Chota Packet Bada Dhamaka! This multibagger stock zoomed over 300% in one year

Shares of online travel company, Easy Trip Planners, have delivered multibagger returns to its shareholders in the last one year. In the past one year, the share price jumped from Rs 100.63 to Rs 430.15, logging around 327 per cent return in this period.

An amount of Rs 5 lakh invested in this multibagger small-cap stock a year ago would have turned into Rs 21 lakh today.

The stock rose 5 per cent to hit a new 52-week high of Rs 430.15 on Thursday on BSE. With a market capitalisation of more than Rs 9,200 crore, the shares stand higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages.

According to Dr. Ravi Singh-Vice President and Head of Research, ShareIndia, the travel industry has been the worst hit due to the pandemic. However, the recovery is picking up but the soaring fuel prices and inflation has dampened the growth rate. As the holiday season is approaching, the demand in the industry is showing signs of improvement due to an increase in demand.

"Easy Trip Planners has also reported a rise in their overall booking. On technical setup, the stock of the company seems bullish on the momentum indicators and may touch the levels of Rs 480 in the near term," he added.

"Travel and hospitality sectors are getting revived again and all the restrictions are getting removed. We believe aggressive investors can enter the stock in a staggered manner," Kranthi Bathini, equity strategist at WealthMills Securities told Business Today.

ICICI Securities highlighted that it is the only profitable company in the online travel portal in India. Now, with airlines allowed to operate at their full capacity, the brokerage house expects further traction in the company’s revenues and profitability, going ahead.

Easy Trip Planners made a decent debut on the bourses by listing at Rs 206, a 10 per cent premium against its issue price of Rs 187 per share on the BSE. On the National Stock Exchange (NSE), the stock listed at Rs 212.25, up 13.5 per cent from its issue price.

The company reported a year-on-year consolidated net profit of Rs 40 crore, up 83 per cent in the quarter ended December 31, 2021. The company had posted a net profit of Rs 22 crore in the year-ago period.

Net sales for the period came in at Rs 86.5 crore, up 142 per cent for the December quarter, from Rs 36 crore in December 2020.

Founded in 2008, Easy Trip Planners is an online travel agency market with offices across various Indian cities, including Noida, Bengaluru, Mumbai and Hyderabad. The company operates EaseMyTrip.com.