Stock of HEG Ltd has delivered over 900 per cent returns in the last five years. The stock of the graphite electrode maker, which closed at Rs 152 on December 21, 2016 rose to Rs 1,524 on the Bombay Stock Exchange (BSE) today. An amount of Rs 1 lakh invested in the HEG stock five years ago would have turned into Rs 10.02 lakh today.
In comparison, Sensex has risen 114 per cent during the period.
The mid-cap share hit a 52-week high of Rs 2,626 on October 5 this year. However, it has lost 42% due to profit-booking since then. The stock touched its 52-week low of Rs 805.90 on December 21, 2020.
The share was trading 1.18 per cent lower at Rs 1,524 on the BSE today. Market cap of the firm stood at Rs 6,021 crore. HEG share has gained 64.14 per cent since the beginning of this year and climbed 78 per cent in one year.
However, the share has declined 25.89% in a month.
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The stock opened with a gain of 2.07 per cent at Rs 1,574 today. It touched an intraday high of Rs 1580.05, rising 2.46% on BSE. HEG Ltd share stands lower than 5 day, 20 day, 50 day, 100 day and 200 day moving averages.
Total 0.18 lakh shares changed hands amounting to a turnover of Rs 2.78 crore on BSE.
18 promoters held 55.13% per cent stake in the firm and public shareholders owned 44.87 per cent at the end of September quarter.
1,23,242 public shareholders with individual capital up to Rs 2 lakh owned 54.19 lakh shares of the firm. Only four shareholders with 0.43% stake or 1.65 lakh shares held capital above Rs 2 lakh at the end of September quarter.
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130 foreign portfolio investors held 55.14 lakh shares or 14.29% stake at the end of Q2 of current fiscal.
Seven financial institutions and banks held 552 shares in the last quarter.
Three insurance firms owned 7.42% stake or 28.62 lakh shares in the firm. Insurance behemoth LIC too held 6.28% stake or 24.25 lakh shares of the firm at the end of Q2.
The share has outperformed its sole listed peer in the last five years. Graphite India share has gained 457 percent in five years.
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However, the phenomenal rise in the stock of HEG Ltd does not fully reflect the financial performance of the firm.
In the September quarter, net profit rose 956% to Rs 131.52 crore against Rs 12.97 crore loss for the quarter ended September 2020. Net sales climbed 60.28% to Rs 517 crore in Q2 against Rs 322 crore for the quarter ended September 2020.
On an annual basis, profit fell 126% to Rs 17.94 crore loss for the March 2021 fiscal against Rs 67.63 crore profit in March 2020 fiscal. Net sales slipped 41.54% to Rs 1,256 crore in the last fiscal against Rs 2,149.02 crore sales for the fiscal ended March 2020.
On the other hand, the firm suffered a loss of Rs 17.94 crore in the last fiscal against Rs 3,026 crore profit in March 2019 fiscal.
In March 2016 fiscal, the firm clocked a profit of Rs 4.42 crore which rose to Rs 1,099 crore in March 2018 fiscal. However, the firm incurred a loss of Rs 44.09 crore for the fiscal ended March 2017.
HEG Ltd is a leading graphite electrode manufacturer in India. Graphite electrode is used in making steel through the electric arc furnace route.
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