In Monday’s trading session, the shares of one of the leading engineering stocks specialised in the manufacturing of high-precision tools, dies, and molds jumps upto 2 percent upon receiving new work order worth Rs. 1.35 crores from CTM India Ltd, Mutual Engineering & Plastic Molds, and others.
Price action
With a market capitalization of 429.86 Crores on Monday, the shares of Sunita tools Limited is up by 1.45 percent making a high of Rs 790 compared to its previous closing price of Rs 764.20.
What Happened
Sunita Tools Limited, specializing in the design, development, and manufacturing of precision tools, dies, and molds, has received a new order.
They have secured a contract for the supply of various types of Mould Bases worth Rs. 1.35 Crores, in addition to the ongoing work worth Rs. 10.82 Crores from CTM India Ltd (a unit of the Motherson Group), Mutual Engineering & Plastic Molds, and other clients.
The domestic order involves supply of 20 Mould Bases/Ground Plates, with delivery expected ASAP.
About the company
Sunita Tools Limited one of the leading engineering stock specialised in providing advanced tooling solutions to a wide range of industries, including automotive, consumer electronics, medical devices, and industrial manufacturing.
Sunita Tools Limited utilizes cutting-edge technology and equipment to produce high-quality molds and dies, ensuring consistency and accuracy in production. They have built a strong reputation for excellent craftsmanship, attention to detail, and a commitment to customer satisfaction.
They are recognized for its ability to deliver high-quality, customized tooling solutions, meeting the specific requirements of its diverse clientele.
Future outlook
The global precision engineering machines market was valued at USD 13.07 billion in 2022 and is projected to grow at a compound annual growth rate (CAGR) of 6.8% from 2023 to 2030 .
Financials
The company’s revenue rose by 79 percent from Rs 8.55 crore to Rs 15.33 crore in H1FY24-25. Meanwhile, Net profit rose from Rs 1.60 crores to Rs 3.41 crore during the same period.
Key Financial ratios
Sunita Tools Limited has an impressive Return on Equity (RoE) of 14.42 percent and a Return on Capital Employed (RoCE) of 19.24 percent. Furthermore, the company’s debt-to-equity ratio is 0.04.
Written by Sridhar J
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
