Shares of Transformers and Rectifiers have seen a significant surge, rising by as much as 11% to reach a day high of Rs 312 on December 15. This marks the second consecutive day of gains, with the stock rallying an impressive 30% over the same period.
The sharp rebound is attributed to value buying at lower levels, as the stock recovers from its 52-week low of Rs 230, which was touched last week on Thursday, December 11. Despite this recent bounce, the shares remain under pressure, down about 8% over the past month and nearly 50% so far this year.
The company reported a weak set of figures for the quarter ended September 30, which led to a stock rout last month. The consolidated net profit stood at Rs 37.45 crore, marking a sharp fall of nearly 20% from Rs 46 crore reported in the same quarter of the previous financial year.
Earlier this month, the company secured a Rs 53-crore order from Power Grid Corp for the delivery of HVDC converter transformers. This makes the company the first private sector player in India to secure such a contract, supporting the Government of India’s 'Make in India' initiative.
At the time of writing, shares of the company were trading at Rs 305, higher by 8.5% from the last close on the NSE.
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