Rs 15,805 crore order book: Heavy buying in this civil construction stock as it receives order worth Rs 645.70 crore from MSEDCL; scrip hit 52-week high!

Kiran Shroff
/ Categories: Trending, Mindshare
Rs 15,805 crore order book: Heavy buying in this civil construction stock as it receives order worth Rs 645.70 crore from MSEDCL; scrip hit 52-week high!

The stock is up by 76 per cent from its 52-week low of Rs 70.10 per share.

On Friday, one of the Top Gainers on BSE, shares of Ashoka Buildcon Ltd surged 10.23 per cent to make a new 52-week high of Rs 123.40 per share from its previous closing of Rs 111.95. At the closing bell, shares of the company were trading at Rs 122.15 per share, up 9.11 per cent with a spurt in volume by more than 2.05 times on BSE.

Earlier, the company was awarded a contract worth Rs 645.70 crore by the Maharashtra State Electricity Distribution Company Limited (MSEDCL) to develop distribution infrastructure under the Revamped Distribution Sector Scheme (RDSS) for loss reduction works in four circles in the state of Maharashtra:

  1. Yavatmal Circle Amravati Zone (Rs 167.02 crore)
  2. Nashik Urban Circle Nashik Zone (Rs 134.43 crore)
  3. Latur Circle Latur Zone (Rs 170.99 crore)
  4. Osmanabad Circle Latur Zone (Rs 173.26 crore)

Ashoka Buildcon Ltd is engaged in the construction and infrastructure facilities business on an EPC (engineering, procurement and construction) and BOT (Build-Operate-Transfer) basis. It is also involved in the sale of RMC (ready-mix concrete).

Order Book Updates: The company's current order book as of June 30, 2023, stands at Rs 15,805 crore. Furthermore, the company has already secured projects worth more than Rs 3,000 crore for FY23-24, bringing the total order book to Rs 18,805 crore.

The company has a market cap of over Rs 3,400 crore and reported positive numbers in its Quarterly Results and annual results. The shares of this company are trading at a PE multiple of 5x, an ROE of 27 per cent and an ROCE of 39 per cent, all of which point to strong managerial performance.

The stock is up by 76 per cent from its 52-week low of Rs 70.10 per share. Investors should keep an eye on this Small-Cap stock for upcoming trading sessions.

Disclaimer: The article is for informational purposes only and not investment advice. 

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