In a weak market, Vijay Kedia’s favourite stock is shining

On September 7, at 12:11 pm, the shares of Vaibhav Global Ltd have risen 6% higher on the day and are currently trading at Rs 380.75. 

On September 7, the market is trading in the red. At pm, the S&P BSE Sensex is trading at 59050.6, down 0.25%, while NIFTY50 is down 0.24% and trading at 17613.7. Regarding sectoral performance, FMCG and Telecom are the top gainers, while Auto is the top loser today. 

Talking about stock-specific action, Vaibhav Global Ltd is among the top gainers. At 12:11 pm, the shares of Vaibhav Global Ltd have risen 6% higher from the previous close and are currently trading at Rs 380.75. 

According to June quarterly filings, ace investor, Vijay Kedia has increased his position in Vaibhav Global from a 1.9% stake to 2%. He currently holds 3,200,000 quantity of equity shares of the company, worth Rs 121.5 crore.  

Vaibhav Global is involved in the business of diamonds, jewellery, watches, and other consumer items in the international retail market. It operates 32 private label brands and is well-known in the UK and the US markets.  

In FY22, on a consolidated basis, the company generated revenues of Rs 2,752 crore, delivering 8.36% YoY growth. However, the company reported a YoY decline in its net profit from Rs 271.75 crore in FY21 to Rs 237.11 crore in FY22. For Q1FY23, the company’s net sales stood at Rs 628 crore and net profit at Rs 19.58 crore. Talking about return ratios, at the end of the June quarter, the ROE and ROCE are 14% and 22%, respectively.    

In the shareholding pattern, 57.96% of the stake is owned by the promoters, 10.71% by the FIIs, 18.38% by DIIs, and the rest 12.95% by the non-institutional investors. 

The company has a market capitalization of Rs 6263 crore and is a part of the S&P BSE 500 index. The stock's TTM PE is 47.33x, while it's 52-week high and low are Rs 288 and Rs 804.55, respectively.