Now Reading: Shanti Educational IPO turns Rs 1.44 lakh into Rs 33.12 lakh
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Shanti Educational IPO turns Rs 1.44 lakh into Rs 33.12 lakh
A retail investor who put Rs 1.44 lakh in Shanti Educational Initiatives' SME IPO in June 2016 and held on would now have shares worth Rs 33.12 lakh, a 23-fold return. The…
The Story in Brief
A retail investor who put Rs 1.44 lakh in Shanti Educational Initiatives' SME IPO in June 2016 and held on would now have shares worth Rs 33.12 lakh, a 23-fold return. The company's IPO price was Rs 90 per share; a 1:10 stock split in July 2022 raised the allotment from 1,600 to 16,000 shares.
For the June quarter (Q1FY27), the company reported a 7.5% rise in revenue year-on-year to Rs 16.30 crore, but net profit dipped 2.7% to Rs 2.82 crore. Sequentially, profit surged 187% from Rs 98.4 lakh in the March quarter, while revenue fell sharply from Rs 23.17 crore. Livemint reports the numbers.
The Indian Opinion
Stories of multibagger returns feed the IPO frenzy, but they cherry-pick survivors. Most SME stocks underperform or vanish. Shanti Educational's profit actually fell year-on-year; the headline return ignores taxes, brokerage and the luck of holding through a split. The real test is not past glory but whether the company can grow revenue consistently. Why did sales drop 30% from last quarter? Watch the next set of numbers.
Source: livemint.com
This story was synthesised by AI from the source linked above.
