Ace investor Rakesh Jhunjhunwala made Rs 5.59 crore per day for 111 trading sessions or Rs 620.62 crore from the stock of Escorts Ltd since March 23 this year. Jhunjhunwala held 91 lakh shares in the stock of auto firm for the quarter ended March 2020. Jhunjhunwala first bought 50 lakh shares of the company in the September 2013 quarter.
On March 23, when Sensex and Nifty logged their biggest single-day losses in their history, share of Escorts closed at Rs 551 on BSE. The value of Jhunjhunwala's stake in that session stood at Rs 501.41 crore.
On September 2, the stock climbed to all time high of Rs 1,233 intra day valuing the stake of Jhunjhunwala at Rs 1,122 crore. That amounts to a profit of Rs 620.62 crore in 111 trading sessions assuming that he kept the stake unchanged in remaining portion of Q2 till date.
In Q1 of current fiscal, the investor kept his stake in Escorts unchanged. Escorts share price hit all-time high today after the firm reported a 80.1% growth in total wholesales to 7,268 tractors in August against 4,035 tractors sold in same month last year, owing to robust demand for tractors in the domestic market.
It was the highest ever sales recorded in August. Escorts share rose 11.03% intra day to Rs 1,233 against previous close of Rs 1,111 on BSE today. Later, the stock closed 9.98% or Rs 110 higher at Rs 1,222 today.
The stock has gained 12.44% in the last 2 days. Escorts share stands higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages
Market cap of Escorts rose to Rs 16,480 crore on BSE. Total 2.54 lakh shares changed hands amounting to turnover of Rs 30.04 crore on BSE. The stock hit its 52-week low of Rs 450 on September 4, 2019. The midcap share has gained 7.81% in one month. In last one week, the share has risen 8.62%.
Till date, share price of Escorts Ltd has gained 139.55% in the last one year and fallen 94.17% since the beginning of this year. The share has been an outperformer beyond the period of one year too. It has risen 616% in five years, and 87.89% in three years against 53% and 22% rise in Sensex, respectively.
In ten years, the share has risen 510%. On the other hand, share price of its peer VST Tiller Tractors has gained 241% in ten years and lost 21.8% in three years. In five years, the share has gained 23.58%. On an year-to-date basis, VST Tiller Tractors stock has gained 57.48%.
Stock price of another competitor HMT Ltd has lost 51.97% in five years, 46.61% in three years and 77.15% in ten years. The share has fallen 2.22% in a week. It has gained 6.43% in one month and 35.53% since the beginning of this year.
In Q1 of current fiscal, Escorts reported a 6 per cent rise in consolidated net profit to Rs 92.58 crore against net profit of Rs 87.66 crore in the same period last fiscal. Consolidated revenue from operations in Q1 stood at Rs 1,089.26 crore as compared to Rs 1,440.45 crore in the year-ago period.
Revenue from the agri machinery segment stood at Rs 976.71 crore in the first quarter of 2020-21 compared to Rs 1,105.71 crore in the same period a year ago. Due to the unprecedented Covid-19 pandemic situation during this period, the financials for the quarter ended June 2020 do not represent normal operations and to that extent are not strictly comparable with any normal quarter, the company said.
The firm reported a 9.71 per cent rise in Q4 net profit at Rs 127.73 crore against Rs 116.42 crore profit in January-March period of 2018-19.
Total income of the company fell to Rs 1,415.95 crore during the fourth quarter against Rs 1,668.72 crore in the corresponding period a year ago. For the full 2019-20 fiscal, the company posted a consolidated net profit of Rs 471.7 crore compared with Rs 477.9 crore in 2018-19. Total income for 2019-20 fiscal stood at Rs 5,907.69 crore against Rs 6,354.42 crore in 2018-19.