This stock zoomed 104% in 2018 after surging 220% in 2017 on FPI buying

V-Mart Retail hit a new high of Rs 3,036, surges 7%, extending its 14% gain in past three trading sessions on the BSE.

Shares of V-Mart Retail hit a new high of Rs 3,036 per share, surging by 7% and extending their 14% gain in past three trading sessions on the BSE, after the company said that foreign portfolio investors (FPIs) have increased their stake by nearly one percentage points in April-June quarter (Q1FY19).

Thus far in the current calendar year 2018, V-Mart Retail has outperformed the market by surging 104% from Rs 1,488 on December 29, 2017 as compared to 5% rise in the S&P BSE Sensex.

In previous calendar year 2017, the stock had rallied 220% from Rs 465 against 28% rise in the benchmark index.

According to June 2018, shareholding pattern, FPIs holding in V-Mart Retail increased by 97 bps to 32.24% from 31.27% at the end of March quarter. They bought an additional 183,633 equity shares of in Q1FY19.

As of December 2017, FPIs hold 30.75% stake V-Mart Retail, while they had 25.84% holding at the end of December 2016 quarter, data shows.

V-Mart Retail had recorded record profits of Rs 777 million, up 77% year on year (YoY) for the year ended March 2018 (FY18), on the back of continued focus on fashion led growth for aspiring Tier 2 and Tier 3 town consumers. During the FY18, V-Mart Retail reported an increase in revenue by 22% to Rs 12.22 billion and Same Store Sales Growth of 9% over a base of 13% previous year.

The retail market showed good growth which was supported by strong marketing efforts. The company went in for store refurbishments apart from improving the merchandising and technology led supply chain apart from reju,:,enating the consumer pull using multiple marketing initiatives. The cumulative effects of these efforts and new product range reflected in the buoyant results, V-Mart Retail said in a statement.

V-Mart Retail primarily operate in Tier-II and Tier-III cities with a chain of value retail departmental stores offering apparels general merchandise and kirana catering to the entire family. Based in New Delhi its operations are spread across northern western and eastern parts of India.

At 09:30 am; V-Mart Retail was trading 6% higher at Rs 3,008 on the BSE, as compared to 0.52% rise in the S&P BSE Sensex. A combined 50,356 equity shares changed hands on the counter on the BSE and NSE so far.