The shares of CDSL have delivered an impressive multibagger return of over 600% in the past five years.
Central Depository Services Limited (CDSL) is engaged in providing depository services, data processing services, and other related services. The company’s shares are in the limelight today due to a block deal.
On Wednesday (March 27), shares of CDSL experienced a block deal involving over 7% equity shares, approximately 77.2 lakh shares. Reports indicated that Standard Chartered Bank was anticipated to divest its entire 7.18% stake in the company through a block deal and likely be the seller today. According to sources, the floor price for the transaction was set at Rs 1,672 per share, representing a discount of 6.53% from the closing price on Tuesday.
Following the block deal, the shares of CDSL are trading lower and fell by 6.3% today compared to yesterday’s closing price. As of writing this article, the company’s shares are trading at Rs 1699.65 per share, around 4.99% down compared to yesterday’s closing of Rs 1788.90 per share on the NSE. During the morning session, it hit intraday highs and lows of Rs 1749.75 and Rs 1675 respectively. The current market capitalisation of the company stands at Rs 17,761 crore.
Additionally, the company’s shares have delivered an impressive return of 81% in the past year and a remarkable multibagger return of around 639% in the past five years.
In terms of ownership, the Promoter holds 15%. The FIIs and DIIs hold 18.16% and 21.33% respectively, while public investors hold 45.51% as per the most recent update.
Financial Performance
In the third quarter of FY24, CDSL reported revenues of Rs 214 crore, reflecting a growth of 52% YoY compared to the same quarter in the previous year, when the revenue stood at Rs 141 crore. The company posted an operating profit of Rs 130 crore for the quarter, in contrast to an operating profit of Rs 85 crore in the corresponding quarter of the previous year. Furthermore, the company reported a net profit of Rs 107 crore, compared to a net profit of Rs 75 crore in the same period last year. However, the company’s net profit has surged by around 43% YoY this quarter.
The company’s ROCE and ROE are 30.3% and 23.8% while the shares are trading at a PE of 50.2 times in the market.
Disclaimer: This post has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.