Rs 2,145 crore order book: This multibagger small-cap stock receives a fresh order from Power Grid; chart suggest a fresh breakout!

The stock, which had seen lows of Rs 5.40 in March 2020, has undergone a remarkable transformation, delivering multibagger returns that have exceeded 30 times the initial investment.

The Indian markets, after a significant retreat from the day's highs, find themselves in a state of equilibrium, with Nifty and Sensex trading almost flat. Even the broader indices, amidst profit booking, have relinquished a major portion of their gains, settling for modest increments. However, amid this scenario, one stock stands out, boldly announcing its presence with a fresh continuation breakout - Transformers & Rectifiers India Ltd (TRIL).

Notably, TRIL experienced an impressive 11.5 per cent surge on Friday, reaching a striking 52-week high of Rs 210.50 on the NSE. The stock, which had seen lows of Rs 5.40 in March 2020, has undergone a remarkable transformation, delivering multibagger returns that have exceeded 30 times the initial investment. Following a peak at Rs 206, TRIL entered a consolidation phase lasting 21 trading sessions. Breaking free from this consolidation on Friday, the stock exhibited a resolute breakout.

The breakout, spanning the last 21 trading sessions, was not just a mere blip on the radar; it was accompanied by robust volumes, surpassing four times the three-day average of 7 lakh shares per day. This surge in volume signifies a broader market participation, underscoring the strength of the prevailing trend.

Technical indicators further fortify TRIL's bullish stance. The daily MACD has generated a bullish crossover, providing additional validation for the positive bias. Simultaneously, the daily RSI recently underwent a bullish crossover and is on an ascending trajectory, offering further confirmation of the positive bias.

Adding to the company's positive outlook, TRIL secured an order worth Rs 219 crore from Power Grid Corporation of India Ltd. As of September 30, 2023, the order book stands at an impressive Rs 2,145 crore. In a noteworthy development, the company is slated to meet Stallion Asset on Friday, as per the communication filed on the exchanges.

Hence, keep this Small-Cap multibagger transformer stock on your radar! 

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