Multibagger alert: This chemical company turned Rs 1 lakh into Rs 4.4 lakh in just two years!

Meanwhile, the S&P BSE SmallCap index, of which the company is a part, has delivered returns of 88.3%. 

Bhagiradha Chemicals and Industries Ltd, an S&P BSE SmallCap company, has delivered multibagger returns to its shareholders in the last two years. During this period, the company’s share price has jumped from Rs 293.07 on 06 October 2020 to Rs 1301 on 30 September 2022, an increase of 344% in the two-year holding period. Meanwhile, the S&P BSE SmallCap index, of which the company is a part, has delivered returns of 88.3%. 

An investment of Rs 1 lakh in the shares of this company two years ago would have turned to Rs 4.44 lakh today. 

Bhagiradha Chemicals and Industries Ltd is engaged in the business of manufacturing high quality basic pesticides. The company’s product portfolio includes: Chlorpyrifos Ethyl Technical, High Purity Chlorpyrifos Ethyl Technical, Chlorpyrifos Methyl Technical, Clodinafop-Propargyl Technical, Triclopyr Butoxy Ethyl Ester Technical, etc. The company has also set up R&D facilities within the factory premises which are equipped to develop processes for generics and to enhance process efficiency of existing operations. 

In the recent quarter Q1FY23, on a consolidated basis, the company’s net revenue increased by 23.63% YoY to Rs 121.72 crore. Subsequently, the bottom line increased by 56.65% YoY to Rs 11.90 crore. 

The company is currently trading at a TTM PE of 33.80x against the industry PE of 21.10x. In FY22, the company delivered an ROE & ROCE of 20.6% and 24.7%, respectively. 

Today, the scrip opened at Rs 1333 and has touched a high and low of Rs 1344.95 and Rs 1306.90, respectively. So far 14 shares have been traded on the bourses. 

At 12.50 pm, the shares of Bhagiradha Chemicals and Industries Ltd were trading at Rs 1337.75, an increase of 2.82% from the previous closing price of Rs 1,301 on BSE. The stock has a 52-week high and low of Rs 1,557.55 and Rs 560.64, respectively on BSE.