This SME group stock has zoomed over 100% in just 7 trading days

The stock of the small and medium enterprise (SME) has more than doubled or zoomed 102 per cent in last 7 days from a level of Rs 64.80 on January 1, 2024

Shares of Siyaram Recycling Industries were locked in the 10 per cent upper circuit for the seventh straight day at Rs 130.69 on the BSE in Wednesday's early trade.

In the past seven trading days, the stock of the small and medium enterprise (SME) has more than doubled or zoomed 102 per cent from a level of Rs 64.80 on January 1, 2024.

Currently, Siyaram Recycling is holding a whopping 184 per cent gain against its issue price of Rs 46 per share. The company made its market debut last month on December 21, 2023.

The BSE SME scrips, listed under the M group, are traded and settled on a net basis and for those listed under "MT" group, this is done on a gross basis.

BSE said that trades effected in this scrip will be in minimum market lot (that is 3,000 shares) and the same shall be modified by the exchange from time to time by giving prior market notice of at least one month.

As per the shareholding pattern as at December 20, the promoters held 70.55 per cent stake in Siyaram Recycling.

Out of 29.45 per cent public holding, domestic institutional investors held 6.34 per cent stake, while foreign portfolio investors held 4.39 per cent in the company. The individual shareholders held 14.3 per cent in Siyaram Recycling.

Siyaram Recycling is primarily engaged in segregation of brass scrap, manufacturing of brass ingots, billets and brass rods and manufacturing of brass based components (plumbing and sanitary parts).

It manufactures various brass components (plumbing and sanitary parts) from its two manufacturing units (Unit-I and Unit-II) located at village Lakhabaval, district Jamnagar.

Some of the renowned brands, which are Siyaram Recycling's customers include Hindware, ROCA, Eauset, Somany, Supreme, AGI Greenpac (formerly known as HSIL) and Ashirvad Pipes.

The brass products, which the company manufactures or deal in, find application mainly in construction sector such as piping and plumbing as well as certain electric components.

Thus, the company’s business is dependent on the performance and market trends of the construction and real estate sector (residential and non-residential) in India as well as abroad where the company exports its products.