Multibagger Stock Alert: Transformers & Rectifiers India Hits 5% Upper Circuit for Second Consecutive Session – Here’s Why

Multibagger Stock Alert: Transformers & Rectifiers India Hits 5% Upper Circuit for Second Consecutive Session – Here’s Why

Multibagger Stock Alert : Shares of Transformers & Rectifiers India Ltd. (TRIL) surged once again, hitting the 5% upper circuit for the second straight trading session on February 20, 2025, as investor confidence continues to soar. The stock, now priced at ₹405 per share, has been on a relentless upward trend, delivering multibagger returns to its shareholders.

But what’s fueling this rally? Let’s dive into the key reasons behind TRIL’s remarkable surge.


Major Order Win of ₹166.45 Crore Fuels Buying Sentiment

The latest surge in TRIL’s stock price is largely driven by its recent ₹166.45 crore domestic order win. The company informed the stock exchanges that it has secured a transformer supply order from Hyosung T&D India Private Limited, a major player in power transmission and distribution.

The order includes the supply of single-phase coupling transformers and single-phase transformers for Tariff-Based Competitive Bidding (TBCB) projects. The execution of this order is expected to be completed within the next financial year, strengthening the company’s revenue pipeline.


Second Large Order in a Month

This isn’t the first major order for TRIL in recent weeks. In January 2025, the company had already bagged a ₹362 crore order from multiple high-profile clients, including:
Power Grid Corporation of India
KEC International

This steady stream of large contracts indicates strong demand for TRIL’s transformers, reinforcing its position as a leading manufacturer in India’s growing power sector.


Strong Technological Advancements Driving Growth

Apart from order inflows, TRIL has also been making significant strides in technological advancements.

🔹 Successful Completion of Short Circuit Test – The company recently completed a successful short circuit test on an 8.8 MVA 33/2X0.690 kV Inverter Duty Transformer with aluminum winding at CPRI, Bangalore. These transformers are crucial for renewable energy transmission, making TRIL a key player in India’s clean energy expansion.

🔹 Launch of 245 kV High Voltage Bushings – In a major breakthrough, TRIL’s subsidiary, TARIL Switchgear Private Limited, has introduced 245 kV High Voltage Bushings, further enhancing the company’s product portfolio.


A True Wealth Creator: Stock Surges Over 2,664% Since 2022

Long-term investors in Transformers & Rectifiers India have witnessed massive wealth creation. The stock has skyrocketed from ₹14.65 in July 2022 to ₹405 in February 2025, delivering a staggering return of 2,664%.

This relentless bull run has been supported by:
Consistent order wins
Rising demand for power infrastructure
Strong financial performance

With India aggressively expanding its power transmission network and renewable energy capacity, TRIL remains well-positioned for long-term growth.


Robust Financial Performance: Strong Q3FY25 Results

TRIL’s latest quarterly results highlight the company’s impressive financial growth:

📌 Revenue from operations jumped 52% YoY to ₹559 crore
📌 Net profit surged 243% YoY to ₹55 crore
📌 New order inflows in Q3FY25 amounted to ₹631 crore
📌 Unexecuted order book stands at ₹3,686 crore
📌 ₹19,000 crore worth of inquiries under negotiation

With such a strong order pipeline and robust execution capabilities, TRIL’s financials are expected to continue improving in the coming quarters.


Transformers & Rectifiers India: Key Financial Ratios & Market Data

MetricValue
Market Cap₹12,161 Cr.
Current Price₹405
52-Week High/Low₹650 / ₹151
Stock P/E76.0
Book Value₹36.8
Dividend Yield0.03%
Return on Capital Employed (ROCE)14.8%
Return on Equity (ROE)9.33%
Debt to Equity Ratio0.22
Promoter Holding64.4%
Pledged Percentage21.8%
Quarterly Profit Variation252%
Industry P/E45.8
EPS (Earnings Per Share)₹5.40
PEG Ratio1.33
200-Day Moving Average (DMA 200)₹404
Free Cash Flow (3 Years)₹26.9 Cr.

What’s Driving TRIL’s Growth?

🚀 Government Push for Power Infrastructure – India is investing heavily in power transmission, renewable energy, and grid modernization, leading to increased demand for transformers.

🔋 Rise in Renewable Energy Adoption – With the expansion of solar and wind energy projects, there is a growing need for Inverter Duty Transformers, a segment where TRIL has a strong foothold.

📈 Consistent Order Wins – The company’s strong order pipeline ensures revenue visibility and long-term business stability.

💰 Strong Institutional & Promoter Backing – With 64.4% promoter holding, TRIL remains a high-conviction bet among long-term investors.


Conclusion: Should You Invest in TRIL?

Transformers & Rectifiers India is emerging as one of the fastest-growing transformer manufacturers in India. Backed by strong order inflows, rising profitability, and favorable industry tailwinds, TRIL has delivered exceptional returns to its investors.

While the stock has seen a significant rally, investors should keep an eye on valuation metrics, pledged shares, and industry trends before making an investment decision.

With India’s power sector expansion and renewable energy push, TRIL is likely to remain a strong player in the transformer industry, making it an interesting stock to watch for both long-term investors and momentum traders.

💡 What’s your take on TRIL? Will it continue its upward journey? Drop your thoughts in the comments! 🚀🔥

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Disclaimer: This blog post is for informational purposes only and should not be considered financial advice. Investors should conduct thorough research and consult with a qualified financial advisor before making any investment decisions.

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