Dolly Khanna’s portfolio multibagger auto stock zooms 15 per cent after company along with its JV’s secures multi-year orders worth Rs 475 crore
The stock gave multibagger returns of 270 per cent returns in just 2 years; 500 per cent in 3 years and a whopping 1,350 per cent in 5 years.
Today, one of the Top Gainers on BSE, shares of Talbros Automotive Components Limited (TACL) gained 15 per cent to Rs 344 per share from its previous closing of Rs 298.90 per share. At the closing bell, shares of the company were trading at Rs 332.10 per share, up 11.11 per cent with a spurt in volume by more than 6.14 times on BSE.
Talbros Automotive Components Limited (TACL) and its joint ventures have secured significant multi-year orders totalling approximately Rs 475 crore from leading OEMs. These orders, spanning the next five years, encompass various product lines including gaskets, heat shields, forging components, chassis, and hoses.
A substantial portion of the orders, worth approximately Rs 345 crore, is attributed to the sealing business, with a significant export component of Rs 131 crore primarily destined for the European market. This expansion into the specialized European market is expected to boost the company's market share and overall profitability.
Additionally, TACL's joint venture, Marelli Talbros Chassis Systems, has secured orders worth Rs 35 crore for chassis components. The forging business has also received orders valued at Rs 23 crore, including Rs 14 crore in exports. Another joint venture, Talbros Marugo Rubber, has acquired domestic orders worth Rs 70 crore for hoses and A/V products, which are slated for commercialization in FY26. These orders collectively enhance TACL's revenue visibility and profitability, solidifying its position in the automotive industry.
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Talbros Automotive Components Limited, a pioneer in the Indian automotive industry, was founded in 1956 to manufacture automotive and industrial gaskets in partnership with Coopers Payen of the UK. Over the years, Talbros has evolved into a leading manufacturer of gaskets, chassis components, rubber products, and forgings. The group's diversified portfolio extends to Mercedes-Benz passenger car dealerships. With 10 manufacturing facilities strategically located across Haryana, Uttarakhand, and Maharashtra, along with a dedicated R&D centre in Faridabad, Talbros is well-equipped to design, develop, and manufacture products tailored to customer specifications. The company boasts an impressive clientele, including industry giants like Bajaj Auto, Tata Cummins, Volvo Eicher India, Ashok Leyland, Escorts Group, Force Motors, Hero MotoCorp, Honda, Hyundai, John Deere, Mahindra & Mahindra, Maruti Suzuki, Suzuki, TAFE, Daimler India, Tata Motors, and more. Additionally, Talbros maintains a robust distribution network to cater to the aftermarket demand.
The company has a market cap of Rs 2,279 crore and has delivered good profit growth of 24.50 per cent CAGR over the last 5 years. As of September 2023, an ace investor, Dolly Khanna owns a 1.20 per cent stake in the company. The stock gave multibagger returns of 270 per cent returns in just 2 years; 500 per cent in 3 years and a whopping 1,350 per cent in 5 years. Investors should keep an eye on this small-cap auto stock.
Disclaimer: The article is for informational purposes only and not investment advice.