 "Usha Martin zooms 18% after over 10% equity change hands; up 27% in 2 days")
Shares of Usha Martin hit a record high of Rs 433.70, as they zoomed 18 per cent on the National Stock Exchange (NSE) in Friday’s intraday trade, after more than 10 per cent equity of the company changed hands on the NSE and BSE.
At 01:54 PM, Usha Martin shares were trading 13 per cent higher at Rs 414.75 on the NSE. In comparison, the Nifty 50 was down 0.14 per cent at 24,964.
As many as 35.7 million equity shares, representing 12.6 per cent of total equity of the company, have changed hands on the NSE (34.5 million) and BSE (1.2 million), data showed.
As many as 35.7 million equity shares, representing 12.6 per cent of total equity of the company, have changed hands on the NSE (34.5 million) and BSE (1.2 million), data showed.
The stock of the steel wire ropes manufacturer has surged 27 per cent in the past two trading sessions. The smallcap stock has surpassed its previous high of Rs 427.30 that it touched on July 5, 2024.
Usha Martin is a leading global specialty steel wire rope solutions provider. The company specialises in producing high performance and high value specialty wire ropes, low relaxation pre-stressed concrete steel strand (LRPC), wires, prestressing solutions, and cables, apart from providing bespoke end-fitments, accessories and related services.
While announcing its June quarter (Q1FY25) results on August 12, 2024, the company's management had said they anticipate a stronger performance in the second half of the year. Domestically, with the rapid pace of infrastructure projects such as bridges, ropeways, and high-speed railways, coupled with the expansion in tier II and tier III cities, the management sounded optimistic about the potential of the domestic market.
"Overall, the business pipeline remains promising in both overseas and Indian markets, particularly for the company’s high-end specialty offerings," it added.
"Overall, the business pipeline remains promising in both overseas and Indian markets, particularly for the company’s high-end specialty offerings," it added.
Looking ahead, the company’s focus remains on value-driven volume expansion to enhance operational and financial performance. The management anticipates maintaining the development momentum as the company builds on the progress from multiple growth initiatives it has undertaken.
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"With a robust economy poised for growth, fuelled by technological advancements and government initiatives, the business landscape is ripe with opportunities," Usha Martin said in its FY24 annual report.
"Further, the expectation of picking–up of government, private and public private partnership spending on infrastructure development projects like highways, railways, airports, ports, building construction, transportation, material handling and 'housing for all' and 'smart city' projects may be growth drivers for both the economy as well as for connected industries," it added.
"Further, the expectation of picking–up of government, private and public private partnership spending on infrastructure development projects like highways, railways, airports, ports, building construction, transportation, material handling and 'housing for all' and 'smart city' projects may be growth drivers for both the economy as well as for connected industries," it added.
The company further believes that growth in both oil and gas and renewable energy sectors, particularly in offshore wind projects, presents compelling opportunities for the company's products.
Increasing activity and volume in shipping and container terminals is further expected to boost demand for products of the company, it noted, while adding that the mining sector in Latin America presents a promising opportunity for export growth.
Increasing activity and volume in shipping and container terminals is further expected to boost demand for products of the company, it noted, while adding that the mining sector in Latin America presents a promising opportunity for export growth.