Penny stock under ₹10: Deep Diamond India share price hit 4.90% upper circuit on Friday, November 14. The penny stock opened at ₹8.55 apiece in Friday's early morning session, as compared to previous close of ₹8.16 on Thursday.
The multibagger penny stock has been on a bull run in the near term. The stock has gained as much as 36% in a month and has given multibagger returns of whopping 104% in just six months.
What's behind the rally?
In an exchange filing, Deep Diamond India announced the upcoming launch of its pioneering digital-health initiative, Deep Health India AI, an intelligent, camera-based wellness platform that uses facial-scan technology to deliver real-time health insights.
It further informed the exchanges that the launch of AI-driven wellness platform has been scheduled on Tuesday, November 25, marking the company’s formal entry into India’s rapidly growing AI-driven healthcare sector.
"Deep Health India AI leverages advance computer vision and artificial intelligence to analyse key wellness parameters including heart rate, breathing rate, blood-pressure indicators, stress index, and oxygen saturation through a simple, 60-second face scan.
The platform is entirely non-invasive, contactless, and accessible on any smartphone cameras, enabling instant health feedback without medical instruments or laboratory visits. With Deep Health India AI, we are – “turning a smartphone into a health companion,” said Narayan, Managing Director, Deep Diamond India Limited.
### Deep Diamond India Ltd: Penny Stock Under ₹10 Locks Upper Circuit Amid AI Health Launch Buzz
On November 14, 2025, shares of Deep Diamond India Ltd (DDIL), a Rajasthan-based penny stock trading below ₹10, surged to hit its 4.90% upper circuit, locking at ₹8.55 apiece after opening at the same level (previous close: ₹8.16). This move caps a blistering run, with the stock delivering 36% returns in the past month and a multibagger 104% gain over six months. The rally reflects investor excitement over a transformative business pivot and stellar quarterly results, positioning DDIL as a high-risk, high-reward play in India's evolving tech-health landscape.
#### Company Snapshot
Incorporated in 1993 and headquartered in Udaipur, Rajasthan, Deep Diamond India Ltd traditionally operates in the jewelry sector, manufacturing and retailing 18K gold and real diamond-studded products like rings, earrings, pendants, watches, and accessories at its own facility—with a unique 100% buy-back guarantee on diamond jewelry. However, the company has aggressively diversified into innovation-driven areas, blending technology with social impact. Its latest foray: the digital wellness space, aiming to address preventive healthcare gaps in rural and semi-urban India.
#### What Sparked the Upper Circuit?
The immediate trigger was DDIL's announcement of the **Deep Health India AI** platform launch on November 25, 2025—an AI-powered, non-invasive wellness tool that uses smartphone cameras for real-time health scans. In just 60 seconds, users get insights on vital parameters like heart rate, breathing rate, blood pressure indicators, stress index, and oxygen saturation via a simple face scan. Developed with a global SDK partner for AI and computer vision tech, it's designed for accessibility—targeting community health workers, clinics, and NGOs in underserved areas where traditional diagnostics are costly or unavailable.
This isn't just hype; it aligns with India's booming AI-healthcare market, projected to grow amid rising demand for affordable, tech-enabled preventive care. The news amplified momentum from DDIL's Q2 FY26 (July-September 2025) results, which showed a dramatic turnaround.
#### Financial Highlights: From Slump to Surge
DDIL's books paint a picture of a micro-cap turnaround story, though with volatility:
| Metric | TTM (as of Sep 2025) | FY25 (Mar 2025) | Notes |
|-------------------------|----------------------|-----------------|-------|
| **Revenue** | ₹3.95 Cr | ₹1.25 Cr | +17% YoY TTM growth; Q2 alone: ₹3.35 Cr (vs. ₹0.15 Cr in Q1) |
| **Net Profit** | ₹3.04 Cr | ₹0.86 Cr | Explosive +258% YoY TTM; Q2: ₹2.53 Cr (OPM: 96.42%) |
| **EPS** | ₹0.22 | ₹0.06 | Q2: ₹0.18 |
| **Market Cap** | ₹123 Cr | N/A | Up ~232% YoY |
| **PE Ratio** | 40.6 | N/A | Elevated, signaling growth expectations |
| **ROE (3Y Avg)** | 5.06% | 4.02% | Modest but improving |
| **Debt** | Almost debt-free | Minimal | Strong balance sheet |
*Sources: Company filings via Screener.in; Yahoo Finance*
The Q2 profit explosion (from near-zero in prior quarters) stems from operational efficiencies and possibly one-off gains tied to the diversification push, though details are sparse. Historically, sales growth has been tepid (9% CAGR over 5 years), but profit CAGR is stellar at 98% over the same period—fueled by cost controls in a low-base scenario.
#### Risks and Outlook
At ₹8.55, DDIL trades at 4.8x book value (BVPS: ₹1.78), with razor-thin promoter holding (0.03%) raising governance flags. Penny stocks like this are volatile—low liquidity (Nov 13 volume: ~2.3M shares) and micro-cap status amplify swings. Broader risks include execution on the AI launch (unproven revenue yet) and competition from established players like Practo or HealthifyMe.
That said, if Deep Health AI gains traction, it could catalyze sustained growth in a ₹50,000 Cr+ digital health market. Analysts (limited coverage) see short-term upside to ₹10-12 if volumes hold, but advise caution for retail punters. Watch the Nov 25 launch for volume spikes.
**Bottom Line:** DDIL's circuit hit is a classic penny stock thriller—AI ambition meets blowout earnings. High octane, but trade smart: Set stops, DYOR, and remember, multibaggers can flip to duds overnight.
