Small Cap Auto Stock Hit 10% Upper Circuit, Gain 125% In 6 Months; Buy?

Pritika Auto Industries Ltd, a small-cap automobile company, started on the BSE today at Rs 37.01 per share and surged to reach a 10% upper circuit limit at Rs 37.79 per share during the morning trades. Pritika Auto Industries is one of Dalal Street's multibagger stocks, having produced a multibagger return of 115.10% over the last year and 124.70% during the previous six months.

Pritika Auto Industries Financials

Consolidated net sales for the firm for the September 2023 quarter were Rs. 93.70 crore, 6.34% less than the Rs. 100.04 crore reported during the September 2022 quarter. The company reported a net profit of Rs. 3.78 crore for Q2FY24, which is 24.44% lower than the Rs. 5.00 crore reported for Q2FY23. EBITDA dropped from Rs. 13.10 crore in the same quarter the previous year to Rs. 12.43 crore in Q2FY24, a 5.11% decline. The company is yet to declare its Q3 results.

Pritika Auto Industries Shareholding Pattern

During Q3FY24, the company recorded promoters' shareholding of 68.38%, FIIs stake of 2.41%, and public stake of 29.21% compared to 48.54% promoters' stake, 1.34% FIIs stake and 50.11% public stake in Q2FY24.

Pritika Auto Industries Share Price Target

Pritika Auto Industries is bullish on the Daily charts and a Daily close above resistance of 38.8 could lead to a target of 44 in the near term. Strong support will be at 35.5, said AR Ramachandran from Tips2trades.

About

The firm received a Certificate for Commencement of Business from the Registrar of Companies, Mumbai, Maharashtra, on April 25, 1980, after having been established as a public entity on April 11, 1980, in accordance with the Companies Act, 1956. Currently, the company manufactures and sells engineering products, automotive parts, and other components, in addition to tractors.

Disclaimer

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