Multibagger penny stock under Rs 15: Company’s Q1FY26 revenue up 59%; PAT up 141%; new defense subsidiary and preferential share allotments

DSIJ Intelligence-1 / 13 Aug 2025/ Categories: Multibaggers, Penny Stocks, Trending

Multibagger penny stock under Rs 15: Company’s Q1FY26 revenue up 59%; PAT up 141%; new defense subsidiary and preferential share allotments

The stock is up by 29 per cent from its 52-week low of Rs 8.41 per share and gave multibagger returns of 2,365 per cent in 5 years whereas the BSE Sensex Index is up by 111 per cent.

On Wednesday, shares of Rama Steel Tubes Ltd surged 0.40 per cent to Rs 10.83 per share from its previous closing of Rs 10.79 per share. The stock’s 52-week high is Rs 17.51 and its 52-week low is Rs 8.41.

Rama Steel Tubes Limited (RSTL), founded in 1974, is a leading Indian manufacturer of steel pipes, tubes, and G.I. pipes, with growing global recognition. RSTL continuously boosts performance through increased sales, value-added products, innovation, and cost optimisation. Their product range includes MS ERW black pipes and G.I. pipes. With a global presence in over 16 countries, including subsidiaries in the UAE and Nigeria, and four manufacturing plants in India, RSTL utilises the latest technology and sophisticated testing equipment.

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Rama Steel Tubes Limited (RSTL) announced its Q1 FY2026 standalone results, highlighting its position as a trusted manufacturer of steel tubes, G.I. pipes, MS pipes, and STP poles, leveraging Japanese technology for both domestic and global markets. The company's continuous investment in product innovation and R&D, coupled with stringent quality checks by skilled technicians, ensures its products meet international quality standards. To diversify, RSTL has incorporated a wholly-owned subsidiary, Rama Defence Private Limited, focusing on the defence sector, including trading, import, export, manufacturing, assembly, and supply of defence equipment and related military hardware.

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During the quarter, RSTL undertook significant financial activities. On April 29, 2025, the company allotted 40,32,126 equity shares at Rs 14 per share (including a Rs 13 premium) to Mr. Vinit Bharat Shah, a non-promoter. Concurrently, on April 26, 2025, RSTL acquired 2,480 equity shares of Bigwin Buildsys Coated Private Limited from Mr. Vinit Bharat Shah, making Bigwin Buildsys an Associate Company due to RSTL's significant influence. Furthermore, on June 18, 2025, RSTL issued 15,76,00,000 equity shares at Rs 11.25 per share (including a Rs 10.25 premium) to non-promoter categories on a preferential basis, adhering to SEBI regulations.

According to Quarterly Results, the revenue is up by 59 per cent to Rs 253.52 crore and the net profit margin, including OCI, increased by 141 per cent to Rs 6,45 crore in Q1FY26 compared to Q1FY25. The company have a market cap of over Rs 1,600 crore and median sales growth is 26 per cent over the last 10 years. The stock is up by 29 per cent from its 52-week low of Rs 8.41 per share and gave multibagger returns of 2,365 per cent in 5 years whereas the BSE Sensex Index is up by 111 per cent.

Disclaimer: The article is for informational purposes only and not investment advice.