Shares of smallcap firm Xpro India have given surprisingly exceptional returns to its investors in the last 2 years. This Ashish Kacholia-backed stock soared from around ₹14 in August 2020 to currently trade around ₹782, skyrocketing over 5,400 percent in this period.
An investment of ₹1 lakh in August 2020 in this stock would have turned to ₹55 lakh currently.
As per shareholding data, ace investor Ashish Kacholia holds 4,59,366 shares or 3.89 percent stake in the company, as of Juen 2022 quarter.
Even during the time when most of the domestic as well as global markets were performing poorly, reeling under the inflationary pressure, the stock defied the trend, giving stable returns to its investors.
Even in the last 1 year, the stock has given multibagger returns, rising 336 percent, jumping from around ₹180 in August last year. Meanwhile, in 2022 YTD, it has added over 25 percent. In the 8 months of 2022 so far, the stock has given positive returns in 5 of them.
Meanwhile, if you had invested ₹1 lakh in August last year, it would have turned into ₹4.3 lakh now.
The Birla Group firm is involved in the polymers business through the Biax and Coex divisions. Its Biax Division manufactures a range of coextruded biaxially oriented polypropylene (BOPP) films and dielectric films on the automated production lines, having multipurpose use in applications ranging from food packaging to specialized films. Its Coex Division manufactures coextruded sheets, thermoformed refrigerator liners and coextruded cast films.
The company also posted stellar performance during the June quarter. Its net profit surged nearly 4 times, 269 percent YoY to ₹18.5 crore for the period ended June 30, 2022, as against a net profit of ₹5 crore in the year-ago period. Meanwhile, it reported a 75 percent jump in its total income at ₹160 crore in Q1FY23 as compared to ₹91 crore in Q1FY22.
Despite the stellar return, it is important to note that penny stocks are high-risk stocks and not suitable for investors with a risk-averse approach. Only high-risk investors should invest in such stocks and in very small weightage. Please consult your financial advisor before making any changes to your portfolio.
Disclaimer: This story is for educational purposes only. Please speak to an investment advisor before making any investment decisions.