Contract Windfall! Civil Construction Stock Soars After BHEL Order (36 Crore)

Today, shares of Atmastco Ltd fell by 2.31 per cent, closing at Rs 247.10 per share, down from the previous Rs 252.95. The stock experienced an intraday high of Rs 265.55 and a low of Rs 245.05. Over the past year, it has ranged between a 52-week high of Rs 303.10 and a low of Rs 90.05.

Atmastco Ltd has received a letter of intent from Bharat Heavy Electricals Limited (BHEL) for the fabrication and supply of PG 35 Columns for the NTPC LARA Project, valued at Rs 36 crore. This domestic contract is to be executed by December 2024 under the OVM model.

The company operates across three main sectors: engineering, procurement, and construction (EPC), fabrication/manufacturing, and defense. They provide turnkey solutions for ferrous and non-ferrous projects, handling everything from design to completion, and offer comprehensive project management services through their EPC division.

In the fabrication and manufacturing division, Atmastco designs, manufactures, and supplies precision equipment and heavy fabrication structures. Their products include building components and industrial equipment, catering to major clients such as BHEL, Adani, Tata Steel, and Vedanta. The company operates two manufacturing facilities in Durg district, Chhattisgarh.

With a market cap of over Rs 600 crore, Atmastco Ltd boasts a return on equity (ROE) of 30 per cent and a return on capital employed (ROCE) of 28 per cent. The stock has delivered multibagger returns of 175 per cent from its 52-week low, making it a noteworthy micro-cap stock for investors to watch.

News by Rahul Yelligetti