For equities investors, the year 2022 has been turbulent as a result of broad central bank tightening and global inflation, which has made stocks less profitable. But wagers on some equities have turned out to be a gold mine for the bold or perhaps even the foolish. Actually, a little-known coal supplier company that owes its success to the energy crisis is the Biggest Multibagger Stock oF 2022 In India.
This year, shares of Hemang Resources Ltd., formerly Bhatia Industries & Infrastructure Ltd., have increased more than 20 times. The share price is currently Rs 70, starting in 2022 at Rs 3. The business specializes in infrastructure and coal trade. The business sells both imported and domestic coal. Additionally, it engages in land trading and offers logistics & stevedoring services.
This year, the price of shares in this infrastructure and coal trading business has increased more than 20 times. The share price is currently Rs 70, starting in 2022 at Rs 3.
Hemang Resources has reported a surge in revenue, although penny stocks tend to lack confidence. Revenue for the six-month period that ended in September 2022 was Rs 155.53 crore, while the net profit for the same period was Rs 19.52 crore.
However, it should be noted that the company reported a net loss of Rs 5 lakh and had no sales during the comparable April to September period of FY22. It is obvious that the company’s fortunes appear to have shifted significantly in FY23. This is largely due to how India’s coal imports have changed, according to Hemang Resources. Remember how coal imports increased following a boost in electricity demand brought on by severe heat waves during the previous two years?
During the months of April through October of this year, the power sector imported 38.84 million tonnes of coal, the Parliament was informed on December 7. Analysts predict that the price of imported coal in India will increase by 35% in the fiscal year 2022–2023 compared to the previous year.
This demand and price increase have helped coal providers like Hemang Resources. While this may somewhat explain the increase in share price, it does not fully do so. Without a doubt, penny stocks are unstable, illiquid, and regarded as quite dangerous. Thus, it is prudent to use care when observing the rise in Hemang Resources’ stock price.
Hemang Resources was first founded in 1993 as BCC Housing Finance and Leasing Company Limited, a non-banking financial institution. The company was renamed Bhatia Industries & Infrastructure Limited in 1994, then again in 2006, and finally Hemang Resources in 2015. The primary business has also turned to coal trading.
