
At record high! Multibagger stock with PE, ROE over 50 hits upper circuit despite weak Dalal Street trends
Aayush Wellness has now surged a staggering 1,232 percent from its 52-week low of ₹ 16.81, touched in July 2024. According to the company's BSE disclosure, 'The scrip PE is greater than 50 for previous 4 trailing quarters.' The Price-to-Earnings (PE) ratio—a key valuation metric—has remained elevated for an extended period, indicating that investors continue to pay a premium in anticipation of significant earnings growth.
Traditionally, a PE ratio above 50 is seen as lofty, suggesting either rich overvaluation or aggressive forward expectations. The fact that Aayush Wellness has sustained such a valuation for four consecutive quarters implies long-term market confidence or possibly speculative enthusiasm.
Adding to the investor optimism is the company's Return on Equity (RoE), which stands at 51.07 percent. This figure far exceeds the 20–25 percent threshold typically seen as excellent and points to highly efficient capital utilization. A RoE of this magnitude often appeals to growth-focused investors, as it signals strong profit generation from shareholders' equity.
This combination of high PE and exceptional RoE presents a mixed narrative. While operational performance appears solid, the rich valuations leave little room for earnings disappointment. Any slowdown in growth could trigger a sharp correction.
The meteoric rise of Aayush Wellness has turned heads across Dalal Street. From ₹ 2.86 in June 2020 to ₹ 223.90 in July 2025, the stock has delivered jaw-dropping returns of nearly 7,728 percent in five years. An investment of ₹ 1 lakh five years ago would now be worth more than ₹ 78 lakh.
In the last 12 months alone, the stock has jumped over 1,079 percent. Just this month, it has gained more than 10 percent, extending a four-month winning streak. It rose over 51 percent in both May and June, and another 58 percent in April. Despite a 15 percent dip in March, investor confidence remained resilient following a 9.5 percent gain in February, even after the sharp 51 percent fall in January.
One of the key drivers behind the stock's strong momentum is Aayush Wellness' diversification into preventive healthcare. In April 2025, the company launched tech-enabled health kiosks and support centers aligned with India's E-Sanjeevani telemedicine initiative. These smart health ATMs offer rapid diagnostic tests, digital medical records, and real-time consultations, aiming to bridge the healthcare access gap in semi-urban and rural regions.
The first center was launched in Virar, Maharashtra, and the company has earmarked ₹ 25 crore for Phase 1 of the rollout. This pivot from its legacy food business to a tech-enabled wellness platform has repositioned Aayush Wellness as a modern player in India's growing health-tech ecosystem.
In a bid to enhance liquidity and attract more retail investors, the company undertook a 1:10 stock split in August 2024, followed by a 1:2 bonus issue in December. These shareholder-friendly measures helped expand the investor base and maintain upward momentum in the stock price.

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
&w=3840&q=100)

Business Standard
an hour ago
- Business Standard
Kotak Mahindra Bank shares rally on robust loan, deposit growth in Q1
Private sector lender Kotak Mahindra Bank's shares rallied close to 4 per cent on Tuesday, following its quarterly business update, wherein the bank reported robust growth in advances and deposits for the quarter ended June 2025 (Q1FY26). Shares of the bank closed at ₹2,224.5 on the BSE on Tuesday, up 3.61 per cent. In its quarterly business update, the bank reported 14 per cent year-on-year (Y-o-Y) and 4.2 per cent sequential growth in net advances to ₹4.44 trillion in Q1. During the same period, the bank's net deposits rose 14.6 per cent Y-o-Y and 2.8 per cent quarter-on-quarter (Q-o-Q) to ₹5.12 trillion. 'Kotak (standalone), in its pre-quarter update, reported 14 per cent Y-o-Y (4 per cent Q-o-Q) loan growth and about 15 per cent Y-o-Y (2.8 per cent Q-o-Q) deposit growth. These were better than our expectations and also better than private peers,' said Macquarie Research in its note. It added that with Y-o-Y system deposit and loan growth at about 10 per cent levels (as on June 13, 2025), the reported numbers (of the bank) are encouraging. While low cost deposits — current account savings account (Casa) — growth of the private sector lender was 8 per cent Y-o-Y in Q1 to ₹2.09 trillion, sequentially it reported a drop of 2.2 per cent. Meanwhile, analysts have pointed out that Kotak Mahindra Bank has the largest share of external benchmark-linked loans among peers, at 60 per cent of its loan book. HDFC Bank has 45 per cent of its loan book linked to the external benchmark-linked loan rate (EBLR), while ICICI Bank and Axis Bank have 53 per cent and 54 per cent, respectively. With the front loading of rate cuts, focus shifts on the extent of margin compression in Q1 and the coming quarters. 'We factor in a 15 basis points (bps) Q-o-Q margin decline in Q1', Macquarie Research said. At the end of Q4FY25, the bank reported a net interest margin (NIM) of 4.97 per cent, down from 5.28 per cent in the corresponding period a year ago. '…going forward, the bank has levers on the liability side to navigate through the rate-cut cycle. These include repricing of the savings book and sweep deposit book, strong growth in Casa balances and reduction in term deposit rates. Further commentary around the credit cost trajectory, slippages trend in the unsecured segment (including MFI) remains a key monitorable,' the report further said.


Mint
3 hours ago
- Mint
Titan sees 20 pc revenue growth in April-June despite softening of purchase in jewellery division
New Delhi, Jul 8 (PTI) Tata group's jewellery and watchmaking brand Titan has reported a 20 per cent growth in its standalone revenue in the June quarter of FY26, according to the latest quarterly updates by the company. Its jewellery division, which contributes over 80 per cent of its revenue, reported an 18 per cent growth on a year-on-year basis. However, "gold price volatility" has affected the consumer sentiments and "buyer growth was flat" for its flagship brands Tanishq, Mia and Zoa (TMZ) brand and CaratLane, the company said. "In the high gold rate scenario, customers preferred light-weight and lower karatage jewellery. The studded ratio came in lower YoY, driven by the differential growths across segments (in TMZ), with coins continuing to lead strongly, plain gold growing in mid-teens and studded segment growth coming in early double digits," it said on Monday. Nevertheless, the Akshaya Tritiya period, which was during the April-June quarter, saw good traction, said Titan. "The like-to-like (L2L) domestic sales growth in TMZ was in early double digits, driven entirely by ticket size growth across formats," it said. During the quarter, Titan added 19 new stores in India, in which three were in Tanishq, seven in Mia and nine in CaratLane, respectively. For Titan, the jewellery division is the main contributor to its topline. In FY25, revenue from the operations of Titan, a joint venture between Tata group and the Tamil Nadu government, was at ₹ 57,339 crore, in which its jewellery division contributed ₹ 46,571 crore, which is over 81 per cent. Its domestic watch business clocked a strong growth of 23 per cent YoY. This was led by analogue watches, driven by both volume and value growth. The division added nine new stores -- four in Titan World and five in Helios. In the eye care segment, though Titan grew by 12 per cent YoY in the first quarter of FY26, it closed 32 stores during the period. "Titan Eye retail opened 12 new doors and closed 32 stores resulting in 20 domestic store closures (net) for the quarter," it said. In the emerging businesses, Titan's fragrances vertical grew 56 per cent YoY led by volume growths in SKINN and Fastrack, women's bags grew 61 per cent. Its Indian dresswear business Taneira grew by 15 per cent YoY driven by value growth in sarees. Over its international business, Titan said it grew by 49 per cent YoY led by near doubling of Tanishq's business in the US market. Shares of Titan Company on Tuesday tumbled over 6 per cent, eroding its market valuation by ₹ 20,086.15 crore to ₹ 3,05,451.71 crore. The stock dropped 6.17 per cent to ₹ 3,440.60 apiece on the BSE. On the NSE, it tanked 6.16 per cent to ₹ 3,440.


Business Standard
3 hours ago
- Business Standard
Edelweiss Financial to undertake public issue of NCDs worth up to Rs 300 crore
Edelweiss Financial Services has announced the public issue of secured redeemable non-convertible debentures (NCDs) of the face value of Rs 1,000 each for an amount up to Rs 300 crore. The issue has a base issue size of Rs 150 crore and a a green shoe option of up to Rs 150 crore. The issue has 12 series of NCDs carrying fixed coupons and having a tenure of 24 months, 36 months, 60 months, and 120 months with annual, monthly and cumulative interest options. Effective annual interest yield on the NCDs ranges from 9.00% p.a. to 10.49% p.a. The issue is scheduled to open on Tuesday, 08 July 2025 and close on Monday, 21 July 2025. At least 75% of the funds raised through this issue will be used for the purpose of repayment/prepayment of interest and principal of existing borrowings of the company and the balance is proposed to be utilized for general corporate purposes, subject to such utilization not exceeding 25% of the amount raised in the issue. The NCDs proposed to be issued under the issue have been rated Crisil A+ with stable outlook. Edelweiss Financial Services, on standalone basis, is primarily engaged in investment banking services and provides development, managerial and financial support to group entities. The scrip had advanced 1.58% to end at Rs 115.55 on the BSE today.