Shilchar Technologies one of the multibagger of this era. In order to understand the how company did well and what is their current and future plans , we need to dive into their project and some insight into what they do. So Research on Shilchar Technologies -A multibagger article is trying to find out what good they have done and what are their future plans.
In order to study the details, we had done research on their financial report and also con call report as of February 2 2024.
It was founded in 1990, Vadodara. This company is engaged in electronics and telecommunication transformer for solar and wind energy. Its renewable energy sector so they make oil cool transformers.
Shilchar Technologies are supplying transformer for solar and wind energy sectors. Over the last 4 years Shilchar Technologies has become a multibagger stock for investors.
The current price is 6,246.25 RS ( As of today)with a market cap of 4938cr. ( Check here)It has gain 577 percent over the past year. It records a high of 6769.50 in 24/04/2024.CAGR And net profit is increasing year by year. Research on Shilchar Technologies -A multibagger provides information about stock technical and fundamentals.
Research on Shilchar Technologies -A multibagger.
What does Shilchar Technologies do?
As we mentioned previously we have gone through their fundamentals and also con call report so that we can find details. Con call report is found in both screener and Stock Edge website.
Here are the things what they actually done which turned good for them.
They now provide service to a wide section of industrial sector from utility to renewable energy sector and to individual retail customers across the globe.
Which sector is Shilchar Technologies in?
Exports of Transformers. These exports are not in third world countries like Africa and other places but they are in Middle East like Saudi Arabia, Kuwait UAE Oman and also in North America in USA and Canada.
In order to export , quality has to be good, which is the selling point to this company.
Shilchar Technologies is a small cap firm, current price is 6475Rs with a market cap of 4938cr.This is one of the leading suppliers of transformers for power distribution and electronics and telecommunications industries.
Board has recommended Dividend of 100% (i.e. Rs 10/- per share) on the equity shares of Rs.10/- each to its shareholders. This company is declaring the dividend in the past 5 years. It has declared 118 dividends since august 7,2002.
Sales is increased and current year its almost 42% which is more than last 5 or 10 years.
Fundamentals checked on Screener website suggests that it has provided compounded results. (Read More for how to check fundaments)
Future plans of Shilchar Technologies
1)Shilchar Technologies is presently investing to set up a research and development facility and multiple testing facilities to enhance its product offerings.
2)Company spent Rs 55.24cr and 23.82cr in FY23 and FY22 respectively as capital expenditure towards property, plant and equipment.
3) As per company MD , they are confident that they can maintain the sort of margin that they have so as of now. If you look their results since last four quarters, they have been maintaining the margin. Whatever the order position they have on hand they will be able to sustain this margin for at least another one year.
Disclaimer: This is for educational purpose. This is not for recommendation. Before investing consult your financial advisor.
Conclusion:
There are some new things happened in company which can be good factor. For Example, they have made a new plant about five years back which is a very efficient plan which is profitability and other is that export has also gone up with a new plant.
Since system has the good quality standards and everything improved so they started getting more orders from our export customer Ahmedabad.
Demand is increased so that is also post the margin combining these three factors have increased the profitability. So as per these commentaries from management company has delivered good growth.
By all these factors Shilchar has provided a good multibagger results for investor. And has potential to provide more returns in future.
FAQ
1)What do Shilchar Technologies do?
Shilchar Technologies are supplying transformer for solar and wind energy sectors.They now provide service to a wide section of industrial sector from utility to renewable energy sector and to individual retail customers across the globe.
Exports of Transformers. These exports are not in third world countries like Africa and other places but they are in Middle East like Saudi Arabia, Kuwait UAE Oman and also in North America in USA and Canada
2) What does Shilchar Technologies manufacture?
This company is engaged in electronics and telecommunication transformer for solar and wind energy. Its renewable energy sector so they make oil cool transformers.