Multibagger Stock: Insecticides share price up 7% to all-time high on strong Q1 results; Analyst suggests buy-on-dips

Multibagger Stock: Insecticides (India) share price has shot up by more than 100% in the last year, making it a multibagger stock. Insecticides share price has experienced a significant rally over the past few sessions, supported by high trading volumes. On Monday's trading session, Insecticides (India) share price surged nearly 7% to touch an all-time high at ₹965.35 apiece following robust Q1FY25 results, the stock touched an intraday low of ₹922.75 per share.

“While maintaining a positive outlook, it’s advisable to adopt a buy-on-dip strategy following this steep rise, with ₹900 as a potential support level and ₹1,050 as a resistance level,” said Rajesh Bhosale, Equity Technical and Derivative Analyst at Angel One.

Q1 Results

For the first quarter of the current fiscal year (Q1FY25), Insecticides (India) reported a 68.18% increase in consolidated net profit at ₹49.01 crore on Friday.

According to a regulatory filing, net profit for the same quarter of FY24 was ₹29.14 crore.

From the same time last year, total income rose slightly to ₹659.20 crore from ₹643.84 crore.For the current fiscal year, the firm issued an interim dividend of ₹2 per equity share with a face value of ₹10.

The strategic focus on premiumisation has led to noteworthy gains in profitability, with our EBITDA margin of 10.9%, boosted by 380 bps YoY, and a solid growth of 68% in Profit After Tax, according to Rajesh Aggarwal, MD of Insecticides (India), who commented on the results and performance.

The firm had consistent demand for its products in all areas, which gave us hope for FY25 given the improving market circumstances and constant input prices. The firm is still dedicated to capturing a sizable portion of the market for these product lines as premiumisation remains the strategic focus. They have one product coming out in Q1FY25, and they are getting ready to introduce ground-breaking new ones.

Furthermore, according to the Registrar of Companies of the Dubai Multi Commodities Center Authority (DMCCA), the company stated in an exchange filing that the Board of Directors approved the winding up or dissolution of the "IIL Overseas DMCC," Dubai, a wholly owned subsidiary of the company located in Dubai, United Arab Emirates (UAE).

Insecticides is a leading crop protection and feeding company in India. The company is proud of its impressive product range, which includes more than 20 technology products and more than 125 formulation goods.

It provides farmers with a range of products to satisfy their demands for crop protection. It is also the owner of the prestigious "Tractor Brand," which farmers find extremely recognizable. Modern manufacturing plants are located at Chopanki (Rajasthan), Samba & Udhampur (Jammu & Kashmir), and Dahej (Gujarat).

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