Morning Toast 15th August


Despite a larger number of companies surpassing earnings forecasts than usual, the market's earlier-year surge has diminished this summer, as per a report by The Wall Street Journal. Notably, entities like UPS, Apple, and PayPal all outperformed Wall Street's predictions yet saw their stock prices decline post their earnings announcements. According to investors, this scenario represents a "snap back to reality" occurrence following the market's heightened optimism during the first half of the year.

MarketsStock Spotlight

Control Print'sShares of a small-cap company in the portfolio of renowned investor Dolly Khanna surged by 5.7% during Monday's intraday trading, reaching a new 52-week peak of ₹749.00 per share on the National Stock Exchange (NSE). As of 12:34 PM, the shares were trading at ₹737.00, marking a 4.10% increase.

Based on Control Print's shareholding pattern for the quarter ending on June 30, 2023, Dolly Khanna holds 1,91,207 shares, representing a 1.17% stake in the company. This is an increase from the previous quarter, where she held 1,70,207 shares, amounting to a 1.04% stake.

Dolly Khanna is a seasoned investor renowned for her ability to identify lesser-known stocks that tend to outperform the market.

According to exchange data, on August 2, 2023, Control Print's board approved a proposal for share buyback, with the record date set for August 18, 2023. The company intends to repurchase a maximum of 3,37,500 shares at ₹800.00 each, indicating an 8.55% premium compared to the current share price.

Control Print is engaged in the development, manufacturing, and marketing of printing machines, spare parts, consumables (fluids), and related services. The company's manufacturing facilities for printers and consumables are situated in Nalagarh (Himachal Pradesh) and Guwahati (Assam), respectively. Over the past year, its share price has surged by 53.00%.

With a market capitalization of ₹1,156 crores, Control Print is categorized as a small-cap company. It boasts an impressive return on equity of 19.19% and a favourable debt-to-equity ratio of 0.02. The stock is trading at a price-to-earnings ratio (P/E) of 20.87, which is lower than the industry P/E of 23.66, suggesting potential undervaluation compared to peers.

According to the company's shareholding distribution, its promoters hold a significant 51.78% stake, followed by retail investors at 40.3%, foreign institutions at 5.2%, and mutual funds at 2.5%.

Top Douugh SharesStock Spotlight

Eicher MotorsEicher Motors (NS:EICH), a manufacturer of motorcycles and commercial vehicles, experienced a drop of nearly 3% in its stock value on Monday, coinciding with the stock going ex-dividend for a substantial dividend of 3,700% for the fiscal year concluding on March 31, 2023.

The parent company of Royal Enfield found itself among the weakest performers on the Nifty benchmark index during Monday's trading session.

The Board of Directors at Eicher Motors put forth a recommendation for a final dividend of Rs 37 per share on the nominal value of Re 1 each, equivalent to an impressive dividend yield of 3,700% for the financial year 2022-23.

This corporate dividend proposal remains contingent upon the endorsement of the company's shareholders, slated to take place at the 41st Annual General Meeting (AGM) scheduled for Wednesday, August 23, 2023, to be conducted via video conferencing.

Furthermore, the company's Board of Directors has designated August 16, 2023, as the record date for determining eligibility for the aforementioned dividend benefit.

Upon receiving approval at the forthcoming AGM, the final dividend will be disbursed to eligible Eicher Motors shareholders within 30 days from the date of shareholders' endorsement.

Notably, the Register of Members and the Share Transfer Books of the automotive firm will remain inaccessible from August 17, 2023, to August 23, 2023, inclusively, to ascertain the identities of members qualifying for the equity shares dividend.

Sustainable News

IberdrolaIberdrola, a prominent global energy and electricity provider, has introduced Carbon2Nature (C2N), a fresh venture with the objective of crafting impactful nature-based solutions to eradicate carbon emissions, enhance biodiversity, and generate premium carbon credits for its clientele.

The launch of Carbon2Nature signifies Iberdrola's determination to ameliorate environmental conditions. C2N envisions the capture and retention of over 61 million metric tonnes of CO2 in natural reservoirs through the implementation of conservation and restoration initiatives spanning more than 100,000 hectares. These projects encompass diverse ecosystems like forests, coastal habitats, and agricultural soils.

The strategic approach of Carbon2Nature involves cultivating internal or collaborative projects that preclude ecosystem degradation-induced emissions while facilitating carbon sequestration. This approach also fosters environmental and societal gains.

Iberdrola's new venture will primarily concentrate on regions where the company is operationally active. Approximately 80% of the projects are slated for Latin American countries, while the remaining 20%, including Spain, the UK, and Portugal, are allocated to northern hemisphere nations. C2N is already in the process of advancing projects in Brazil, Mexico, Colombia, Chile, and Spain.

This announcement follows Iberdrola's previous commitment to environmental sustainability, signifying the company's ambition to achieve net zero emissions across its entire value chain by 2040. Notably, the launch of the Biodiversity plan, aiming for a net positive influence on ecosystems and species within its operational scope by 2030, underscores Iberdrola's ongoing dedication to ecologically responsible practices.

Quote Of The Day

“Effective inclusion leadership needs to start at the top of the organisation.” – Gena Cox, CEO of Feels Human, LLC

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