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V-Guard Industries hits record high

Post September quarter results, the stock rallied 25% as compared to 1.6% rise in the benchmark CNX Nifty.

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SI Reporter Mumbai
Last Updated : Nov 26 2014 | 1:33 PM IST
Shares of V-Guard Industries has gained 5% to Rs 1,128 in an otherwise subdued market on National Stock Exchange (NSE). The stock opened at Rs 1,075 and touched a record high of Rs 1,138 on NSE. Till 1208 hours, a combined 75,708 shares changed hands on NSE and BSE. The CNX Nifty was down 0.14% at 8,452 points.

Since November 4, the stock rallied 25% from Rs 902 after the company reported a healthy net profit growth of 32% year-on-year in September 2014 quarter, backed by 29% revenue growth. The benchmark index gained 1.6% during the same period.

A strong growth recorded in the digital UPS, electric water heater and stabilisers helped the company to achieve healthy revenue growth, said analyst at Sharekhan.

The management of V-Guard retained its guidance (20% revenue growth and EBITDA margin of 8.5-9%) for the full year. We believe the inventory stock-up would be temporary in nature and the company could deliver healthy cash flow and returns ratio on full year basis, analyst said in a report dated November 5, 2014.
 
 

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First Published: Nov 26 2014 | 12:21 PM IST

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