Multibagger alert: This garment manufacturing company more than doubled investors’ wealth in just a year

An investment of Rs 1 lakh in the shares of this company one year ago would have turned to Rs 2.29 lakh today.

Monte Carlo Fashions Ltd, an S&P BSE SmallCap company, has delivered multibagger returns to its shareholders in the last one year. During this period, the company’s share price jumped from Rs 360.45 on 07 September 2021 to Rs 828.45 on 06 September 2022, an increase of 129% in the one-year holding period. An investment of Rs 1 lakh in the shares of this company one year ago would have turned to Rs 2.29 lakh today.

As against this, the S&P BSE SmallCap index, of which the company is a part, has surged by a mere 5.76%. In the last one year, the index has climbed from the level of 27,501.28 on 07 September 2021 to 29,086.44 on 06 September 2022.

Monte Carlo Fashions Ltd manufactures and distributes men’s and women’s apparel. The company manufactures shirts, T-shirts, and sportswear. The company was incorporated in 2008 and is based in Ludhiana, India. It operates as a subsidiary of Oswal Woollen Mills Limited.

In the recent quarter of Q1FY23, the company’s net revenue increased by 170.67% YoY to Rs 112.8 crore. However, the company incurred a net loss of Rs 3.92 crore against the net loss of 10.18 crore in the corresponding quarter last year.

The company is currently trading at a TTM PE of 14.38x against the industry PE of 21.77x. In FY22, the company delivered an ROE & ROCE of 16.59% and 24.19%, respectively.

Today, the scrip opened at Rs 826.20 and has touched a high and low of Rs 842.80 and Rs 826.10, respectively. So far 5463 shares have been traded on the bourses.

At 1.04 pm, the shares of Monte Carlo Fashions Ltd were trading at Rs 835.10, an increase of 0.80% from the previous day’s closing price of Rs 828.45 on BSE. The stock has a 52-week high and low of Rs 887.70 and Rs 322, respectively on BSE.