Whopping over 1000% return! Share price of this small cap company jumps from Rs 100 to Rs 1,400 in just 8 months - Gensol Engineering
Global brokerage firm JP Morgan has also charted a positive outlook given that the company is in the business of EV leasing and solar EPC (Engineering, Procurement, and Construction).
Shares of Gensol Engineering, a small-cap company, have yielded over 1000 per cent returns this year, according to a Zee Business report. Gensol Engineering share price was Rs 119.50 on January 3. In Monday's session, the stock hit an upper circuit of 5 per cent at Rs 1,404.10. The stock is listed on the BSE.
The surge in the stock is mainly on the back of a positive outlook. Global brokerage firm JP Morgan has also charted a positive outlook given that the company is in the business of EV leasing and solar EPC (Engineering, Procurement, and Construction).
As per Zee Business research analyst Kushal Gupta, the future plans of the company with respect to EV could be a trigger point on the revenue front. The company expects revenue in FY24 would jump 4 times to Rs 500-600 crore from Rs 160 crore reported in FY22. Moreover, the company also expects that the top line would grow by Rs 2,000 crore by FY25 on the back of a strong pipeline of launches.
Gensol Engineering has signed a term sheet with an American EV startup to buy majority stakes and will be manufacturing Make in India EV products, the analyst said. The company sees a lot of opportunity in the EV segment, especially in the $9 billion hatchback EV market.
From January 2023, the company is planning to start delivery of its vehicles in segments such as personal mobility, ride-hailing, and cargo-related electric three-wheelers.
After two and three-wheeler launches, the company FY24 onwards may also enter into the electric four-wheeler EV race, according to the report.
The company lately had launched a preferential issue of Rs 13 lakh shares at Rs 1,036 per share and raised Rs 140 crore. Several investors such as Nikhil Vora – HUF of Six Senses Ventures picked 30,000 shares and Pathik Gandotra, partner at Drone Capital bought 19,500 crore shares in the company.
Besides, former co-founder and MD of Bharat Pe, Ashneer Grover has also bought around 14,500 shares in Gensol Engineering, the analyst said in its research report.
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