Multibagger penny stock under Rs 85: This electrical equipment company bags new orders worth Rs 7,40,00,000 from L&T, Tata Power and other clients!

The stock gave multibagger returns of 120 per cent in 6 months, 600 per cent in 1 year and a whopping 860 per cent in 2 years.

Alfa Transformers Limited manufactures small distribution transformers and offers related technical assistance and services. The company has bagged new orders worth Rs 7,40,00,000. Here are the details:

Order No – 1: The company has received purchase orders worth Rs 3.28 crore from Rungta Sons Pvt Ltd and OCL Iron & Steel Limited. The order includes the design, manufacturing and supply of transformers with off-load tap changers and will be completed by February 2024.

Order No – 2: The company have received 2 orders worth Rs 3.59 crore from Tata Power Southern Odisha Distribution Limited (TPSODL), a wholly owned subsidiary of Tata Power Ltd. The orders include the design, manufacturing and supply of transformers in the Vadodara plant & Bhubaneswar plant.

Order No – 3: The company received an order worth Rs 53 lakh from Larsen & Toubro Limited (L&T Ltd). The order includes the design, manufacturing and supply of transformers and will be completed in 3 months.

Today, shares of Alfa Transformers Limited were locked in a 5 per cent upper circuit to Rs 82.11 per share from its previous closing of Rs 78.20. The stock also made a new 52-week high of Rs 82.11 per share. In the recent trading sessions, the stock has been hitting back-to-back upper circuits and 52-week highs.

The company has a market cap of Rs 75 crore. The stock trades at a low PE of 9x and has a high ROE of 39 per cent. The stock gave multibagger returns of 120 per cent in 6 months, 600 per cent in 1 year and a whopping 860 per cent in 2 years. Investors should keep an eye on this micro-cap stock.

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