1:10 Split By Financial Company That Rose By 9,900% In 5 Years: Stock To Split First Time, Hot To Buy?

Arunjyoti Bio Ventures Ltd, a financial services company, trading as a penny stock has announced its first-ever stock split in the ratio of 1:10. Following this, the stock ended last week's trading session on a positive note, and near its 52-week high. Arunjyoti is a multi-bagger with nearly 292% gains YTD and stellar performance of over 9,900% returns in 5 years. Arunjyoti currently has a HOLD rating.

Arunjyoti Bio Ventures Ltd Share Price:

After market hours of December 13 last week, Arunjyoti stock ended at Rs 164.95 apiece, with a market cap of Rs 307.44 crore. The stock has a strong return on equity of 128.13%, while its price-to-equity ratio is also high at 135.79x.

The stock's 52-week high and low is at Rs 174 apiece and Rs 36.17 apiece respectively.

As per Trendlyne data, the stock's Debt to Equity Ratio of 28.73 is higher than 1, which implies that company assets are financed through debt. While the stock rose 425.65% and underperformed its sector by 28,485.23% in the past year. Additionally, Promoter Share Holding stayed the same in the most recent quarter at 61.79%, while Interest Coverage Ratio is 1.34, in the normal range of 1 to 1.5.

Arunjyoti Bio Ventures Ltd Stock Split:

Last week, the company's board approved a sub-division/ stock split of existing 1 (one) Equity Share of the face value of Rs. 10/-each fully paid up into 10 (10) Equity Shares of Re. 1/- each fully paid up, subject to the approval of the members in the ensuing general meeting. The stock split ratio is at 1:10.

The reason behind the stock split is to enhance the liquidity in the capital market and to widen the shareholder base.

The company plans to complete its stock split action in approximately 3 months from the date of Shareholders' approval.

Arunjyoti Bio Ventures Ltd Share Recommendation:

According to MarketsMOJO, a leading stock market analysis and recommendation platform, the current stock call for Arunjyoti Bio Ventures is 'Hold'. As a microcap company in the finance/NBFC industry, Arunjyoti Bio Ventures has shown promising growth and potential. With its recent 52-week high and consistent positive performance, the company is definitely one to watch in the stock market.

About Arunjyoti Bio Ventures Ltd:

Overview: Arunjyoti Bio Ventures Ltd is a reputable co-packer, specializing in providing high-quality co-packing services for a multinational corporation. The company is committed to quality and efficiency making it a leading partner for a top multinational corporation (MNC). The company's expertise spans non-carbonated drinks, juices, energy drinks, and more. Large-scale production runs are seamlessly handled to ensure timely delivery and adherence to the highest standards.