MIC Electronics, a smallcap company, has recently secured a significant order from Indian Railways, marking another milestone in its journey that has seen its stock price surge over 5500% in the last five years.
A Major Boost from Indian Railways
The Hyderabad-based MIC Electronics Limited, known for its battery manufacturing, announced it has received a Letter of Acceptance (LOA) from the Palakkad Division of Indian Railways. This order is for the supply, installation, testing, and commissioning of an IPIS (Integrated Passenger Information System) at Kannur station.
The project is part of the larger “Amrit Bharath Station Scheme,” which aims to enhance passenger amenities across railway stations. The order also includes a comprehensive annual maintenance contract (CAMC) for six years, adding to its long-term value.
The total value of this work order stands at Rs 1,28,34,157.90, which is approximately Rs 1.28 crore. This win highlights the company’s growing involvement in critical infrastructure projects.
Navigating the Stock Market: A Five-Year Surge
MIC Electronics has been a remarkable performer on the stock market over the past half-decade. Despite closing slightly down at Rs 54.84 apiece on Friday, July 18, the company’s share price has delivered astonishing returns to its long-term investors.
Looking at the broader picture, the stock has gained an astounding 5542.27% over the last five years. This incredible growth dwarfs its performance over shorter periods, such as a 40.42% decline in the last year.
However, the two-year and three-year returns also paint a strong picture, with gains of 132.99% and 308.74% respectively. The stock hit a 52-week high of Rs 114.79 in September last year and a 52-week low of Rs 49.50 earlier this year, indicating significant volatility alongside its long-term upward trend.
Company Profile and Shareholder Returns
MIC Electronics is classified as a smallcap company, with a market capitalization of Rs 1,321.71 crore on the NSE. Its business includes manufacturing various electronic products and systems, including LED displays and battery products.
While the company has not issued any bonus shares to its equity shareholders, it has a history of paying dividends. Records show that MIC Electronics distributed dividends of Re 0.40 in both 2008 and 2009, following a dividend of Rs 2 in 2007.
- MIC Electronics secured an Rs 1.28 crore order from Indian Railways for an IPIS system at Kannur station.
- The company’s stock has surged over 5500% in the last five years, showcasing significant long-term growth.
- Despite recent dips, the smallcap firm demonstrates strong multi-year returns for investors.
This latest railway order underscores MIC Electronics’ continued efforts to expand its footprint in large-scale government infrastructure projects, potentially setting the stage for future growth.
