Coastal Roadways

Coastal Roadways is a surface transport company – it transports goods across India - heavy cargo to consumer durables to pharmaceutical and sensitive electrical & telecom cables. It is very thinly traded with an average two-week volume of around 150 shares. 13 promoters hold 74.99% stake. The balance 25% stake is held 2981 shareholders.

Financially, the company did not have a very good Q2FY16 in terms of profit margins. OPM was marginally down from 5.65% to 5.36% (YoY) but NPM slipped below 1% to 0.83% v/s 1.24%. The silver lining is that for H1FY16, net profit was at Rs.24 lakh compared to a loss in previous H1 and profit of Rs.37 lakh in FY15. Equity is small at Rs.4.15 crore.

The stock price has been breaching the 5% upper circuit for the past one week. Maybe the hope of GST getting through and this company too benefitting; that could be the only reason why the stock is up in the green.