Upper Circuit and Record-High FII Holding: Multibagger small-cap smart meter stock with Rs 19,000 crore order book - expects robust Q4 revenue; watch out!

Anticipating a robust surge in order volumes in the forthcoming months of fiscal year 2024.

After a slow and steady start, the Indian benchmark indices have gained momentum, currently trading near the day's high, with Nifty 50 surpassing the 21,950 mark and Sensex above the 72,300 mark. The rally is witnessed across various sectors, with Nifty Pharma and Auto leading the way, while Banking and Financial stocks are modestly trading in the negative.

The standout performer of the day is the Nifty Small-Cap index, touching a fresh high with an increase of over 1 per cent. Within the small-cap segment, Genus Power Infrastructures Ltd (GPIL) has particularly caught attention.

Incorporated in 1994, GPIL is a leading meter manufacturing company with facilities in Haridwar, Jaipur, and Assam. The stock is currently locked at the upper circuit limit of 5 per cent, marking a fresh 52-week high, with only buyers in the stock.

GPIL achieved a significant milestone as the first company in the Asia Pacific to supply 15 million Smart Meters. The company's total order book exceeds Rs 19,000 crore (net of taxes). In their investor presentation, the company highlighted the positive impact of the 'Reforms-Based, Result-Linked Power Distribution Sector Scheme,' anticipating a robust surge in order volumes in the forthcoming months of fiscal year 2024.

Joint Managing Director, Mr. Jitendra Kumar Agarwal, expressed optimism about a substantial rebound in revenue from Q4FY24 onwards, driven by a robust order book and a steady influx of new orders. He emphasized the company's commitment to contributing to India's sustainability goals through initiatives like the 'Time of Day' metering introduced by the Government of India. 

A recent development includes the Share Allotment Committee of Genus Power Infrastructures Limited allotting 4,59,78,965 equity shares to Chiswick Investment Pte. Ltd., reaching a record high FII holding of 16.88 per cent. Additionally, Mutual Funds have increased their holdings from 5.13 per cent to 5.33 per cent in the December quarter.

Chiswick Investment Pte. Ltd., a company incorporated under the laws of Singapore, holds a significant position in the stock. The stock has delivered multibagger returns, boasting gains of 231.28 per cent in the last year and over 700 per cent in the last three years. Do you have this small-cap multibagger smart meter stock in your portfolio?

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