Kewal Kiran Clothing rallied over 400% in 3 years; is there more rally ahead?

livemint.com:

Kewal Kiran Clothing as the shares delivered a phenomenal return. The shares, which were priced at ₹153.30 apiece three years ago, have seen a meteoric rise of 417% to trade at the current market price of ₹792. If an investor invested ₹1 lakh in the shares at that time and remained invested until the present day, the wealth would have grown to a staggering ₹5.16 lakh.

Also Read: Ireda, Tata Tech turn multibagger stocks post listing. Buy, avoid, hold or sell? The stock gained significant momentum in CY21, registering a rally of 41.48% after experiencing four consecutive years of underperformance from CY16 to CY20. Considering the stock's all-time low of ₹19 per share, it has skyrocketed by 4068% to date.

Kewal Kiran, primarily focused on menswear, has built a strong portfolio of brands, including Killer, Integriti, and Lawman. The flagship brand, Killer, stands among the top denim brands, positioning itself alongside global counterparts like Levi's, Lee, and Pepe in the consumer's perception, according to the brokerage. For the September quarter, the company delivered an impressive all-around performance.

Its revenues grew 16% YoY (12% 4Y CAGR), led by a 9% YoY improvement in volume (from apparel), while realisation improved by 6% YoY to ₹995 despite a lower contribution from jeans. The company reported a record quarterly net profit of ₹50 crore in Q2 FY24. In the same quarter of last year, the company recorded a net profit of ₹39 crore.