Upper Circuit Alert: Stocks of this machinery industry company are soaring in a weak market

Stock is trading at a 52-week high and posted consecutive gains from the start of the week.

Shares of TRF Limited opened at Rs 294 and gapped up by 10 per cent. With this, the stock has reached a new 52-week high. The volume of the shares increased 2.76 times. With a market cap of Rs 323 crore, the stock has PE is 20.5x. 

TRF Limited produces material handling tools and manages turnkey material handling projects for the infrastructure and industrial sectors. 

In addition, the Bulk Material Handling Equipment Division specialises in the design and manufacture of a wide range of material handling equipment used in the infrastructure industries, such as waggon tipplers, stacker reclaimers, travelling waggon loaders, screens, crushers, etc. Its Project & Services Division undertakes turnkey projects for infrastructure development industries such as power and steel plants, cement, ports, fertilisers, and mining. Around 80 per cent of a company's total revenues came from its top four clients. 

The company has a strategic partnership with Tata Steel Ltd (TSL), and TSL's senior-level management has regularly been incorporated into the business. By purchasing Rs 250 crore worth of 12.5 per cent non-convertible redeemable preference shares in FY19, TSL has also shown its financial support for TRF. 

The Wagon Loader at West Bokaro, the Booster pump house and pipeline work for the In-pit slime dam at Joda, and the restoration of the Wagon Tippler for the HMC coke circuit are just a few of the projects that TRF accomplished for TSL. 

TRF's major clients include companies like Tata Steel, Tata Power, National Thermal Power Corporation, Steel Authority of India, National Mineral Development Corporation, Bharat Heavy Electric Limited, Krishnapatnam Port, etc.