1. Rs 30,000 in this stock in 2003 would make you a Crorepati today; it’s not too late to buy

Rs 30,000 in this stock in 2003 would make you a Crorepati today; it’s not too late to buy

A very few stocks turn out to be multi-baggers, multiplying investor wealth many times over. Ace investor Ashish Kacholia has proved his mettle in spotting these wealth creators time and again.

By: | Updated: November 22, 2017 2:20 PM
Few listed stocks in India have tunrned out to be real multi-baggers for investors, multiplying their wealth many times over. (Image: Reuters)

A few stocks turn out to be multi-baggers, multiplying investor wealth many times over. Ace investor Ashish Kacholia has proved his mettle in spotting these wealth creators time and again. KEI Industries is one such company. As at the end of September-17, Ashish Kacholia holds more than 3.14% stake in the company. KEI Industries shares have nearly tripled in the year. While this may seem jaw-dropping by itself, the scrip has turned out to be a real winner for its investors, as share prices have jumped from Rs 1.00 in November 2003, to Rs 333 today, implying that Rs 10,000 invested fourteen years would have amounted to Rs 1.05 crore today!

Track live stock price: KEI Industries

While investors may rue the lost opportunity, research firm Angel Broking has a buy recommendation on the shares of the company. In a recent research report, Angel Broking has a buy on the shares of KEI Industries with a target price of Rs 371. The research firm’s target price implies an upside of more than 11% from the current market prices. Notably, KEI Industries shares have returned more than 170% in the year so far. In comparison, the BSE smallcap index is up by more than 47% in the same period.

“KEI’s export (FY17 – 8-10% of revenue) is expected to reach a level of ~14- 15% in next two years with higher order execution from current OB and participation in various international tenders. We expect a strong ~26% growth CAGR over FY-2017-19 in exports. We expect KEI to report net revenue CAGR of ~14% to ~`3,392cr and net profit CAGR of ~13% to `125cr over FY-2017-19E. Hence we have a Buy rating on the stock,” Angel Broking noted in its report.

KEI Industries Limited was established in 1968 as a partnership firm under the name Krishna Electrical Industries, with prime business activity of manufacturing house wiring rubber cables. The firm was converted into public limited with the corporate name KEI industries Limited in December 1992. In 1996, KEI acquired Matchless, a company under same management, which was engaged in manufacture of stainless steel wires. The cable manufacturer itself has given guidance for over 15 per cent volume growth and 20 per cent revenue growth in FY18.

  1. A
    Abin Raj
    Nov 23, 2017 at 12:12 am
    30000 333 9990000
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