Ashish Kacholia adds 1.68 per cent stake in this newly listed company to his portfolio in Q4

The company's shares have an ROE of 32 per cent and an ROCE of 30 per cent.

Megatherm Induction Limited, founded in 2010, manufactures industrial heating and melting equipment that utilizes electrical induction technology. Their product range includes induction melting furnaces, billet heaters, hardening and heat-treating equipment, as well as transformers and other related machinery used in steel mills.

Beyond individual components, Megatherm offers turnkey solutions for setting up entire steel plants, handling everything from planning and engineering to assembly and commissioning. They cater to various industries including scrap recycling, primary steel production, automotive parts manufacturing, and general metal processing facilities. With a manufacturing unit in Kharagpur, India, Megatherm also exports its products to a global market spanning South America, Africa, the Middle East, Europe, and Asia.

The stock was listed on NSE on February 5, 2024, under the SME segment with a lot size of 1,200 shares. An ace investor, Ashish Kacholia bought 3,16,800 shares of this company on February 08, 2024, at Rs 225 per share via a bulk deal aggregating to Rs 71,28,00,000.

Earlier, the company received a bulk order from a new client, Rungta Mines Limited. The order includes supply, erection and commissioning of capital goods worth Rs 24,45,00,000 and will be completed within 6 months.

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The company has a market cap of over Rs 600 crore. According to half-yearly results, the company reported net sales of Rs 147 crore, operating profit of Rs 14 crore and net profit of Rs 8 crore in H1FY24. In its annual results, the net sales increased by 41.5 per cent to Rs 266 crore, operating profit increased by 211.1 per cent to Rs 28 crore and net profit increased by 1,300 per cent to Rs 14 crore in FY23 over FY22.

Today, the shares of Megatherm Induction Ltd gained 8.65 per cent to Rs 313.95 per share from its previous closing of Rs 288.95. The company's shares have an ROE of 32 per cent and an ROCE of 30 per cent. The stock is up by 61 per cent from its 52-week low of Rs 195 per share. Investors should keep an eye on this stock.

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