Senco Gold Limited, based in India, operates as a jewellery retailer specializing in a wide range of jewellery options. It has recently witnessed a significant surge in its stock prices.
The main reason for covering this company today is that its shares have doubled from their final listing price of Rs 317 per share on the BSE. This remarkable performance has effectively doubled the investment of those who had applied for the IPO and received allotment within just 77 days or 2.5 months of listing.
The stock opened trading at Rs 616.85, representing a 1.35% increase compared to the previous day’s closing price of Rs 608.65 per share on the BSE. Despite the minor gains at the opening, it surged by 11% today.
As of the time of writing this article, the shares are trading at Rs 634 per share on the BSE. Moreover, they reached a 52-week high price of Rs 674 per share.
The current market capitalization of the company stands at Rs 4,908 crore. The stock has generated an impressive return of 52% in the last month alone. Interestingly, the stock debuted at Rs 431 apiece on the BSE at a premium of 36% on July 14, 2023.
Peer Comparison:
| Company Name | CMP Rs | M Cap (Rs Cr) | PE (x) | ROCE % | ROE % | 1-month return % |
| Senco Gold | 634.00 | 4908.00 | 30.93 | 17.24 | 21.80 | 50.44 |
| Titan Company | 3181.70 | 282466.93 | 87.76 | 25.08 | 30.75 | 4.39 |
| Rajesh Exports | 503.05 | 14853.07 | 10.10 | 10.30 | 10.54 | 3.77 |
| Goldiam International | 127.50 | 1389.45 | 17.25 | 20.93 | 15.27 | 0.44 |
| Vaibhav Global | 433.65 | 7170.43 | 62.51 | 11.12 | 9.02 | -0.67 |
| Kalyan Jewellers | 221.55 | 22820.8 | 46.61 | 12.69 | 13.46 | -1.60 |
| Thangamayil Jewellers | 1220.95 | 3350.18 | 28.06 | 16.82 | 22.37 | -3.80 |
IPO details and subscription history:
On July 06, 2023, the final day of the IPO window, the IPO witnessed a subscription rate of 77.25 times. The public issue received an overwhelming response, with the retail category being subscribed 16.28 times, the QIB category achieving a subscription rate of 190.56 times, and the NII category reaching a subscription rate of 68.44 times.
The IPO price range was set between Rs 301 and Rs 317, with a face value of Rs 10 per share and a lot size of 47 shares. The total size of the company’s IPO was Rs 405 crore, and the final share issue price was fixed at Rs 317 each. The stock debuted at Rs 431 apiece on the BSE at a premium of 36% on July 14, 2023.
Company profile:
Senco Gold Limited, based in India, operates as a jewellery retailer specializing in a wide range of jewellery options. The company primarily focuses on the sale of gold and diamond jewellery, while also offering jewellery crafted from materials such as silver, and platinum, as well as various precious and semi-precious stones, among other metals. In addition to these offerings, it provides costume jewellery, as well as gold and silver coins and silverware.
The company boasts an extensive portfolio, comprising approximately 108,000 gold jewellery designs and over 46,000 diamond jewellery designs. It also showcases a diverse collection of handcrafted jewellery styles. The company markets its products under the brand name ‘Senco Gold & Diamonds’ and reaches customers through various channels, including approximately 70 company-operated showrooms and 57 franchisee showrooms.
Investors must keep this stock on their radar.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.
