Multibagger Update: This textile stock turned Rs 1 lakh into Rs 57 lakh in less than five months; do you have it?

On an intraday basis on Monday, the shares of Baroda Rayon Corporation climbed and locked in the 5% upper circuit at Rs 266.05 per share on the BSE.

Because of the optimistic future and the government's considerable commitment to the sector's growth, the textile industry has provided investors with several multibagger stocks. Due to its exceptional performance, Baroda Rayon Corporation is unquestionably the 'King of Multibaggers.'

On an intraday basis on Monday, shares of Baroda Rayon Corporation climbed and locked in the 5% upper circuit at Rs 266.05 per share on the BSE. This multibagger textile stock has been hitting the upper circuit. By hitting the back-to-back upper circuit, the stock has skyrocketed 5,633% in less than five months, implying that an investment of Rs 1 lakh made in this stock would now be worth over Rs 57 lakh!

The company is engaged in the textile industry in Surat (Gujarat), a city basically known worldwide for its textile business. It is involved in the manufacturing and sale of viscose filament yarn, nylon yarn, polyester yarn, and other byproducts.

The Indian textile industry has strengths across the entire value chain from fibre and yarn to fabric. The abundance of raw material, presence of entire value chains, availability of skilled manpower and large and growing domestic as well as international markets are key growth drivers for the sector.

With a sizable area dedicated to cotton farming, India is both the world's largest consumer and producer of cotton. It is the world's second-largest producer of polyester, silk, and fibre. In addition, behind agriculture, the textile industry in India is the second-largest employer in the country.

Under the aegis of Union Budget 2022-23, the government has allocated a sum of Rs 12,382 crore for the textile sector and also, allowed 100 per cent foreign direct investment (FDI) in the sector under the automatic route.

Given the sector's optimistic long-term outlook and the company's potential for future growth, keep a close eye on this scrip!