Modern India spurts on stock split proposal

Modern India jumped 5% to Rs 952.95 after it scheduled a meeting of the board of directors on 17 December 2007 to consider sub-division of equity shares.

The company made the announcement during market hours today, 7 December 2007.

On BSE, 7055 shares of the scrip were traded, with pending buy orders of 16827 shares at maximum limit. The stock had an average daily volume of 3229 shares on BSE in past one quarter.

The scrip had touched a high of Rs 952.95, which is also so far its day's low. The stock had hit a 52-week high of Rs 968.85 on 5 December 2007 and a 52-week low of Rs 106.35 on 13 December 2006.

The scrip had outperformed the market over the past one month till 5 December 2007, surging 103.22% as compared to the Sensex's return of 1.74%. It also outperformed the market in the past one quarter by a hefty margin, advancing 407.73% as compared to the Sensex's rise of 26.39%.

The small-cap textile company has an equity capital of Rs 7.51 crore. Face value per share is Rs 10.

At the current price of Rs 952.95, the scrip trades at a PE multiple of 111.84, based on Q2 September 2007 annualised EPS of Rs 8.42.

Modern India has presence in textile and real estate business.

It posted 113.50% jump in net profit to Rs 1.58 crore on 88.80% growth in net sales to Rs 38.54 crore in Q2 September 2007 over Q2 September 2006.