Shares of Uflex rose sharply in Wednesday’s trade, extending their uptrend for the second straight session. The stock jumped 13.58 per cent today to hit a day high of Rs 429.50 over its previous close of Rs 378.15. At today’s high price of Rs 429.50, the stock has climbed 21.43 per cent in two consecutive sessions. The scrip has climbed 22.52 per cent from its 52-week low of Rs 347.15, touched on February 28. Uflex turned positive in the previous session after slipping to a one-year low level, halting its losing run of five straight days since the Income Tax (I-T) raid began on February 21.
The company today issued a clarification that the I-T “search team has not seized anything incriminating”. Uflex, in an exchange filing, said, we hereby state that pursuant to the searches carried on by the Income Tax dept w.r.t Uflex Limited from February 21, 2023 to February 27, 2023, all stocks of raw materials, finished goods, work in process and other assets were found to be duly recorded and all books of accounts were found to be in order. The search team has not seized anything incriminating. The Company adheres to good business practices.
It also mentioned, “With respect to certain media reports stating the alleged bogus transactions undertaken by the company, seizure of evidence w.r.t irregularities running in thousands of crores, huge unaccounted income and similar other news flow pertaining to the Company, Uflex vehemently denies the authenticity of any such information and these can be best described as frivolous and baseless.”
Around 95,000 shares changed hands today on BSE, which was higher than the two-week average volume of 56,000 shares. Turnover on the counter stood at Rs 3.81 crore, commanding a market capitalisation (m-cap) of Rs 3,072.60 crore. There were 18,396 buy orders against sell orders of 7,613 shares.
The stock was last seen trading lower than the 5-day, 20-day, 50-day, 100-day and 200-day moving averages. The counter’s 14-day relative strength index (RSI) came at 36.42. A level below 30 is defined as oversold while a value above 70 is considered overbought. The company’s stock has a negative price-to-equity (P/E) ratio of 11.18. The earnings per share (EPS) came at 33.83, higher than the P/E ratio.
Uflex has a one-year beta of 0.89, indicating low volatility on the counter.
Uflex is a holding company engaged in the manufacturing and sale of flexible packaging products. The company’s segments include flexible packaging activities and engineering activities. It also offers a flexible packaging solution to its customers across the globe.
Meanwhile, Indian equity benchmarks traded higher in late deals, snapping their eight-day fall, led by gains in metals, banks, technology and energy stocks.
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