apl apollo tube share price, apl apollo zooms over 6 percent enters uncharted territory

Mumbai : Major Indian indices are witnessing a wide range of volatility on Thursday. Nifty regained its 17,400 level. While Sensex is around 58,500. Nifty Midcap 100 and Smallcap 100 registered gains of 1.39 and 1.58% respectively.

One of the stocks that grabbed attention on Dalal Street was APL Apollo Tubes, which bounced more than 6 percent in the first two hours of the trading session. It has registered new 52-week highs in the capital markets. The stock has already recorded its highest intraday volume since September 16.

The company is one of India’s leading manufacturers of branded steel products. Headquartered in Delhi area, the company maintains ten manufacturing facilities. The company manufactures more than 1,500 types of pipes and tubes.

Considering the financial performance of the company, a growth of 35.68 percent was recorded in the first quarter of the current financial year. 2,534.28 crore in the first quarter a year ago. In the first quarter of this year, the company earned a total revenue of Rs 3,438.55 crore. If we compare the net profit in the first quarter of the current financial year with the same quarter last year, it is Rs. 168.42 crores from Rs. 120.67 crores. It has recorded a decrease of 28.35 percent compared to the year. In terms of return on capital employed (RoCE), the company has outperformed its competitors with a robust RoE of 17-20 percent.

The company has announced that its long-term business strategy remains unchanged. It revolves around capital for value-added products, innovation, market creation and ECG. The company is confident that the 30 percent business growth of the last financial year can be achieved by the year 2025. This shows that the company’s manufacturing facility at Raipur is on track.

Technically, the company stock is trading at its 52-week high, all short-term and long-term moving averages. It is also adjacent to the Guppy Multiple Moving Average (GMMA) established by Darryl Guppy. Interestingly, this stock also meets Warren Buffett’s investment rules. So this stock should be in the portfolio of investors.