Here's what fuelled this small-cap infra stock to surge 8% on bourses

Shares of infrastructure development and industrial capacity expansion services provider Tara Chand Infralogistics Solutions were in high demand on the bourses on Monday, October 13. The small-cap stock surged 8 per cent to log an intraday high of ₹94 per share on the NSE after the company announced that it has won receipt of domestic orders from independent companies of a consolidated value of ₹58.76 crore.

 

The orders, the company said, pertain to the deployment of advanced machinery and skilled manpower for equipment rental and the execution of specialised contract services. The contracts are scheduled to commence in Q3 of FY2025-26 and will be executed over a span of one year, concluding by the end of Q2 FY2026-27.

 

“This development reaffirms the company’s growth trajectory and reaffirms its robust capabilities in delivering integrated infrastructure solutions across key sectors of Renewable Energy, Cement, Power, and Railways infrastructure,” the company said in a release.

 

Tara Chand Infra provides infrastructure development and industrial capacity expansion services in India. The company’s services are divided into three main verticals: warehousing and multi-modal transportation, construction equipment rental, and turnkey infrastructure project execution. The company serves various sectors, including power, oil and gas, steel, cement, and urban infrastructure, and is known for its safety-first motto. As of October 13, the company enjoys a market capitalisation of ₹723.22 crore on the NSE.

 

The company’s shares continue to trade with gains. At 2:19 PM, the company was quoted exchanging hands at ₹91.68 per share, higher by 5.43 per cent from their previous close of ₹86.96 per share on the NSE. Nearly 0.78 million equity shares of the company worth ₹7.13 crore have exchanged hands on the NSE so far.

 

At the current levels, the stock’s price-to-earnings (PE) ratio stands at 27.35, while its price-to-book (P/B) value ratio is 6.04. The earnings per share (EPS) for Tara Chand Infralogistic Solutions Ltd, based on trailing 12-month data, is ₹3.40.

 

The company’s share price has nearly doubled from its 52-week low per share of ₹46.50, touched on January 30 this year.

 

The company’s shares scaled their 52-week high of ₹97.60 per share on the NSE on November 4, 2024.

 

Meanwhile, broader market sentiments remained weak amid global cues dragging the benchmarks. The Sensex was down 256 points or 0.31 per cent at 82,244 levels, while the NSE Nifty50 fell 82 points or 0.33 per cent to 25,202.