Schneider Electric Shares Surge 8%; hit 52-Week High Today

Thanks to significant gains in the banking and financial services sectors, Indian benchmark indices opened the session higher and reached a new record high on the bourses. The top losing sectors of the session were BSE Telecommunication and BSE Metals. 

Unexpectedly, broader indices were lagging behind the main indices. On the other hand, the robust uptrend of Schneider Electric Infrastructure Ltd, a small-cap heavy electrical equipment company, attracted investors. On an intraday basis on Tuesday, shares of Schneider Electric Infrastructure Ltd climbed around 8%, reaching a 52-week high of Rs 303.95 per share on the BSE. 

Shares of the company have soared more than 180% over the past year, and in only three months, they have generated outstanding returns of about 83%! One of the main drivers of the rally is the company’s outstanding quarter performance. 

Considering the company’s quarterly financial performance, it recorded a considerable growth of 20.73% from Rs 340.02 crore registered in Q4FY22, recording total revenue of Rs 410.51 crore in Q4FY23. When comparing the net profit for the fourth quarter of FY23 to the same quarter the previous year, it soared by leaps and bounds from Rs 0.07 crore to Rs 44.84 crore.   

Incorporated in 2011, Schneider Electric Infrastructure is in the business of designing, developing, constructing, and maintaining cutting-edge systems and products for the electricity network. Schneider Electric Infrastructure manufactures a wide range of products, including transformers, power transformers, switchgear, medium voltage switchgear, protection relays, differential relays, electricity distribution management systems, and a software suite for self-healing smart grid, e-house, and smart cities applications.   

The industry’s growth rate is expected to accelerate at a CAGR of 9% from 2021 to 2025, with the electrical equipment market share in India projected to grow by USD 33.74 billion.    

Keep a close eye on this stock for the upcoming sessions!   

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet, and is subject to changes. Please consult an expert before making related decisions.