Trading At A Discount of 61% From 52-Week-High, Penny Stock GG Engineering Bags Rs 320 Mn Order

Heavy electrical equipment make GG Engineering has announced that it has bagged fresh orders for infrastructural steel valued at about Rs 320 million which will be completed within the second quarter of the current financial year.

The company in a regulatory filing said that it is targeting a growth in revenue of more than 20 per cent from the infrastructural steel business during the current fiscal compared to the preceding year.

The company achieved Rs 995 million in revenues from infrastructural steel during FY 2022‐23 and has already executed Rs 332 million during 2023‐24 so far and the fresh orders will take it up to Rs 652 million by September 30, 2023.

The company is also in advanced stages of exploring to add new products including steel pipes and hollow sections to the infrastructure business offings which will add further to the targets set for the business.

Earlier, the company had finalised the basis of allotment of over 49 crore rights issue shares of face value of Re 1 each at a price of Re 1 per rights equity share. Vikasa Global Fund PCC-EUBILIA Capital Partners Fund acquired 45 lakh shares of GG Engineering, in a bulk transaction on Thursday. The company recently disclosed that it has received a Rs 21 crore order for the delivery of iron raw materials to reputable industrial firms which makes this stock likely to be in focus.

On Thursday, the shares of GG Engineering closed at Rs 1.23 apiece down by 14% from the previous close of Rs 1.43. As per the data of Groww, the scrip made a 52-week-high of Rs 3.16 and a 52-week-low of Rs 0.74, indicating that at the current market price the stock is trading 61.07% below the 1 year high and 66.21% above the 1 year low.