Rico Auto was at a 52-week low yesterday at Rs.9.26 and today, it is up
5.4% at Rs.10, with an intra day high at Rs.10.55. Volumes are pretty
robust at over 79,000 shares being traded compared to around 37,000 shares
traded over past two weeks.
The stock has bounced back today after it announced that it has sold its
entire 475680 fully paid-up equity shares of Rs. 100/-each of the JV and
subsidiary company, KRP Auto Industries to the other JV partner, Kailash
Royal for a total consideration of Rs.20.30 crore. For Q2FY12, the company
had done well, with a net profit of Rs.3.6 crore on a net sales of Rs.272
crore. Its net margins remain wafer thin at around 1%.


-- 
CA. Rajesh Desai

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