Upper circuit alert: This micro-cap company reports 218 per cent increase in net profit; do you own it?

In the last one month, the stock has gained more than 45 per cent.

Shares of Indo Tech Transformers Limited were locked in the upper circuit today, gaining 20 per cent on Tuesday. The stock has also delivered multibagger returns to its investors. During this period, the company’s share price jumped from Rs 78.45 on May 29, 2020, to Rs 283.80 on May 23, 2023, an increase of about 250 per cent in three years holding period.

In the recent quarter, the company's net revenue increased by 45.7 per cent YoY to Rs 144.57 crore in Q4FY23. The PAT of the company increased by 218.48 per cent to Rs 19.30 crore.       

On Tuesday, the stock opened at Rs 283.80 with a high and low of Rs 283.80 and Rs 283.80, respectively. The stock closed trading at Rs 283.80, up by 20 per cent. The stock has a 52-week high of Rs 283.30 and a 52-week low of Rs 151.60. The company has a ROCE of 17.3 per cent and a ROE of 16.3 per cent with a market capitalisation of Rs 301 crore.   

Indo Tech Transformers Limited is engaged in the business of manufacturing power and distribution transformers and various special application transformers, mobile substation transformers, and substations. The company’s manufacturing plants are in Chennai and Kancheepuram in Tamil Nadu. ITL is a subsidiary of Shirdi Sai Electricals Limited, and SSEL currently holds a 70.01 per cent stake in ITL.

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