Multibagger Update: Only buyers seen in RMC Switchgears

SME stocks have managed to catch investors' attention in the past one year by multiplying their wealth in a year's time.

Gensol Engineering, Kotyark Industries, Advait Infratech, Sheetal Cool Products and Inflame Appliances are some of the SME stocks that have attracted investors with their outstanding returns.

RMC Switchgears is one of the SME stocks with a lot size of 2000 that has soared 164% in one month. On an intraday basis on Friday, the shares of RMC Switchgears rallied, achieving an all-time high of Rs 264.25 per share on BSE after being locked in the 5% upper circuit.

In the past one-year RMC Switchgears is up by more than 864%. RMC Switch gear, from the capital goods sector, has constantly hit back-to-back upper circuits. RMC Switchgears specializes in switchgear engineering and ECI contracts for the power distribution and transmission sectors.   

The electrical equipment industry has found a new market in semi-urban and rural India as a result of the country's improved electricity access. A favourable environment for the industry is being enabled by tailwinds like the government's emphasis on infrastructure, the real estate sector's revival and healthy demand visibility across numerous end-user industries. The power sector's new domestic sourcing rules and the ‘Make in India’ initiative are giving the electric equipment market a boost. 

RMC Switchgears Q2 results have been remarkable, and investors have responded enthusiastically to the announcement. The management has been bullish on the order book and has announced an extremely high growth phase for the company in the coming years. The positive outlook and outstanding results have provided the much-required ammunition for the bulls in RMC Switchgears. 

Keep a close eye on this scrip considering the promising long-term outlook for the sector and the excellent opportunities that RMC Switchgears has lined up.