Shakti Pumps Continues to Soar, Surges 18% to Reach New All-Time High
Shares of Shakti Pumps have witnessed a robust rally for the second consecutive session, with the stock surging another 18% in today’s intraday trade. The stock reached a new all-time high of ₹1,498 apiece, demonstrating its strong upward momentum.
A Remarkable Rally and Consistent Upward Trend
Shakti Pumps has shown an impressive rally, with the stock gaining 44% in the current month alone. What makes this surge even more noteworthy is the stock’s consistent upward trend since March 2023. The stock has closed eight out of the nine subsequent months in positive territory, resulting in a remarkable return of 264% in less than a year.
Land Sanctioned by MPIDC for Future Expansion
In a recent exchange filing, Shakti Pumps informed investors that the Madhya Pradesh Industrial Development Corporation Limited (MPIDC) has sanctioned 46 acres of land to the company. The land is situated at A-10 and B-86, Smart Industrial Township, Sector 7, Pithampur, Indore (M.P.) and will be utilized for future expansion.
Stellar Performance in Q3FY24
Shakti Pumps reported its December quarter numbers (Q3FY24) and showcased its highest-ever revenue and profitability in a quarter. The revenue from operations during the quarter soared to ₹495.6 crore, a significant increase of 57.7% compared to the previous year. The company’s EBITDA stood at ₹71.0 crore, reflecting an impressive rise from the previous year’s figures. The consolidated profit after tax came in at ₹45.2 crore, demonstrating a remarkable YoY growth of 301.8%.
Strong Order Book and Robust Growth Momentum
The stellar performance of Shakti Pumps can be attributed to its robust order book. Over the last six months, the company has secured orders from states like Haryana, Uttar Pradesh, Rajasthan, and Maharashtra. In December, the company secured new orders for Off-Grid solar photovoltaic water pumping systems (SPWPS) valued at ₹258 crore. Shakti Pumps currently holds approximately ₹2,250 crore worth of orders to be executed over the next 21 months, ensuring sustained and robust growth momentum in the future.
About Shakti Pumps
Shakti Pumps is a leading manufacturer of stainless-steel submersible pumps, pressure booster pumps, pump motors, controllers, and inverters. The company is one of the largest Indian solar pumping companies, with a significant share of the PM Kusum scheme. Shakti Pumps offers a wide range of products across various industries and has a strong presence in the domestic market. The company also operates globally, with a presence in over 100 countries.
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Analyst comment
Positive news: Shakti Pumps continues to soar, surging 18% to reach a new all-time high. The stock has shown a remarkable rally and consistent upward trend, with a gain of 44% in the current month alone. The company has also received land sanction for future expansion and reported stellar performance in Q3FY24. Furthermore, Shakti Pumps holds a strong order book, ensuring sustained and robust growth momentum in the future. As an analyst, I anticipate continued positive momentum in the market for Shakti Pumps.
