News

Published: May 9, 2023
Updated: May 9, 2023

Small Cap -Multibagger Sterling Tools Records 200% Rally in 1 Year and Declares 100% Dividend

Sterling Tools, a leading producer and supplier of metal and steel pallets, has achieved an outstanding rally of 215.85% in its stock price over the last year. On Monday, the small cap company closed on the NSE at ₹424.50 apiece, up by 6.98% from the previous close of ₹396.80. This bullish momentum has helped Sterling Tools achieve a market worth of ₹1,524 Cr.

Financial Performance

Sterling Tools has reported a total income of Rs.212.66 crores during Q4FY23, up by 25.03% YoY, and a net profit of ₹7.77 Cr, up by 13.00% YoY. The company's EPS reached ₹2.16, up by 13.09% YoY. The financial year ended March 31, 2023, also recorded impressive growth for Sterling Tools. The company's total income reached Rs.774.8781 crores, up by 51.16% YoY, and net profit increased by 87.48% YoY to ₹47.87 Cr. The EPS climbed by 87.45% YoY from ₹7.09 to ₹13.29.

Dividend Declaration

The Board of Sterling Tools has recommended the Final Dividend of 100%, i.e., Rs. 2/- (Rupees Two only) per equity share of Face Value of Rs. 2/- (Rupees Two only) each fully paid up for the Financial Year 2022-23. The declaration is subject to the approval of shareholders of the Company in the ensuing Annual General Meeting, as recommended by the Audit Committee.

Stock Performance

In the last 1 year, Sterling Tools' stock price has risen from ₹134.40 to the current market price, resulting in a multibagger return of 215.85%. On a YTD basis, the stock has rallied 61.62% so far in 2023. The stock touched a 52-week-high of ₹449.75 on (11-Apr-2023) and a 52-week-low of ₹115.00 on (12-May-2022). At the current market price, the stock is trading 269.13% above the 1-year low and 5.61% below the recent 1-year high.

Promoter Shareholding

During Q4FY23, Sterling Tools reported a promoter shareholding of 65.77%, FIIs stake of 0.06%, DIIs stake of 5.43%, and a public stake of 28.73%.

Sterling Tools' impressive financial performance and dividend declaration have contributed to its remarkable stock rally over the last year. As a small cap company with a market worth of ₹1,524 Cr, Sterling Tools has the potential for further growth and is worth keeping an eye on for potential investors