Servotech Power Systems shares hit 52-wk high over stock split buzz

Shares of Servotech Power Systems hit an upper circuit during the trading session on Friday amid the stock split buzz. The company board is likely to meet on Thursday, May 25, 2023, to consider the stock split, said the NSE listed player via an exchange filing on the previous day.

The company is looking to sub-divide its equity shares with a face value of Rs 2 each through the proposed corporate action. This would be the second stock split, if approved, within a year. Earlier in February 2023, the company had split the face value from Rs 10 to Rs 2.

Following the announcement, shares of Servotech Power Systems surged 5 per cent, locked in the buyer's circuit, to Rs 88.90 on Friday. The stock scaled its new-52-week high, commanding a total market capitalization close to Rs 950 crore.

Shares of Servotech Power Systems have delivered multibagger returns to the investors. From its 52-week lows of Rs 11.4 on July 26, 2022, the stock has rallied 680 per cent. In the last six months, the stock has gained 210 per cent, while it has gained 175 per cent in the year 2022 so far. Even in the last one month, the stock has gained 55 per cent.

Servotech Power Systems reported an increase of 363 per cent in the net profit at Rs 6.05 crore for the quarter ended on March 31,2 023. The company clocked an revenue from operations at Rs 115.3 crore for the given quarter. The company reported an EBITDA of Rs 9 crore, 216 per cent higher than the year ago period.

New Delhi-based Servotech Power Systems is a leading manufacturer and distributor of EV charging solutions, solar products and medical devices in the country. It also manufactures and distributes EV charging solutions, solar products and medical devices.

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