We bring to you a large-cap stock of auto part maker that
has rallied more than 3400% during the 9-years beginning from April 2009 to
April 2018
The domestic stock markets have been broadly rising since
last nine years after the major wipeout was witnessed on the jitters of the
global financial crisis of 2008 which hammered the stock markets worldwide.
Since March 2009, Indian equities have been surging perpetually despite a
several time-corrections, shocks and bumps observed due to lower-than-expected
decision making at the national level by the government during late-2010 and
early 2014.
During the span 40 months beginning November 2010 up until
late-February 2014, the benchmark Sensex has moved from a level of 21,005 to a
level of 20,701, losing 1.45% or 300 points. Later after, Modi-government came
to power in May 2014, the 30-share barometer Sensex managed to post a gain of
50% in the last 4-year term despite the major slides caused on the back of
events such as Greece exit from European Union (early-2015), China stock market
meltdown (mid-2015), Britain’s exit from European Union (mid-2016) and the
global sell-off (early-2018).
We bring to you a large-cap stock of auto part maker that
has rallied more than 3400% during the 9-years beginning from April 2009 to
April 2018 to buy and gain up to 25% on your money.
Shares of storage battery maker Amara Raja Batteries Ltd (Galla Ramachandra Naidu - Chairman and MD) have surged unanimously high in the last nine years. The stock of Amara Raja
Batteries has advanced as high as 3410% to Rs 817.8 (11 April 2018) from a
share price level of Rs 23.3 (13 April 2009). The share price of Rs 23.3 is
adjusted with the respective corporate actions at that time.
Amara Raja Batteries had a stock split in 2007 which brought
its face value to Rs 2 per equity share from Rs 10 earlier. In 2008, Amara Raja
Batteries had a bonus issue in the ratio of 1:2 and subsequently in 2012, the
company announced another stock split in ratio 1:2 which eventually brought the
face value to Re 1 from Rs 2 per equity share.
The research and brokerage firm Motilal Oswal Securities Ltd
has given a buy rating with a target price of Rs 1,000 from the recommendation
price of Rs 811. “We expect Amara Raja Batteries’ revenue to grow 12.4% YoY
(-3% QoQ) to Rs 15.1 billion, driven by strong growth in automotive OEM &
replacement segment,” Motilal Oswal Securities said in a research report We
expect PAT to increase 22% YoY to Rs 1.2 billion maintaining our FY19E and
FY20E EPS estimates at Rs 34 and Rs 40, respectively, Motilal Oswal Securities
said further.
Amara Raja Batteries commands a market capitalisation of
about Rs 13,800 crore on Bombay Stock Exchange. Shares of Amara Raja Batteries
are been categorised in the ‘A’ group of BSE and is a component of S&P BSE
200 and Nifty 500 indices.
http://www.financialexpress.com/
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