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Rekha Jhunjhunwala exits Nikhil Kamath, Madhusudan Kela-backed smallcap stock with 111% returns in 3 years
Rekha Jhunjhunwala exits Nikhil Kamath, Madhusudan Kela-backed smallcap stock with 111% returns in 3 years

Time of India

time02-08-2025

  • Business
  • Time of India

Rekha Jhunjhunwala exits Nikhil Kamath, Madhusudan Kela-backed smallcap stock with 111% returns in 3 years

Live Events Nazara Technologies share price history (You can now subscribe to our (You can now subscribe to our ETMarkets WhatsApp channel Star investor Rekha Jhunjhunwala , after inheriting her husband Rakesh Jhunjhunwala's 10.82% stake in Nazara Technologies , has now completely exited her position in the company, a prominent player in India's gaming and sports media sector. The stock has delivered an impressive 111% return over the past three Technologies' stock is backed by some influential investors, including Madhusudan Kela and Nikhil March 2025, Rekha Jhunjhunwala had a 7.06% stake in the company, holding a total of 61,83,620 shares. However, by June, Rekha exited Nazara Technologies , selling her entire June 13, Jhunjhunwala sold her stake in Nazara Technologies, offloading 13 lakh shares on the BSE and another 14 lakh shares on the NSE, at an average price of Rs 1,225.19 and Rs 1,225.63, respectively. The combined deal value stood at approximately Rs 334 crore. This marked the completion of her exit from the company, however, continues to be backed by other notable investors. Madhusudan Kela, who holds 10,96,305 shares, owns 1.18% of Nazara Technologies. Meanwhile, Nikhil Kamath, through his firm Kamath Associates, holds 15,04,782 shares, representing a 1.62% stake in the Rekha Jhunjhunwala publicly holds 25 stocks, with a combined net worth exceeding Rs 38,918.10 crore, according to the latest corporate shareholding disclosures available on as of June 2025, Jhunjhunwala's net worth was valued at Rs 42,252.90 crore, marking a stellar 149% jump from March 2025, according to the past year, the shares of Nazara Technologies have increased by 40.01%, while year-to-date (YTD), the stock has increased by 31.81%. In the last six months, the price has increased by 42.07%, and over the past three months, the stock has surged 31.35%. In the past month, the stock price went up by 2.38%.On Friday, Nazara Technologies shares closed 1.44% lower at Rs 1,331.10 on the BSE.: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)

Can Schweiter Technologies AG's (VTX:SWTQ) Weak Financials Pull The Plug On The Stock's Current Momentum On Its Share Price?
Can Schweiter Technologies AG's (VTX:SWTQ) Weak Financials Pull The Plug On The Stock's Current Momentum On Its Share Price?

Yahoo

time27-01-2025

  • Business
  • Yahoo

Can Schweiter Technologies AG's (VTX:SWTQ) Weak Financials Pull The Plug On The Stock's Current Momentum On Its Share Price?

Schweiter Technologies' (VTX:SWTQ) stock is up by a considerable 19% over the past three months. However, we decided to pay close attention to its weak financials as we are doubtful that the current momentum will keep up, given the scenario. In this article, we decided to focus on Schweiter Technologies' ROE. Return on Equity or ROE is a test of how effectively a company is growing its value and managing investors' money. In simpler terms, it measures the profitability of a company in relation to shareholder's equity. View our latest analysis for Schweiter Technologies ROE can be calculated by using the formula: Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity So, based on the above formula, the ROE for Schweiter Technologies is: 4.9% = CHF36m ÷ CHF738m (Based on the trailing twelve months to June 2024). The 'return' is the profit over the last twelve months. That means that for every CHF1 worth of shareholders' equity, the company generated CHF0.05 in profit. We have already established that ROE serves as an efficient profit-generating gauge for a company's future earnings. We now need to evaluate how much profit the company reinvests or "retains" for future growth which then gives us an idea about the growth potential of the company. Generally speaking, other things being equal, firms with a high return on equity and profit retention, have a higher growth rate than firms that don't share these attributes. When you first look at it, Schweiter Technologies' ROE doesn't look that attractive. A quick further study shows that the company's ROE doesn't compare favorably to the industry average of 14% either. Therefore, it might not be wrong to say that the five year net income decline of 19% seen by Schweiter Technologies was probably the result of it having a lower ROE. We believe that there also might be other aspects that are negatively influencing the company's earnings prospects. Such as - low earnings retention or poor allocation of capital. As a next step, we compared Schweiter Technologies' performance with the industry and found thatSchweiter Technologies' performance is depressing even when compared with the industry, which has shrunk its earnings at a rate of 3.5% in the same period, which is a slower than the company. The basis for attaching value to a company is, to a great extent, tied to its earnings growth. It's important for an investor to know whether the market has priced in the company's expected earnings growth (or decline). Doing so will help them establish if the stock's future looks promising or ominous. Has the market priced in the future outlook for SWTQ? You can find out in our latest intrinsic value infographic research report. Schweiter Technologies has a high three-year median payout ratio of 78% (that is, it is retaining 22% of its profits). This suggests that the company is paying most of its profits as dividends to its shareholders. This goes some way in explaining why its earnings have been shrinking. With only very little left to reinvest into the business, growth in earnings is far from likely. Moreover, Schweiter Technologies has been paying dividends for at least ten years or more suggesting that management must have perceived that the shareholders prefer dividends over earnings growth. Upon studying the latest analysts' consensus data, we found that the company is expected to keep paying out approximately 63% of its profits over the next three years. However, Schweiter Technologies' ROE is predicted to rise to 7.1% despite there being no anticipated change in its payout ratio. In total, we would have a hard think before deciding on any investment action concerning Schweiter Technologies. Because the company is not reinvesting much into the business, and given the low ROE, it's not surprising to see the lack or absence of growth in its earnings. With that said, we studied the latest analyst forecasts and found that while the company has shrunk its earnings in the past, analysts expect its earnings to grow in the future. Are these analysts expectations based on the broad expectations for the industry, or on the company's fundamentals? Click here to be taken to our analyst's forecasts page for the company. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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