Mukul Agrawal’s portfolio multibagger stock: This iron & steel company receives order worth Rs 150 crore from Gensol Engineering Limited!

The stock gave multibagger returns of 165 per cent from its 52-week low of Rs 96.70 per share.

Sarda Energy & Minerals Ltd informed that the company has received an order for design engineering, procurement, construction and commission of a solar power plant of 50 MW DC in Chhattisgarh from Gensol Engineering Ltd. The order is worth Rs 150 crore and will be completed within 6 to 9 months.

Today, shares of Sarda Energy & Minerals Ltd plunged 3.65 per cent from its previous closing of Rs 252 per share to Rs 242.80 per share with an intraday high of Rs 254.70 and an intraday low of Rs 242. The stock’s 52-week high is Rs 264.95 and its 52-week low is Rs 96.70.

Earlier, the company received consent from the Chhattisgarh Environment Conservation Board, Raipur, to operate its existing iron ore pellet plant at an enhanced capacity of 9,00,000 tonnes per annum, up from the current 8,00,000 tonnes per annum. In addition to this development, the company is making significant strides in expanding its production capacity and embracing renewable energy initiatives. The Wire Rod Mill's expansion project has secured approval, increasing its capacity from 1,80,000 MT to 2,50,000 MT. The construction of a 24.9 MW Hydro Power plant on the Rehar River in Chhattisgarh is underway and expected to be completed in the upcoming financial year. Furthermore, the Coal Washery is undergoing a capacity expansion from 0.96 MTPA to 1.8 MTPA.

Incorporated in 1973, Sarda Energy & Minerals Limited (SEML) is the flagship company of Sarda Group and is engaged in the production of steel, ferro alloys and power. The company has a market cap of over Rs 8,500 crore and has delivered good profit growth of 23.8 per cent CAGR over the last 5 years. As of September 2023, an ace investor, Mukul Agrawal owns 1.19 per cent and his investment in this stock has gained over 100 per cent.

The shares of the company have a PE of 15x, an ROE of 20 per cent and an ROCE of 21 per cent. The stock gave multibagger returns of 165 per cent from its 52-week low of Rs 96.70 per share. Investors should keep an eye on this Small-Cap stock.