Multibagger Penny Stock Under Rs.5

Wednesday witnessed a flat start for the benchmark indices as both the BSE Sensex Index and NSE Nifty-50 Index dragged by 0.15% each. Out of 3,248 shares traded, 1,437 have advanced, 1,673 have declined and 138 were unchanged on BSE. On the broader markets, BSE Mid-cap Index is down by 0.13% and BSE Small-cap Index is down by 0.03%.   

Despite the market being in the red, today, shares of Vivanta Industries emerged as one of the top gainers on the BSE, experiencing a remarkable surge of 5%, hitting the upper circuit at Rs 8.25 per share, a substantial increase from its previous closing price of Rs 7.86. This stock has delivered exceptional returns, achieving a multibagger growth of 137% in just one month and over 200% in six months.  

The recent development for Vivanta Industries involves securing a significant order worth Rs 35 crore to establish a specialized A.P. (Active Pharmaceuticals Ingredient) purification and sterilization plant, equipped with Lyophilizers for small batch API production. The project is expected to be completed within 18 months from the date of order receipt.  

Vivanta Industries Limited (VIL) primarily operates in the field of engineering services, encompassing activities such as land survey and procurement, project designing, fiscal studies, funding and marketing services.  

Turning our attention to the financials, this civil construction company currently holds a market capitalization of Rs 82.50 crore. Notably, the company showcased an impressive performance in its quarterly and annual results, with net sales rising by 2,357% witnessing substantial growth in Q3FY23 compared to Q2FY22. The net sales rose by 1,810 per cent and the net profit rose by 766% in FY23 over FY22.  

With a price-to-earnings ratio (PE) of 19.33x and a return on equity (ROE) of 13.24%, investors are advised to closely monitor this micro-cap stock as it holds significant potential.