From ₹3.45 to ₹519: Multibagger penny stock turns ₹1 lakh into ₹1.50 crore in 5 years

Multibagger small-cap stock: Despite the market being under severe volatile conditions in the last few trading sessions, shares of Transformers & Rectifiers (India) have hit the 5% upper circuit limit for three consecutive sessions, resulting in a cumulative gain of 15% and taking the stock to ₹519.

This stellar rally began after the company delivered a better-than-expected performance in the March quarter, beating street estimates. On Tuesday, the company reported a more than two-fold jump in consolidated net profit to ₹94.20 crore for the quarter ended March 2025, compared to ₹39.93 crore in the same period last year.

The consolidated revenue from operations rose 32.96% YoY to ₹683.42 crore, while EBITDA stood at ₹140 crore. The EBITDA margin expanded by 540 basis points YoY to 19.4%, reflecting strong operational efficiency.

For the full financial year FY25, the power transformer maker reported a net profit of ₹216.44 crore, significantly higher than ₹47.01 crore in FY24, marking a nearly four-and-a-half-fold increase.

The company’s order book at the end of the March quarter stood at ₹5,132 crore. For FY26, the company has guided for an order book target of ₹8,000 crore, implying 56% YoY growth, along with an operating margin between 16% and 16–17%.

Over the medium term, TARIL is also aiming to achieve $1 billion in annual revenues within the next three to four years, driven by strong sector tailwinds and company-specific strategic initiatives.

According to Nuvama Institutional Equities, TARIL beat its Q4FY25 EBITDA and PAT estimates by 20% and 13%, respectively, benefiting from a 32% YoY surge in sales and margin expansion. The brokerage highlighted a strong FY25 order inflow of ₹4,500 crore, taking the order backlog to ₹5,130 crore, with a healthy pipeline of ₹2,200 crore.

Stock turns ₹1 lakh into ₹1.58 crore in 5 years

After ending the first two months of CY25 in negative territory amid weak market sentiment, the stock staged a strong comeback in March with a 39% surge. It has continued the positive momentum in the current month, gaining another 2% so far.

Looking back, the company’s shares have climbed from ₹28 to the current trading price of ₹519, representing a gain of 1,842%. Over the last five years, the stock has delivered even more impressive returns, rising from ₹3.45 to ₹519 — a gain of 15,000%.

If an investor had invested ₹1 lakh in the stock at the beginning of this period and held on, the investment would now be worth an impressive ₹1.50 crore.

About the company

TRIL serves a wide range of sectors, including power generation, transmission and distribution, railways, renewable energy, infrastructure, industrial manufacturing, and more. The company has a strong domestic market presence in India and has successfully expanded its footprint globally, exporting products to various countries in Asia, Africa, the Middle East, and beyond.

Its diverse product range includes power transformers up to 500 MVA & 1200 kV Class, furnace transformers, rectifiers, and distribution transformers, as well as specialty transformers.

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.