Multibagger penny stock under Rs 85: This electrical equipment company bags new orders worth Rs 7,40,00,000 from L&T, Tata Power and other clients!

Alfa Transformers Limited manufactures small distribution transformers and offers related technical assistance and services. The company has bagged new orders worth Rs 7,40,00,000. Here are the details:

Order No – 1: The company has received purchase orders worth Rs 3.28 crore from Rungta Sons Pvt Ltd and OCL Iron & Steel Limited. The order includes the design, manufacturing and supply of transformers with off-load tap changers and will be completed by February 2024.

Order No – 2: The company have received 2 orders worth Rs 3.59 crore from Tata Power Southern Odisha Distribution Limited (TPSODL), a wholly owned subsidiary of Tata Power Ltd. The orders include the design, manufacturing and supply of transformers in the Vadodara plant & Bhubaneswar plant.

Order No – 3: The company received an order worth Rs 53 lakh from Larsen & Toubro Limited (L&T Ltd). The order includes the design, manufacturing and supply of transformers and will be completed in 3 months.

Today, shares of Alfa Transformers Limited were locked in a 5 per cent upper circuit to Rs 82.11 per share from its previous closing of Rs 78.20. The stock also made a new 52-week high of Rs 82.11 per share. In the recent trading sessions, the stock has been hitting back-to-back upper circuits and 52-week highs.

The company has a market cap of Rs 75 crore. The stock trades at a low PE of 9x and has a high ROE of 39 per cent. The stock gave multibagger returns of 120 per cent in 6 months, 600 per cent in 1 year and a whopping 860 per cent in 2 years. Investors should keep an eye on this micro-cap stock.

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