Accordingly, if an investor had invested Rs 10,000 in the stock 10 years ago and stayed put, the investment would have jumped to nearly 7 lakh, according to an analysis by ET Markets.
The winning run continued in the previous few years too with a gain of nearly 870% in the last five years. However, there were muted returns in the last one year period, as the stock fell 5%.
The company designs and manufactures apparel under the brand name of Cantabil. It has a network of over 500 exclusive retail outlets and employee strength of more than 3700 spread across India. The Cantabil brand offers a complete range of formal, party, casual and ultra casual clothing for Men and Women in the middle to high-income group.
According to the shareholding pattern available with the exchanges, the company is majority owned by promoters at 74.97%, while public shareholders own the rest 25.03%.
Among the public shareholders, mutual funds have no significant stake, but foreign investors hold 2.15%. Leading global investment firm Bofa Securities owns 2.12% in the company.
In the recent September quarter, revenue from operations grew 16% to Rs 135 crore, while profit after tax declined to Rs 7.5 crore.
Technical outlook – What should investors do?
Analysts said the stock is trading sideways but the momentum indicators show a promising upside potential in the near future.
“On the weekly chart, we can see a rounding base pattern. On the daily charts, in the last 6 trading sessions, the stock has been trading sideways – in the range of 240-260. However, looking at the placement of momentum indicators, it is evident that the upside momentum is likely to continue. One can keep a stop loss of 240. On the upside, the stock can touch 280-300 in a couple of weeks,” said Mileen Vasudeo, Sr Technical Analyst, Arihant Capital.
With data inputs from Ritesh Presswala
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)