Senco Gold Shares Rise After Promoters Raise Stake

Senco Gold Ltd., one of India's prominent jewellery retailers, has been locked in the upper circuit on Thursday after promoters raised stake.

Promoter Jai Hanuman Shri Siddhivinayak Trust has reportedly raised its stake in the firm via open market transactions.

Suvankar Sen, Trustee of Jai Hanuman Shri Siddhivinayak Trust, picked 1,61,000 shares on March 17, representing 0.01% stake in the company, as per reports.

The promoter holding as of December 2024 stood at 41.94%.

The counter is trading nearly 70% below its October 2023 peak of Rs 772.

Management guidance is to open eight to ten new showrooms in the fourth quarter of financial year 2025. The company is expecting a 18% to 20% growth.

It also aims to normalise EBITDA margins to 7%-7.5% in the fourth quarter of the year.

The profitability of the company is declining on lower demand. This is due to the soaring gold prices in the domestic and global markets.

The company is seeing a slower store addition, the lowest EPS in 4 years and inventory days increasing at 150.

Senco stock has been locked in the upper circuit at Rs 275 apiece on the NSE. This, compared to a 0.60% advance in the benchmark Nifty 50 as of 11:11 a.m.

It has declined 25% in the last 12 months. The total traded volume so far in the day stood at 0.2 times its 30-day average. The relative strength index was at 36.2.

Five out of the six analysts tracking the company have a 'buy' rating on the stock and one recommends a 'hold,' according to Bloomberg data. The 12-month analysts' consensus target price on the stock is Rs 554.4, implying an upside of 101.5%.