Shares of Matrimony.com, which runs online matrimony platform BharatMatrimony, rallied nearly 18 per cent to hit a fresh 52-week high on the Bombay Stock Exchange on Tuesday on the back of heavy volume. In the last nine months, Matrimony.com shares grew by 280 per cent from its 52-week low of Rs 251 as on March 23 to Rs 953 today, despite business disruption caused by the COVID-19 pandemic. The stock has gained 33.71 per cent so far in December.
Matrimony.com shares belled the day in positive terrain, opening at Rs820.45 against the previous closing price of Rs 809.40 on the BSE. During the day's trade, the stock hit a record high of Rs 953, before closing at Rs927.95, up 14.65 per cent. The market cap of the matrimony company surged to Rs2,114.15crore.
On the volume front, there was surge in buying as 15,000 shares changed hands over the counter as compared to two-week average volume of 1,563 shares on the BSE.
For July-September quarter, the company reported a jump of 31.2 per cent in net profit to Rs 10.3 crore as opposed to the year-ago period. On the quarter-on-quarter basis, the profit rose by 9.6 per cent from the preceding quarter ended June 30, 2020. Revenue inched up by 1.1 per cent to Rs 93.3 crore in Q2 FY21 from Q2 FY20, led by 9.7 per cent billing growth to Rs 96.6 crore during the quarter under review. Despite COVID-19 pandemic, the company's matchmaking business revenue rose by 4.6 per cent year-on-year to Rs 92.7 crores while it added 2.1 lakh paid subscriptions, registering a yearly growth of 25.7 per cent.
Following Q2 results, analysts at ICICI Direct turned bullish on the stock, recommending buy rating with a target price of Rs 800.
Last month, SBI Mutual Fund acquired an additional 3.3 per cent stake in Matrimony.com through its various schemes, raising holding to 5.46 per cent.
The company, which competes with Shaadi.com and Jeevansathi.com, is among the first generation of internet companies in India, which started in the 1990s, and also among the few to go public. It manages marquee brands such as BharatMatrimony, CommunityMatrimony and EliteMatrimony.