Shares of industrial turbine maker Triveni Turbine Limited have doubled investors’ money in the last 12 months. In the past one year, the share price jumped from Rs 101.9 to Rs 205.30, logging more than 100 per cent return in this period.
The stock ended 1.38 per cent higher at Rs 201.70 against the previous close of Rs 198.95 on BSE. It rose 3 per cent to hit an intraday high of Rs 205.30 on BSE.
With a market capitalisation of more than Rs 6,500 crore, the shares stand higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages.
Should you buy?
“Triveni Turbine Limited has a sustainable earnings growth so far, mainly on back of higher revenues. The company has posted nearly 30 per cent rise in net profit in the last quarter which is an impressive number on industry parameters,” Dr. Ravi Singh-Vice President and Head of Research ShareIndia told Business Today.
“Recently, one of its subsidiary has entered into an agreement to acquire 70 per cent equity of TSE Engineering in South Africa, which will benefit the business in long term,” he said.
He added that the company seems bullish on technical setup also and investors may take buy positions at current level for the target of 220 – 240 levels for a long term prospective.
Q3 performance
In the December quarter, the firm reported a 30 per cent jump in net profit to Rs 35.67 crore against Rs 27.54 crore in the corresponding quarter of previous fiscal.
Net sales jumped 30 per cent to Rs 225.15 crore in the last quarter against Rs 173.56 crore in the December quarter of 2020.
Triveni Turbine informed that its R&D in alternate energy solutions and technologies such as supercritical carbon dioxide is progressing and on track with the commercialization and prototype timelines. It aims to exit the current fiscal year with an order book of Rs 1,200 crore.
Over the last two years the company has been working to bring these solutions for the petroleum sector also and helping the carbon-heavy industry bring down its carbon footprint, it added.
About the company
Triveni Turbines is the largest manufacturer of industrial steam turbines in more than 5 to 30 MW range globally. The company designs and manufactures steam turbines up to 100 MW.
It was demerged from its parent company, Triveni Engineering and Industries Limited which holds 21.85 per cent equity capital of TTL, in 2010 to emerge as a pure-play turbine manufacturer.