Price hike boosts Ramsarup Industries

Price hike boosts Ramsarup Industries

Ramsarup Industries gained 3.75% to Rs 197.90 at 12:03 IST on BSE, after the company said it has increased prices of steel wires in range of Rs 3500 per metric tonnes to Rs 4000 per metric tonnes with immediate effect.

The company made this announcement during trading hours today, 4 February 2008.

Meanwhile, BSE Sensex was up 523.80 points or 2.87% to 18,766.38, as Asian stocks surged with sentiment boosted by Microsoft Corp's bid for Yahoo Inc and following China's buy of a large stake in takeover target Rio Tinto.

On BSE, 30,147 shares were traded in the counter. The scrip had an average daily volume of 90,453 shares in the past one quarter.

The stock hit a high of Rs 199.80 and a low of Rs 195 so far during the day. The stock had a 52-week high of Rs 300 on 4 January 2008 and a 52-week low of Rs 126.05 on 5 March 2007.

The small-cap scrip had underperformed the market over the past one month till 1 February 2008, declining 32.57% compared to the Sensex’s decline of 10.33%. It had outperformed the market in the past one quarter, gaining 10.45% compared to Sensex’s decline of 8.68%.

The company’s current equity is Rs 17.50 crore. Face value per share is Rs 10.

The current price of Rs 197.90 discounts its Q3 December 2007 annualized EPS of Rs 36.53, by a PE multiple of 5.42.

On 4 January 2008, Ramsarup Industries bagged an order worth Rs 44 crore from North East Frontier Railways for supply of steel wires.

In November 2007, Ramsarup Industries bagged orders aggregating Rs 35.64 crore.

Ramsarup Industries’ net profit rose 15.2% to Rs 15.98 crore on 28.5% growth in net sales to Rs 388.04 in Q3 December 2007 over Q3 December 2006.

The company manufactures wires rods, steel wires and thermo mechanically treated (TMT) bars