in H1FY22. It is also planning to expand its network by opening new branches in the untapped market.
According to a report by Motilal Oswal, VRL reported a strong 2QFY22, with topline growth of 45 per cent YoY to Rs 640 crore on the back of a 40 per cent growth in the goods transport (GT) segment. Volumes in the GT segment grew over 60 per cent YoY in 1HFY22. The bus operations business, which was the most impacted by the lockdowns, saw a sharp recovery with revenue growing 3x to Rs 50.3 crore.
The brokerage firm expects VRL to clock 19 per cent revenue CAGR, with faster addition of branches in untapped regions. With robust volumes and cost efficiency measures, it would be able to maintain its EBITDA margin profile at 14-15 per cent over the next two years, it said.
"We raise our FY23E/FY24E EPS estimate by 24 per cent/17 per cent to factor in an improved outlook on volume and margin. VRL is looking to increase its branch network, which would aid higher volumes. We maintain our Buy rating with a revised TP of INR 540/share (35x FY24E EPS)," it added.
Ace investor Ashish Kacholia also added VRL Logistics in his portfolio during the June-September quarter. He purchased 12,07,632 equity shares, or 1.37 per cent stake, of the company. The stock market investor is known for picking lesser-known stocks from the midcap and smallcap segments.
Shares of VRL Logistics Ltd have delivered more than 200 per cent return to its shareholders in the past one year. The stock rose 5 per cent to hit an all-time high of Rs 528.5 on the Bombay Stock Exchange (BSE) on Tuesday.
In the last one year, its share price has jumped from Rs 157 to Rs 528.50, giving around 237 per cent return. The scrip has jumped around 156 per cent from the beginning of this year. The stock ended 2.97 per cent higher at Rs 517.65 on Tuesday against its previous close of Rs 502.70.
With a market capitalisation of Rs 4,676.63 crore, the shares stand higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages.
The company reported a standalone profit of Rs 49.48 crore for the quarter ended September 2021 as against a net profit of Rs 30.88 crore in the year-ago quarter. Its net revenue rose 45 per cent to Rs 636.37 crore during the quarter.
"Despite the difficulties faced, the impact on business was lesser than the first wave witnessed last year, as supply chains were well evolved enough to cope with localized and staggered lockdowns," the company said.
It added 22 new branches in Q2FY22 and 31 new branches in H1FY22. It is also planning to expand its network by opening new branches in the untapped market.
According to a report by Motilal Oswal, VRL reported a strong 2QFY22, with topline growth of 45 per cent YoY to Rs 640 crore on the back of a 40 per cent growth in the goods transport (GT) segment. Volumes in the GT segment grew over 60 per cent YoY in 1HFY22. The bus operations business, which was the most impacted by the lockdowns, saw a sharp recovery with revenue growing 3x to Rs 50.3 crore.
The brokerage firm expects VRL to clock 19 per cent revenue CAGR, with faster addition of branches in untapped regions. With robust volumes and cost efficiency measures, it would be able to maintain its EBITDA margin profile at 14-15 per cent over the next two years, it said.
"We raise our FY23E/FY24E EPS estimate by 24 per cent/17 per cent to factor in an improved outlook on volume and margin. VRL is looking to increase its branch network, which would aid higher volumes. We maintain our Buy rating with a revised TP of INR 540/share (35x FY24E EPS)," it added.
Ace investor Ashish Kacholia also added VRL Logistics in his portfolio during the June-September quarter. He purchased 12,07,632 equity shares, or 1.37 per cent stake, of the company. The stock market investor is known for picking lesser-known stocks from the midcap and smallcap segments.