Recently took a position in Elecon Engineering:-
Thesis: Co can do 2000+ crores of rev in FY24 with expanding ROCE and sustaining Ebitda Margins at 22%. Moreover they have launched new products like Planetary Gears.
Similar thing played out in one of the other capital good companies where demand for cheaper products led to super normal exports growth. Can it play out in Elecon along with Navy orders coming in (expecting 300 crores+). Lets see
Technically: stock has broken out post results with high volumes and Relative strength vs the sector is greater. Part of satellite Portfolio.
Disclaimer: Make independent buy and selling decisions. Not a reco to buy or sell by any means.
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