Mukul Agarwal hikes up stake in this smallcap cement stock in Dec quarter

Ace investor Mukul Agarwal has increased stake in cement and cement products company Sanghi Industries in the December quarter of FY2023.

The investor held 50,95,490 equity shares or 1.97% stake In the company as of Q3. This marks an increase in stake by 0.63% as Agarwal held 1.34% stake in the September quarter.

Around 3 pm, the stock traded with gains to the tune of over 2% at Rs 71.75 per share on the NSE. While, on the BSE, it hit the day’s high of Rs 72.05 apiece.

In accordance with the latest filing, the investor publicly holds 50 stocks with an estimated net worth of over Rs 2,568 crore. Some stocks in his portfolio, as per the Trendlyne data, include MSTC, Paras Defence, Sequent Scientific and Intellect Design Arena.

Shares of Sanghi Industries have rallied 78% in the last 3 years, while its 1-year return is equivalent to 28%. The consensus recommendation from 2 analysts for Sanghi Industries is ‘hold’, Trendlyne data showed.

From its 52-week low price of Rs 31.65, the stock has climbed 126%, while its 52-week high price is Rs 79.9.

The company has strong cash generating ability from core business and has logged improving cash flows from operations for the last 2 years. Also, FIIs have been consistently raising stake in the counter, with their holding in the September quarter at 0.66%, up from 0.16% in the June quarter.

The company in its BSE filing today said the board of directors have approved modifications to the terms of non-convertible debentures issued by the company, aggregating up to Rs 305 crore issued on private placement basis in February 2021.

Sanghi Industries, commanding a market valuation of Rs 1,796 crore, is among the leading cement manufacturers in Western India. The company produces best quality cement and offers effective building solutions to home as well as professional builders.

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