100 per cent returns in just 4 months: This multibagger micro-cap company bags a new order through a leading pump OEM in India!
On Monday, shares of the company surged by 10 per cent and reached its upper circuit limit of Rs 533.35.
Sealmatic India specializes in designing and producing mechanical seals and related products for various industrial applications, including oil & gas, refinery, petrochemical, chemical, marine and more. They offer an extensive range of sealing solutions to cater to diverse needs, such as Pusher Seals, Standard Cartridge Seals, Engineered Seals, Split Seals, and others.
Sealmatic India Ltd has secured a prestigious order for 'Fully Split Seals' for Metal Volute Pumps used in a significant Lift Irrigation project in Telangana State. The seals are of a remarkable size of 480 mm, the largest ever made in India. The design of these seals is critical due to specific parameters set by the project specifications. The challenges include achieving a low leakage rate for the large-sized 'fully' split seal and incorporating a shutdown seal that operates during maintenance without depressurizing the system.
Sealmatic's expertise in design and engineering is crucial for meeting the project's performance requirements. The intricate process of splitting the seal faces is carried out with great precision at their factory in Mira Road. This accomplishment is expected to generate a long-term annuity spare parts business, positively impacting the company's revenue and bottom line.
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The Pranahita Chevella Lift Irrigation Project in Telangana aims to utilize water from the Pranahita tributary of Godavari River. The effectiveness of this inter-river basin transfer heavily relies on Metal Volute Pumps and their sealing arrangements. Sealmatic's contribution plays a significant role in ensuring efficient water transfer without compromising effectiveness.
The company has delivered returns of 108 per cent from the date of its listing in March 2023. Additionally, the company has a ROCE of 47 per cent and a ROE of 36.5 per cent.
On Monday, shares of the company surged by 10 per cent and reached its upper circuit limit of Rs 533.35.
Investors should keep a close eye on this trending microcap multibagger stock.