The market price of two textiles companies Deepak Spinners and Nitin Spinners have rallied up to 103 per cent in the past one month on expectations of strong earnings. Both these stocks are at their respective record high levels on the BSE. In comparison, the S&P BSE Sensex has gained 0.80 per cent in the past one month.
Investor Dolly Khanna held 2.07 per cent stake in Deepak Spinners and 1.24 per cent holding in Nitin Spinners as on June 30, 2021, the shareholding pattern data shows.
Among individual stock, Deepak Spinners surged 10 per cent to Rs 421.70 on Monday in intra-day trade, up 103 per cent in the past one month. On June 24, 2021, Dolly Khanna had purchased an additional 76,555 shares, representing 1.06 per cent stake, in Deepak Spinners worth of Rs 1.28 crore via open market. Dolly Khanna acquired shares at price of Rs 167.21 per cent through bulk deal on the BSE, the exchange data shows.
Deepak Spinners is a leading manufacturer of dyed synthetic yarn. Other than the domestic market, the company export to countries such as Syria, the Middle East, Turkey, Belgium, and the U.S.A. The company manufacture yarn of counts (8 – 40) Ne in 100 per cent Polyester, 100 per cent Viscose, 100 per cent Acrylic and Polyester Acrylic & Polyester Viscose blends.
The board of directors of Deepak Spinners is scheduled to meet on August 12, 2021 to consider financial results for the quarter ended on June 30, 2021 (Q1FY22).
Shares of Nitin Spinners (NSL) too surged 10 per cent to Rs 245.15 in intra-day trade today, having rallied 86 per cent in the past one month. The board of directors of the company is scheduled to meet on Tuesday, August 3, 2021 to consider financial results for Q1FY22.
On July 14, NSL announced that rating agency CARE rating upgraded long-term bank facilities of the company to stable from negative.
NSL is engaged in the manufacturing of varieties of cotton yarn, knitted fabrics and finished woven fabrics. Yarn accounts for the majority of the revenue generated by the company through count ranging from 6 to 100s, registering around 68 per cent of the sales in FY21 (PY: 73 per cent), followed by woven and knitted fabrics. The company’s range of products are used to manufacture products such as apparel and garments undergarments terry towels woven fabrics home furnishings carpets denim industrial textiles medical textiles and socks.
While tweaking the rating, CARE Rating said: “The ratings assigned to the bank facilities of Nitin Spinners (NSL) take into account the significant experience of its promoters in the textile industry, NSL being a well-recognized entity with a long track record of operations in the industry and a diversified product profile. The rating also factors in the company’s increasing scale of operations with healthy profitability margins, its reputed customers, low customer concentration risk and its integrated manufacturing facility with captive thermal and solar power plants.”
Dolly Khanna, who has been investing in the stock markets since 1996, has a net worth of over Rs 388 crore, as per Trendlyne. Including Deepak Spinners and NSL, Dolly Khanna holds more than 1 per cent stake in Polyplex Corporation, Rama Phosphates, RSWM, Shemaroo Entertainment and Aries Agro first time in June quarter, Trendlyne data shows.
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
