Voltamp Transformers Stock Soars on Major Order Win
Shares of Voltamp Transformers experienced a significant upward movement during early trading on Friday, climbing more than 6% after the company made a major business announcement. The heavy electrical equipment manufacturer revealed it had secured a substantial new contract, triggering positive investor sentiment and driving the stock price higher.
Details of the ₹85 Crore Contract
The company confirmed receiving a Letter of Intent (LoI) from Gujarat Energy Transmission Corporation Limited valued at ₹85.05 crore, inclusive of GST. This significant order involves the comprehensive process of designing, manufacturing, testing, and supplying various ratings of Power Transformers. All equipment will be produced according to the detailed specifications outlined in the tender documents. The company has committed to executing this entire project within a strict timeframe of six months.
Stock Performance and Market Reaction
Following the announcement, investor enthusiasm was immediately visible in the market. The small-cap stock surged as much as 6.17% to reach ₹8,566.75 per share on the Bombay Stock Exchange (BSE). By 10:35 AM, the stock was still trading strongly, maintaining a 5.65% gain at ₹8,524.70 per share. This recent performance adds to the stock's impressive 19% gain over the past month, though it still shows an 18% decline on a year-to-date basis.
Looking at the broader performance picture reveals an interesting trajectory. While the stock has faced some short-term challenges, its long-term track record remains remarkably strong. Over a three-year period, Voltamp Transformers has delivered multibagger returns of 205%, and an even more impressive five-year gain of 623%, demonstrating substantial value creation for long-term investors despite recent volatility.
