GTN Textiles: BSE CODE: 532744 NSE SYMBOL: GTNTEX Untested but probable turnaround with multibagger opportunity

The company is in the business of making cotton yarn and spinning and existed from a long time. It has several group companies under the banner of GTN. However, from the company’s website nothing much could be found about the company. My attention has gone to the following points:

  1. In March/17 quarter promoters have increased their stake from 62.29% (72,50,438 No. of shares) to 63.19% (73,51,939 No. of shares). Total number of paid-up shares of the company is 1,60,40,478.
  2. After several quarters of making losses the company came into profit in the March/17 quarter. The sales and net profit in this quarter has increased considerably
  3. Technically, the stock price is in a major breakout point, which may give at least 50% profits in a short term of two/three months. Further, if Q1 FY/18 results come better than Q4/FY17, then the rise in stock price will sustain and will be up further
    As some of the experts have predicted that the next decade for Indian cotton Industry will be a big achiever, GTN Textiles may also become a multibagger for the future. The stock price is around 21/-, which is reasonable or on the lower side as per my assessment. I could not find any negative point in the company. At CMP, I think there is no any risk, because promoters are increasing their stake.
    Disclosure: I have 5000 shares of the company bought at Rs.20.80

How can a company with profit margin of less then 4% turn out to be multibagger? Has cashflow increased has technology changed? They have no moat just one of the run of the mill company.