IPO DOUBLES Investors' Money In 2 Weeks; SME Stock Zooms 208% Since Listing On July 19

Kaka Industries is among the many SME IPOs that hit the BSE SME Exchange in July month. And this SME stock has given blockbuster returns in a very short period. Kaka's stock price has more than doubled investors money in a little over 2 weeks. The stock has journeyed from Rs 58 to a massive 52-week high of Rs 178.50 apiece on August 4, 2023. The stock even had a bumper listing. On Monday, investors cashed in some of the impressive gains in the stock.

Kaka launched its IPO from July 10 to July 12, at a fixed price band of Rs 55-58 per share. The IPO received stellar demand from across investor categories and oversubscribed by a whopping 292.66 times on the last day of the issue. Non-institutional investors portion subscribed by 431.85 times, while the retail individuals category oversubscribed by 358.88 times. The institutional investors' portion subscribed 72.13 times.

The IPO debuted at a 90% premium on the SME platform of BSE with a listing price of Rs 110.20 per share on July 19, against the IPO issue price of Rs 58 per share. The listing price is also the stock's 52-week low level.

On August 4, the stock touched a new 52-week high of Rs 178.50 apiece on BSE, rising by 207.7% from the IPO's issue price. On this day, the company announced to sale three properties for a consideration of Rs 2.82 crore to Shri Rang Energy Efficient in which its whole-time director, Bhavin Rajeshbhai is the related party.

On Monday (August 8), the stock traded at Rs 166.70 apiece, up by 1.33%. However, the stock has touched an intraday high of Rs 175 apiece.

Taking into consideration the intraday high, the stock has rallied by 201.72%.

The stock trades under BSE's 'M' Group of Securities.

As per Trendlyne data, the stock's pivot level is at Rs 170.88. While its momentum oscillator
is at 41.4. The 5-day SMA is Rs 161.8 and the 10-day SMA is Rs 151.0. Finally, the stock's weekly average delivery volume is 61.34%.

Kaka Industries is a PVC profile brand, focused primarily on the manufacturing of polymer-based profiles which finds application in doors, windows, partitions, false ceilings, wall paneling, kitchen cabinets & other interior and exterior works.

The company's product portfolio has over 1200 SKU's covering PVC Profile, uPVC door & window profile, WPC Profile & sheet in various sizes, specifications and colours. Also, the company is engaged in fabrication of factory-made PVC & Solid PVC doors.

Kaka markets its products through an extensive network of 300 dealers spread across over 20 States and Union Territories of India.

It has three manufacturing units in village Zak, Gandhinagar district, Gujarat, which has a combined installed capacity of 15,425 MT for manufacturing PVC profile, 2,995 MT for WPC profile & sheet, 2,022 MT for uPVC door & window profile, as per the red herring prospectus.

In case of financial results, for the fiscal ended 2023, 2022 and 2021, the total income of the company stood at ₹ 158.88 crore, ₹ 117.10 crore and Rs 78.79 crore respectively. Further, its PAT for the fiscal ended 2023, 2022 and 2021 stood at Rs 7.19 crore, Rs 4.98 crore and Rs 3.03 crore respectively.