Akash Bhansali-backed small-cap heavy electrical equipment multibagger stock with a solid order book registers a strong breakout - keep it on your watchlist!

The stock has delivered almost 200 per cent gains in last one year and hence, turning out to be a multibagger. 

Indian markets have succumbed to selling pressure on Wednesday with Nifty and Sensex dropping by 0.41 per cent, each. Nifty is trading closer to 20,820 mark, while Sensex has slipped below 69,300 mark.

Talking about the sectoral performance majority of the sectors were trading in red led by Nifty IT, which is down by 1.64 per cent, while among the top gainer is Nifty Pharma which is up by 0.32 per cent.

Despite the sharp fall in the frontline gauge, the advance decline ratio is in favor of advance this is mainly due to relative outperformance by the broader market indices with Nifty Small-Cap index trading higher by 0.37 per cent.

Despite challenging background, one stock has hogged the limelight due to its spectacular run-on Wednesday is Schneider Electric Infrastructure Ltd (SEIL). A small-cap heavy electrical equipment company.

Schneider Electric Infrastructure Ltd (SEIL) provides power equipment solutions. SEIL is engaged in manufacturing, designing, building and servicing the electricity network's technologically advanced products and systems. The company's core business includes Systems, Transactional Business, and Services. The company's solutions are used by electrical distribution (utilities), power generation companies, and the electro-intensive industry, particularly oil and gas. It manufactures a wide range of products that includes Transformers, Power Transformers, Switchgears (Primary and secondary Switchgears), Medium Voltage Switchgear, Protection Relays, Differential Relay, Electricity distribution management systems, a software suite for self-healing smart grid, e-house & smart cities applications.

The stock has registered a fresh 52-week high on Wednesday as it has surged more than 7 per cent and closed above the pivot. The volumes were recorded massively for the last two days and on Wednesday as well volume is robust.  Post-earnings, the stock has attracted new buying interest. The stock is forming an 11-week consolidation and trading above all key moving averages. All long-term moving averages are in the uptrend. Its Relative Price Strength (RS) is at a new high, showing outperformance compared to the other listed stocks. A weekly MACD is about to give a bullish signal. The RSI is in the strong bullish zone. The Stochastic RSI is in the bullish mode. The Elder's impulse system has formed strong bullish bars. The Institutions have increased their stake in the company. It has a Master score of B and meets a majority of CANSLIM investing characters. Hence, this stock should be on the radar.

Now, here comes an interesting fact, Vallabh Bhansali a well-known thought leader and investor, his son Akash Bhansali holds 2.58 per cent stake in the company which translates to 6,172,087 shares of the company. Interestingly, in H1FY24 order book jumped by 40.8 per cent to Rs 938.77 crore as against 666.82 crore in H1FY23 and in Q2FY24 order book surged by 64.7 per cent YoY to Rs 492.14 crore. Good momentum in orders driven by P&G, Mobility and other electro-sensitive segments. The stock has delivered almost 200 per cent gains in last one year and hence, turning out to be a multibagger.

 Disclaimer: The article is for informational purposes only and not investment advice.