Share price of Transformers and Rectifiers rises amid new order, 1,120% two-year return

Transformers and Rectifiers (India) Ltd witnessed a notable gain of over 2% in early trade on Wednesday after securing a significant order worth ₹166.45 crore. The stock surged as much as 2.42% to ₹376.45 per share on the BSE despite overall weakness in the Indian stock market.

₹166.45 Crore Order Secured from Hyosung T&D India

In an exchange filing dated February 18, Transformers and Rectifiers (India) Ltd announced that it had received orders worth ₹166.45 crore from Hyosung T&D India. The order involves the supply of single-phase coupling transformers and single-phase transformers for TBCB projects

The company has confirmed that the execution and delivery of these transformers will be completed by the next financial year.

Company Statement:

"The Company is committed to delivering high-quality products and services and has established itself as a leading manufacturer of transformers in the country over time"

Recent Developments: Launch of 245 kV High Voltage Bushings

Additionally, on February 17, the company's subsidiary, TARIL Switchgear Private Limited, announced the launch of its 245 kV High Voltage Bushings. This launch marks a significant technological advancement in high-voltage electrical equipment.

Transformers and Rectifiers Stock Performance: A Multibagger Story

Despite short-term volatility, Transformers and Rectifiers has been a multi-bagger stock, delivering outstanding returns over the past few years:

• 1-Year Return: 119%
• 2-Year Return: 1,120%
• 5-Year Return: 8,400%

However, in the short term, the stock has faced some corrections:

• 1-Month Performance: Down 26%
• Year-to-Date (YTD) Performance: Down 37%
• 3-Month Performance: Down 20%
• 6-Month Performance: Up 7%

Market Reaction and Current Stock Price

As of 9:25 AM, Transformers and Rectifiers shares were trading 2.03% higher at ₹375.00 per share on the BSE.

This positive movement suggests strong investor confidence in the company's long-term growth potential, which is driven by its expanding order book and technological advancements.