Multibagger power stock with Rs 51 dividend hits record high, here's why

Shares of Apar Industries hit their record high today after the power equipment major announced its Q4 and FY24 earnings. Apar Industries stock rose 8.6% to a high of Rs 8398.95 against the previous close of Rs 7733.45 on BSE. Earlier, the stock opened higher at Rs 7810 on Tuesday.  The multibagger stock has gained 209% in a year and risen 1298% in two years. Total 0.28 lakh shares of the firm changed hands amounting to a turnover of Rs 22.37 crore in the current session. Market cap of the firm climbed to Rs 33,298 crore. The stock hit a 52-week low of Rs 2,650 on May 19, 2023. Later, the stock ended 7.43% higher at Rs 8308 on BSE.

Net profit fell 3% to Rs 236.22 crore in  Q4 against Rs 242.743 crore in the corresponding quarter of previous fiscal.

Revenue climbed 9% to Rs 4,455 crore in the last quarter against Rs 4084 crore in the Q4 of FY23. EBITDA rose 3% YoY  to Rs 457 crore in Q4. However, EPS slipped to Rs 60.97 in Q4 against Rs 63.43 in Q4 of FY23.

The company reported a 13% rise in revenue at Rs 16,153 in FY24 against Rs 14,373.77 crore in FY23, its highest ever on an annual basis. PAT climbed 29% to Rs 825.11 crore in the last fiscal, highest ever annual revenue. In FY23, revenue stood at Rs 637.72 crore. 

The board of directors has approved a dividend of Rs 51/- per equity share of Rs 10 each fully paid per equity share.

In terms of technicals, the relative strength index (RSI) of the stock stands at 59, signaling it's trading neither in the overbought nor in the oversold zone. Apar Industries shares have a beta of 0.7, indicating average volatility in a year. Apar Industries shares are trading higher than the 5 day, 20 day, 50 day, 100 day and 200 day moving averages.   

The firm reported a 35.4% rise in sales to Rs 4,056.53 crore in the March 2023 quarter against Rs 3003.90 crore  in the March 2022 quarter. Net profit zoomed 194% to Rs 242.73 crore in Q4 against Rs 82.61 crore in the March 2022 quarter.  Earnings per share rose to Rs 63.43 in Q4 against Rs 21.49 in the March quarter of 2022.   

The company recommended dividend for the financial year 2022-23 at Rs 40 per share aggregating to Rs 153.07 crore on 38,268,619 equity shares of Rs 10/- each fully paid.   

About the Company     

Apar Industries Limited is a manufacturer and supplier of conductors, a variety of cables, specialty oils, polymers and lubricants. The company’s segments include conductor, transformer & specialities oils and power/telecom cables. It provides diverse fields of electrical and metallurgical engineering offering value-added products and services in power transmission conductors, petroleum specialty oils, and power & telecom cables.