This SME pharma stock has zoomed 108% thus far in September

Shares of Kwality Pharmaceuticals were locked at the upper circuit limit for the seventh straight trading session, up 5 per cent at Rs 797.20 on the BSE on Wednesday. The stock of pharmaceutical company was trading at its all-time high and has rallied 108 per cent thus far in September. In last three months, the stock has zoomed 398 per cent, as compared to 12.8 per cent rise in the S&P BSE Sensex.

Kwality Pharmaceuticals is currently trading on BSE SME Platform. The SME platform of the Exchange is intended for small and medium sized companies with high growth potential. The SME platform of the Exchange open for SMEs whose post issue paid up capital have less than or equal to Rs 25 crore. The trading, clearing and settlement in the SME segment is done on a T+2 basis. In the T2T segment, each trade has to result in delivery and no intra-day netting of positions is allowed. The minimum trading lot size of the stock is 3,000 equity shares.

Kwality Pharmaceuticals is engaged in the business of manufacturing & trading in Pharmaceuticals & allied products. The company made its stock market debut July 18, 2016.

Kwality Pharmaceuticals as an exporting company has supplied Remdesivir Injection to the global market and similarly Propofol injection which was short in supply in various high profile countries who normally accept US FDA companies’ products. But in shortage of medicine, they have procured these injections from the company and after seeing the performance and efficacy, they registered the product of the company, Kwality Pharma said in the financial year 2020-21 annual report.

The sale has gone up and it will keep on growing as many traders and the government have come to know about the medicine(s) of Kwality Pharmaceuticals. They also started procuring the other items of the company. The company became world recognized and now the booking has been growing which may yield more sales and more profit, the company said.

The company has also improved the infrastructure and plant & machinery which can meet the global demand. The various new R&D projects are initiated. After the expansion project of Rs 19 crore, the company has further decided and filed with Invest Punjab Project of Rs 31 crore to be completed by September-2022, it added.

As on June 30, 2021, Kwality Pharmaceuticals have 10.37 million outstanding equity shares, the shareholding pattern data shows. The promoters Ramesh Arora & others held 54.13 per cent holding. Of the remaining 45.87 stake, 23.18 per cent holding are with the individual shareholders, while bodies corporate held 19.53 per cent stake in the company, data shows.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Source link

Share Market Today