2,000 multibagger returns: This small-cap anti-collision device manufacturer for railways has secured an order worth Rs 5,77,00,000!

The company's shares have delivered an impressive return of around 75 per cent in the past one year.

Kernex Microsystems (India) engaged in manufacturing, installing, and maintaining anti-collision devices. Additionally, the company conceptualises, designs, and develops railway safety and signal systems, and has announced a significant order received by the company.

As per the press release, the company has received an order worth Rs 5,77,00,000. The contract is awarded to the company for the supply, installation, and commissioning of 8 Train Collision Avoidance Systems (TCAS) (KAVACH). The order is to be delivered by March 31, 2025.

Kavach was introduced as part of the Atmanirbhar Bharat initiative in Budget 2022. It functions by automatically applying the brakes if the loco pilot fails to do so, thereby aiding in accident prevention. The system is designed to assist locomotive pilots in avoiding Signal Passing at Danger (SPAD) and over speeding.

Today, the company's stock closed the day at around Rs 496.40 per share on the BSE, with a market capitalisation of Rs 831.94 crore. Additionally, the stock has delivered a multibagger return of around 1,150 per cent in the past three years. The company has not yet released its Quarterly Results for Q4 FY24.

In Q3 FY24, Kernex Microsystems (India) reported revenue of Rs 8.574 crore, representing a year-on-year growth of 3,196 percent from Rs 0.26 crore in the same quarter last year. The company posted an operating loss of Rs 2.28 crore, compared to a loss of Rs 4.43 crore in the same quarter last year. The company’s net loss stood at Rs 3.50 crore in the December quarter.

Investors must keep this Small-Cap multibagger stock on their radar.