Heavy buying witnessed in this multibagger small-cap stock; hitting back-to-back upper circuits and 52-week highs!

The stock gave multibagger returns of 111 per cent in just 6 months and over 1,000 per cent in just 3 years.

On Friday, the benchmark indices ended the day in green with BSE Sensex Index up by 0.75 per cent at a level of 65,205.05. The Sensex Index reached a record-breaking level of 65,300, marking an all-time high.

Along with the market in green, shares of Kirloskar Electric Company Ltd surged 5 per cent upper circuit to Rs 133.60 per share. The stock also traded at a new 52-week high of Rs 133.60 per share. In the recent trading sessions, the stock is hitting back-to-back upper circuits and 52-week highs.

Kirloskar Electric Company Ltd, established in 1946, is an electrical engineering company that produces AC Motors, DC Motors, Transformers, Switchgear and Electronics through nine manufacturing units. It caters to core sectors like power generation, transmission and distribution, transportation, renewable energy, sugar, steel, cement, and allied industries. 

According to the financials, the company has a market cap of Rs 887.29 crore and has delivered good profit growth of 18.60 per cent CAGR over the last 5 years.

In Q4FY23, the company witnessed a significant increase in net sales, rising by 38.01 per cent to reach Rs 145.05 crore compared to Q4FY22. Similarly, in the entire FY23, net sales experienced robust growth of 41.50 per cent and reached Rs 473.55 crore, surpassing the figures of FY22.

The company also achieved notable profitability during this period. In Q4FY23, it reported a net profit of Rs 10.89 crore, while in FY23, the net profit amounted to Rs 31.08 crore

The shares of the company have a ROE of 37 per cent and a ROCE of 25 per cent. The stock gave multibagger returns of 111 per cent in just 6 months and over 1,000 per cent in just 3 years. Investors should keep an eye on this small-cap stock.