₹2.80 to ₹67: Multibagger penny stock gives 2300% return in five years. Do you own?

Multibagger penny stock: Earning substantial profits in the stock market is no easy feat—it requires in-depth research and a great deal of patience. Investors are always on the lookout for multibagger stocks that can generate impressive returns. With this in focus, let’s take a closer look at the share price journey of one such company: Bigbloc Construction.

The multibagger stock – Bigbloc Construction – which was once priced at ₹2.80 in April 2020 – is now trading at ₹67 on NSE. This means that the Bigbloc Construction share price has grown over 2,293 per cent in five years.

To put it in perspective, an investment of ₹1 lakh made 16 years ago in the stock and held over time would have grown significantly to nearly ₹24 lakhs.

Bigbloc Construction share price movement

Bigbloc Construction share price closed in green on Thursday at ₹66.97, against previous close at ₹66.49. The stock has ascended over 10.24 per cent in past five trading sessions.

The stock has given multibagger returns to its long-term investors as it has skyrocketed over 2,026.03 per cent since its listing.

However, Bigbloc Construction shares have failed to impress short-term investors. The shares have fallen over 50 per cent in last six months and over 40 per cent in one year.

In terms of year-to-date (YTD), the share price descended over 34.63 per cent, falling from ₹102.45 apiece to current market level.

Company overview

Bigbloc Construction board approved a 1:1 bonus equity share i.e. one bonus equity share for every one existing equity share held by the shareholders. The company also approved proposal to increase authorized share capital from ₹15 crore to ₹30 crore, divided into 15 crore equity shares of ₹2 each.

For FY24, company has reported consolidated net profit of ₹30.69 crore. Revenue from operations during FY24 was reported at ₹243.22 crore, rise of 21.55% Y-o-Y as compared to operational revenue of ₹200.11 crore in FY23. EBITDA for FY24 stood at ₹56.15 crore, rise of 12.29% as against EBITDA of ₹50.01 crore.

According to press release, promoter group gradually increasing their stake in the company every year from around 69.32% in March 2020 to 72.63% as of December 2024. Further to support business expansion plans promoter group have continued to waive their rights for final dividend announced for the last few years.

Incorporated in 2015, BigBloc Construction Ltd is one of the largest and only listed AAC block manufacturer in India, with a 1.3 million cubic meter per annual capacity across plants in Gujarat (Kheda, Umargaon, Kapadvanj) and Maharashtra (Wada).

Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.