Multibagger agri stock hits upper circuit on Rs 558-crore order win in UP

Shares of multibagger Shakti Pumps hit upper circuit of 5% today after the agriculture sector related firm said it has received Letter of Intent from the department of agriculture, Uttar Pradesh for 12,537 pumps for the entire state under Component-B of PM-KUSUM scheme (Phase-III). Value of the order is Rs 558.16 crore.

Shakti Pumps stock hit upper circuit of 5% at rs 4695.45 on Friday on BSE. Total 0.37 lakh shares of the firm changed hands amounting to a turnover of Rs 17.15 crore. The multibagger stock fell to a 52-week low of Rs 618.50 on August 14, 2023 and rose to a record high of Rs 4740 on July 25, 2024.

Shakti Pumps stock has a beta of 0.5, indicating low volatility in year.

The stock has risen 576.19% in a year and gained 355% in 2024. Shakti Pumps stock is trading neither in the overbought nor in the oversold zone, signals relative strength index (RSI) of Shakti Pumps stock which stands at 64.2. Shakti Pumps shares are trading higher than the 5 day, 10 day, 20 day, 50 day, 100 day and 200 day moving averages.

Market cap of the pumps and motors maker climbed to Rs 9,407 crore.

“We would like to inform you that Shakti Pumps (India) Limited has received Letter of Intent from the Department of Agriculture, Uttar Pradesh for 12,537 pumps for the entire state of Uttar Pradesh under Component-B of PM-KUSUM scheme (Phase-III). The total value of the work order is approximately Rs. 558.16 Crores (inclusive of GST) which is to be executed within 31st March 2025. The order is to be executed in a phased manner on the basis of quantities defined under the letters of proceed (once received),” said the firm on Friday.

Shakti Pumps in Q1 reported a manifold jump in its consolidated profit after tax to Rs 92.6 crore on the back of higher revenues and healthy order book. The firm clocked a profit after tax (PAT) of Rs 1 crore in the April-June quarter of the preceding fiscal. The company's revenue from operations rose four-fold to Rs 567.6 crore in Q1 from Rs 113.1 crore in the year-ago quarter.

Shakti Pumps (India) is engaged in manufacturing of pumps, motors and their spare parts.The core products of the company are engineered pumps, industrial pumps, and solar pumps etc.