Multibagger penny stock at Rs 91.46: This transformer manufacturing company bags new order worth Rs 1,99,00,000 from TP Northen Odisha Distribution Ltd (TPNODL)

The stock gave multibagger returns of 175 per cent from its 52-week low of Rs 33.20 per share and a whopping 650 per cent in 3 years.

Alfa Transformers Limited, a manufacturer of small distribution transformers and provider of related technical services including repair, has secured a domestic purchase order worth Rs 1,99,00,000 crore from Tata Power Northen Odisha Distribution Limited (TPNODL). This significant order involves the design, manufacturing and supply of 100 KVA transformers from Alfa's Bhubaneswar plant, with completion expected within 120 days of receiving the order.

Today, shares of Alfa Transformers Limited were locked in a 2 per cent upper circuit to Rs 91.46 per share from its previous closing of Rs 91.50. The stock’s 52-week high is Rs 126.36 per share and its 52-week is Rs 33.20 per share.

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The company has a market cap of Rs 83 crore and has delivered good profit growth of 47.5 per cent CAGR over the last 5 years. The stock trades at a low PE of 11x and has a high ROE of 42 per cent. According to Quarterly Results, the company reported net sales of Rs 11.35 crore and net profit of Rs 0.12 crore in Q4FY24. In its annual results, the net sales increased by 77 per cent to Rs 50.97 crore and net profit increased by 655 per cent to Rs 7.63 crore in FY24 compared to FY23.

The stock gave multibagger returns of 175 per cent from its 52-week low of Rs 33.20 per share and a whopping 650 per cent in 3 years. Investors should keep an eye on this micro-cap stock.

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