Smallcap stock Rolex Rings share price rockets 26% in two days ahead of board meet to consider buyback

Shares of Rolex Rings, global supplier of forged and machined components, soared as much as 9% to their day’s high of Rs 176 on the BSE on Wednesday ahead of the company’s board to consider its first ever buyback on April 23. The stock is up 35% in just six sessions and has risen 26% since the buyback announcement.

In an exchange filing on Monday, the company said its board of directors will evaluate the buyback of fully paid-up equity shares at the upcoming meeting. If approved, this would be the first share buyback in the history of Rolex Rings.

So far, the company has undertaken only one corporate action. It carried out a stock split in October last year, splitting one equity share with a face value of Rs 10 into 10 shares of Rs 1 each, according to data from Trendlyne.

The Rajkot-based firm is a leading manufacturer with a strong focus on bearing rings and automotive parts. It produces key components used in transmission systems, engines, chassis and exhaust systems.

About 52% of Rolex Rings total revenue comes from its auto components segment, while the remaining is contributed by bearing rings. The company also has a strong export presence, with 47% of its revenue generated from overseas markets.

In the third quarter, the company reported a net profit of Rs 48 crore, marking a sharp jump of 136% from Rs 20.2 crore posted in the corresponding quarter of the previous financial year. Revenue from operations rose over 5% to Rs 275 crore from Rs 260 crore in the same quarter last year.

EBITDA margin for the quarter under review improved to 25.7% from 20.9% in Q3FY25. EBITDA rose from Rs 55 crore in the third quarter of the previous financial year to Rs 75 crore in Q3FY26.

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