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News for India > Business > Penny stock under Re 1 hits 5% upper circuit as its sets board meet to declare interim dividend | Stock Market News
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Penny stock under Re 1 hits 5% upper circuit as its sets board meet to declare interim dividend | Stock Market News

Last updated: June 16, 2025 1:33 pm
1 year ago
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Contents
Strong FY25 Performance and Strategic AlliancesFundraising and Business FocusStock Price Trend

Shares of Enbee Trade & Finance , a penny stock priced under Re 1, hit the 5 percent upper circuit at ₹0.86 on Monday, June 16, after the company announced that its board will meet on June 20, 2025, to consider the declaration of an interim dividend of up to 50 percent for the financial year 2025-26. The announcement spurred investor interest, propelling the low-priced stock to trade at its daily limit.

In an exchange filing, Enbee Trade & Finance confirmed that its board will convene on June 20 at 3:00 PM at the registered office to deliberate on the interim dividend. The filing was made in compliance with Regulation 29(1) of the SEBI Listing Obligations & Disclosure Requirements Regulations, 2015. The prospect of a dividend payout has attracted significant attention, particularly given the stock’s low valuation and recent underperformance.

Strong FY25 Performance and Strategic Alliances

For the financial year ending March 31, 2025, the company reported robust growth. Total revenue more than doubled to ₹19.73 crore from ₹10.25 crore in FY24, while net profit soared 217 percent year-on-year to ₹4.95 crore. The Q4 FY25 net profit stood at ₹1.64 crore, up from ₹0.93 crore in Q4 FY24.

The company also recently entered into a strategic alliance with Sunrise FinServe Pvt Ltd to enhance its loan disbursement efficiency across Maharashtra and Gujarat. This partnership will allow Enbee to benefit from Sunrise’s distribution network and customer acquisition tools to serve underserved markets more efficiently.

On the sustainability front, Enbee has taken bold steps by investing in green financing. The company plans to back projects in renewable energy, EV infrastructure, and ESG-compliant startups, underlining its focus on sustainable finance.

Fundraising and Business Focus

Enbee Trade and Finance had launched a ₹45.08 crore rights issue in December 2024, pricing each share at ₹13. The rights issue, which was oversubscribed 1.03 times, aimed to repay unsecured loans to promoters and boost the company’s capital base.

Incorporated in 1985, Enbee is a non-deposit taking NBFC registered with the Reserve Bank of India. It provides personal and business loans, and has a strong footprint in western India, especially Maharashtra and Gujarat. The firm is actively expanding through partnerships and innovation to cater to evolving SME and retail financing needs.

Stock Price Trend

Currently, the stock trades 50 percent below its 52-week high of ₹1.71 touched in December 2024. It had hit a 52-week low of ₹0.57 in May 2025. Over the past year, Enbee Trade has declined more than 15 percent, despite a recent rally of over 30 percent in June. This recovery follows a 21 percent drop in May, a 16 percent gain in April, and consecutive declines of over 18 percent in both February and March, as well as a 15.6 percent dip in January.

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



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