In today's edition of ‘Jain Sahab Ke Gems’, stock market analyst Sandeep Jain, while speaking to Zee Business Managing Editor Anil Singhvi, revealed another great counter for investors. Today, he has recommended a stock that he said has potential to give high returns to investors. The stock he picked today is Maharashtra Scooters Limited and here is why.

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According to Sandeep Jain, Maharashtra Scooters is a top-quality company which comes under Bajaj Group. Earlier Maharashtra Scooters Ltd was known by the name Priya Scooters (Bajaj Priya Scooters), which had been in operation till 2006. The manufacturing activity of the company is currently restricted to the manufacture of pressure die casting dies, jigs and fixtures, primarily meant for two and three - wheeler industry.

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In today's episode, market analyst Sandeep Jain said: "Maharashtra Scooters is my favorite company. The good part of this company is its sales compound annual growth rate (CAGR). In last 10 years, Maharashtra Scooters's CAGR is 48 percent, and the profit CAGR is 35 percent. In last 5 years, the profit CAGR of the Maharashtra Scooters is 98 percent. Even after liquidating the company's holding, there is a lot of profit."

"Also, dividend yield is 1.5 percent. Maharashtra Scooters is a no debt company. The company's December quarters have been very good. Promoters have 91 percent holdings in this company. Apart from this, FIIs and DIIs have a stake of 7-8 percent. Well-known investors of the market Raamdeo Agrawal and Motilal Oswal owns 2.5–3% stakes in this company," he further added.

Strategy For Maharashtra Scooters
On what should be the strategy that a stock market investor can maintain in regard to Maharashtra Scooters Limited shares, Jain told Anil Singhvi, "Maharashtra Scooters is currently trading around Rs 3,875 and one can target this stock at Rs 4500-4800."