Starlineps Enterprises Ltd Shares: Star Line Enterprises Ltd. on August 2, 2024. The price of one share was Rs 138.50. But today this stock is worth Rs 10.82. Now people buy it in large quantities.
In reality, the company had approved the split of shares at the rate of Rs 5 to Rs 1 per share. Due to this, the share price increased from Rs 69.04 to Rs 14.50. After this, it also declined and the stock fell below Rs 10.
The company’s net profit for the July-September 2024 quarter stood at Rs 3.25 crore, double that of the previous year. Revenue also increased from Rs 9.07 crore to Rs 24.43 crore. The company is engaged in the field of diamonds and jewelry, which has become the center of attraction of a growing market.
Look at the basics:
Market capitalization: Rs 281 crore
PE ratio: 44.1 (slightly high by industry standards)
ROCE: 9.77%
ROE: 7.05%
Book value: ₹1.25 per share
Reason for share price drop:
Bonus problem:
The company issued free shares in the ratio of 1:5, which caused a change in the price per share. While the face value of Rs 5 was divided into Re 1, so the price dropped from Rs 69.04 to Rs 14.50.
The stock fell below Rs 10 due to market sentiment and technical reasons. The stock’s recent top circuit is due to quarterly performance. However, investors should only invest after evaluating the company’s fundamentals, industry trends and long-term sustainability.
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