Within the final one yr, Tinna Rubber has risen from round ₹32 to ₹202 per share, an increase of 524% on this interval.
Equally, during the last 30 days, the inventory has surged from ₹125 to ₹200, delivering round 54% return to its traders.
Furthermore, shares of this specialty chemical firm hit its 5% higher circuit and touched an all-time excessive of ₹202.2 per share on the BSE at the moment.
However what sparked the rally in Tinna Rubber?
In line with the most recent shareholding information of the corporate, ace Indian investor Dolly Khanna added this multibagger inventory to her portfolio through the October-December quarter.
Dolly Khanna purchased 1.67% stake or 142,739 shares within the firm as of December 2021 quarter, which was value ₹2.7 bn on Tuesday.
As per December holdings, the corporate promoters maintain 73.81% stake, whereas public has the remaining 26.19% holding in Tinna Rubber.
Who’s Dolly Khanna and why did she determine to spend money on Tinna Rubber?
Dolly Khanna is a Chennai primarily based giant investor, who is understood for choosing lesser-known midcaps and smallcaps. She has been investing in shares since 1996.
Dolly Khanna’s portfolio, which is managed by her husband Rajiv Khanna, is often inclined in direction of extra standard shares in manufacturing, textile, chemical, and sugar shares.
Returning to Tinna Rubber, whereas we do not know the precise purpose for her funding, we will interpret her transfer by contemplating sure components.
– Wonderful September quarter outcomes
In the course of the quarter two of fiscal 2022, the corporate’s web revenue rose 2,850% to ₹41.3 m within the in opposition to ₹1.4 m throughout the identical quarter final yr on the again of sturdy operations.
Its web gross sales stood at ₹546.2 m in September 2021 up 76.4% from ₹309.6 m in the identical interval a yr in the past.
The corporate has additionally managed to scale back its debt ranges from ₹286 m to ₹241.7 m through the quarter.
– Robust consumer base
The corporate’s key clients embody MRF, Apollo, TVS Srichakra, CEAT, JK Tyres, IOCL, Mangalore Refinery, Hyundai Building Tools, Sempertrans, and so forth.
– International presence
The agency started exporting its merchandise to Thailand, Turkey, and Sri Lanka within the monetary yr 2021. It’s additionally trying on exporting to the European market.
Exports accounted for 7% of whole earnings in 2021, in comparison with 8% within the earlier yr.
– Main participant in its area
Tinna Rubber and Infrastructure Restricted is India’s main tyre materials recycler with 5 cutting-edge recycling vegetation, a totally built-in firm changing waste tyres into downstream worth added merchandise.
The corporate provides recycled rubber materials to main tyre manufacturing and conveyor belt firms in India and globally.
Dolly Khanna will increase her place in one more multibagger inventory
Veteran investor Dolly Khanna has picked up extra stakes in auto components firm – Talbros Automotive Elements.
In Talbros Automotive, Dolly Khanna had already held 1.3% stake until September quarter, nevertheless, as per the corporate’s December shareholding sample, now Dolly Khanna owns 1.71%, which contains 2,11,120 fairness shares of the auto elements making firm.
Apart from Khanna, famend investor Mr. Vijay Kedia has additionally purchased round 2.3% stakes (2.8 lakh fairness shares) on this smallcap auto half firm, as per the December shareholding sample out there on the BSE.
Following the information, shares of Talbros Automotive Elements rallied 13% to register a brand new life-time excessive at ₹498.4, on the BSE in Wednesday’s intra-day commerce backed by heavy volumes.
Which different shares does Dolly Khanna maintain in her portfolio?
As per information out there on 4 January 2022, Dolly Khanna publicly holds 16 shares with a web value of over ₹3.8 bn.
How the inventory markets reacted to Tinna Rubber & Infrastructure
Shares of Tinna Rubber & Infrastructure opened the day at ₹202.2 on the BSE.
Its share value closed at ₹202.2 (up 5%) on the BSE.
At its present value, it’s buying and selling at a P/E of 16.1.
The share touched its 52-week excessive of ₹202.2 and 52-week low of ₹31.7 on 5 January 2022 and 4 March 2021, respectively.
Over the past 30 days, the share value is up 54%. Over the past one yr, the corporate’s share value is up 524%.
About Tinna Rubber & Infrastructure
Tinna Rubber & Infrastructure (previously often known as Tinna Abroad) is engaged within the conversion of used tires into crumb rubber and metal wires.
The corporate’s essential services or products embody crumb rubber modifier, metal scrap, and crumb rubber.
The agency’s segments embody allied highway merchandise, which consists of crumb rubber, crumb rubber modifier (CRM), modified bitumen, and bitumen emulsion and different highway merchandise; buying and selling and agro merchandise, which incorporates buying and selling of wheat, maize soyabean, soya de-oiled cake (doc) and different agro merchandise, and warehousing and cargo dealing with, which incorporates offering companies of warehousing and customized home agent.
Tinna Rubber’s manufacturing models are positioned at Haryana, Maharashtra, West Bengal, Tamil Nadu and Himachal Pradesh. For extra particulars in regards to the firm, you possibly can take a look at Tinna Rubber & Infrastructure’s factsheet and quarterly outcomes on our web site.
Disclaimer: This text is for info functions solely. It’s not a inventory suggestion and shouldn’t be handled as such.
This text is syndicated from Equitymaster.com
Supply: Live Mint