Steel Strips Wheels climbs 7 per cent on securing new orders

Steel Strips Wheels Limited (SSWL) announced that the company has bagged new export orders for over 3,200 wheels for EU Truck and US Mobile Home Market. Reacting to the news, the stock of the company gained by nearly 7 per cent during Monday’s trading session.

SSWL is a leading player in the domestic wheel and rim industry. The stock price of SSWL had suffered major blows during the market lows in the month of March 2020. The company had previously stated that looking at its growing order book, an inflow of more orders is expected to come from multiple other customers as well as the markets that have started to gain stability along with business operations and demand, which is also continuing to recover. Further, the stock price of SSWL has recovered by more than 40 per cent since the sharp fall in March 2020. The stock has gained by almost 25 per cent since the beginning of the month of August.

Owing to the strong strategic partnerships with companies, leading to its long-term growth as well as increasing orders from clients in the USA and Europe, SSWL is expecting a 30 per cent growth in exports on the YoY basis for FY21. Besides, the stock has gained almost 25 per cent within just a month.

The stock of SSWL was trading at Rs 507, up by 6.62 per cent or Rs 31.50 per share. The 52-week high is Rs 798 and the 52-week low is Rs 317.85 on BSE.