Shares of CG Power and Industrial Solutions (CG Power) have given exceptional returns to its investors in the past 3 years, jumping over 6000 percent in this period. From its COVID-low of ₹4.75, hit in March 2020, the stock has surged as much as 6139 percent to currently trade around ₹296.
An investment of ₹10,000 in the stock in 2020 would have turned into around ₹6.2 lakh now.
In the last 5 years, the stock has given multi-bagger returns, rallying 281 percent from around ₹77 in March 2018. Meanwhile, from its 52-week low of ₹157.90, hit in May 2022, the stock has advanced 87 percent. It recently hit its 52-week high of ₹338.50, in February 2023.
In the last one year, the stock has risen around 60 percent. Meanwhile, in 2023 YTD, the stock has added around 10 percent. It has lost 1.7 percent in March following a near 1 percent rise in February and a 12 percent gain in January.
CG Power and Industrial Solutions is engaged in providing end-to-end solutions to utilities, industries, and consumers for the management and application of electrical energy. The company offers products, services and solutions through two segments: Power Systems and Industrial Systems. Its power systems segment includes transformers, switchgear, automation and turnkey projects. Its industrial systems segment includes electric motors, alternators, drives, traction electronics and supervisory control and data acquisition systems (SCADA).
In the December quarter, the company reported a 58 percent fall in its net profit at ₹228 crore versus ₹545.06 crore in the year-ago period. Its total income rose to ₹1,809.95 crore in the quarter under review, up 16 percent YoY from ₹1,558.89 crore in the same period a year ago.
The company's board also approved a proposal to expand the manufacturing capacity of the power transformer and distribution transformer units at its plants in Malanpur and Bhopal at an investment of ₹126 crore during the quarter. The proposed expansion would increase the capacity from 17,000 MVA to 25,000 MVA for power transformers and from 6,900 MVA to 9,900 MVA for distribution transformers, it said.
A month ago, the stock was also added to the Morgan Stanley Capital International (MSCI) index in its semi-annual review.
However, it is important to note that you must always contact your financial advisor before making any changes to your portfolio.
Disclaimer: This story is for educational purposes only. Please speak to an investment advisor before making any investment decisions.