Small-cap stock Denta Water jumped more than 18% in three consecutive sessions after ratings agency CARE Ratings reaffirmed the credit ratings on the company’s certain long-term and short-term bank facilities.
Denta Water share price opened at ₹266.35, up nearly 9% from its previous close of ₹244.65 on the BSE on Monday, April 6, extending gains for the third consecutive session, cumulatively gaining 18.5%.
The stock has been in the green since April 1 after the company, on that day, announced in an exchange filing that CareEdge Ratings (CARE Ratings Ltd) had reaffirmed the “CARE BBB” rating with a stable outlook on the company’s long-term bank facilities worth ₹10.50 crore.
Additionally, reaffirmed “CARE BBB” rating with stable outlook and “CARE A3+” on the company’s long-term/short-term bank facilities worth ₹100.50 crore.
Experts appear positive about the stock for the long term.
According to Nitant Darekar, a research analyst at Bonanza, the Jal Jeevan Mission (JJM) is strongly positive for stock.
“Denta’s EPC business model, which focuses on water treatment, purification, distribution infrastructure, and groundwater recharge, complements JJM’s ₹8.7 lakh crore investment in rural water supply projects, which has been extended till 2028,” said Darekar.
“The business has secured various contracts in Karnataka, including Kerehalli and Chikkabenakal, totalling nearly ₹400 crore. This adds to an exceptional order book of ₹841 crore, ensuring long-term revenue visibility and execution tailwinds. This positions Denta for sustained growth amid the government’s water mission push,” Darekar added.
According to the company’s exchange filing in February, its revenue in Q3FY26 stood at ₹535.2 million, up from ₹513.5 million year-on-year (YoY). Profit after tax (PAT) for Q3FY26 stood at ₹143.1 million, down from ₹149.6 million YoY. EBITDA rose to ₹196.1 million in Q3FY26 from ₹193.6 million in Q3FY25.
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