Domestic benchmark equity indices, the Sensex, and the Nifty 50 jump-started today’s market in red indicating volatility, and showing early signs of decline and negative momentum in trading due to the ongoing Lok Sabha Election Results.
In Tuesday’s trading session, at 9:15 A.M the Sensex was trading at 76,285.78 down by 183 points 0.36 percent in Friday’s session.
Listed below is a small-cap stock that has delivered multibagger returns of 5,850 percent to the shareholders of the company in 4 years, that can be added to your watchlist.
With a market capitalization of Rs. 13,015.20 Crores, the shares of Elecon Engineering Limited were trading at Rs. 1,160 per equity share, up 0.79 percent from its previous day’s close price of Rs. 1,150. It has delivered multibagger returns of 108 percent in a year.
On May 29, 2020, the shares of Elecon Engineering Limited closed at Rs. 19.35 exhibiting a gain of around 5,850 percent compared to the current price. For example, if someone had invested Rs. 1 lakh into the company’s stock 4 years ago, it would have turned to ~Rs. 59.50 Lakhs.
Elecon Engineering Limited is engaged in the designing and manufacturing of material handling equipment and industrial gear and is also involved in providing erection and commissioning solutions for its products. It Caters to multiple industries like Steel, Cement, Sugar, Plastics, Defence, Rubber, Mining, and Power.
Elecon Engineering Limited is One of the largest manufacturers of Gear Solution providers in Asia & Material Handling Equipments with seven decades of experience and expertise and it claims to be the first in India to manufacture sophisticated equipment for bulk Material Handling with a product range that caters to multiple industrial sectors in India
It has a global presence serving 85+ countries with 4 Manufacturing & Assembly Centers, 11 Sales Offices, 100+ Distributors & Dealers in Overseas, and 65+ Distributors and dealers in Domestic Markets.
Elecon Engineering Limited has a strong clientele base with well-known players like Adani, BHEL, SAIL, Ultratech, NTPC, NMDC, Wonder Cement, Larsen & Toubro, National Fertilizers Limited, Cochin Shipyard and many others.
As of FY24, Elecon Engineering Limited has an order book of Rs. 796 Crores and it generates 85 percent of its Revenue from the Material Handling Equipments and 15 percent from Gearbox. It generates 76 percent of its revenue from the domestic markets and 24
percent from the overseas markets.
Its Revenue from operations grew by 26.66 percent from Rs. 1,530 Crores in FY23 to Rs. 1,937 Crores in FY24, accompanied by profits of Rs. 237 Crores to Rs. 356 Crores. It has reported a Net Profit Margin of 18.4 percent.
Written by: Bharath K.S
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