Multibagger penny stock hits upper circuit as company intends to foray in renewable energy business

Multibagger penny stock: Shares of Gautam Gems Ltd are one of the multibagger stocks that Dalal Street has produced in 2022. This penny stock has surged from ₹8 to ₹18.60 apiece levels from October to December 2022, delivering more than 130 per cent return to its shareholders in these three months. However, it seems that upside steam is still left in this small-cap stock. The small-cap company has informed Indian bourses that the board of directors of the company are going to consider foraying into the new renewable energy segment business that probably sparked buying interest among Dalal street bulls. As a result, the stock has currently no seller available as the stock has hit upper circuit on Tuesday session.

As per the latest exchange communication of Gautam Gems Ltd, "Pursuant to Regulation 29 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we hereby inform you that meeting of the Board of Directors of the Company will be held on Friday, 30t December, 2022 at 03:00 PM at the registered office of the Company for consideration of the following matter: 1. As our Company envisages for a greater and brighter future in the energy segment, Company intends to add a new segment of business in Renewable Energy Sector consisting of Windmill and Solar Energy considering the present and future prospect in the Energy Segment; 2. To consider and approve to alter the Memorandum and Articles of the Company subject to Shareholders approval; and 3. To transact any other matter with the prior approval of the Chairman."

The multibagger penny stock was in news as micro ace investor Aiyub Mohamed Yacoobali bought 79,695 shares of the penny stock paying ₹17.90 for one share. The micro ace investor bought these shares in a bulk deal executed on 26th December 2022. This means ace investor of the Indian stock market invested ₹14,26,540.5 or around ₹14.26 lakh in this multibagger penny stock.

The BSE listed stock has a market cap of ₹74 crore and its trade volume today is over 1.90 lakh, which is lower from its 20 days average trade volume of 2.44 lakh. However, there is still one hour session left on Tuesday. Its 52-week high is ₹19.89 whereas its 52-week low is ₹7.53 apiece.