140% return in one year: Brokerage recommends buying this multibagger stock for over 30% return; know target price

The equity markets including the stock, derivative, and SLB parts, will be closed tomorrow May, May 19, due to the Mumbai elections. The Multi-Commodity Exchange (MCX) will be closed in the morning, but open in the evening.

Meanwhile, quarterly results of companies, global trends and business activities of foreign investors will decide the trend of the stock market this week. 

Market volatility may increase in the next few weeks. Nifty 50 closed at 22,506.75, While Sensex ended at 74,042.45 in Saturday's special trading session.

Brokerage Axis Securities picked Pitti Engineering Limited (PEL) stock for investors to buy. The stock has grown over 140 per cent in one year.

Axis Securities' view on PEL

Pitti Engineering is a leading company manufacturing electrical steel laminations. According to brokerage Axis Securities, the company's results in the fourth quarter of FY24 were good. PAT remained in line, while revenue was better than expected. There was strong growth in revenue due to an increase in value-added products. The brokerage says that PEL has strategically developed its products to meet market demand, which has led to improved profitability. These value-added products have also helped the company increase its competitive edge and attract more customers.

"The increasing demand for renewable energy and marine applications in the international market is expected to significantly support PEL's revenue growth and improve its profitability going forward. The company will benefit from the Pitti Casting (PCPL) merger and the Bagadia acquisition. The outlook of the sector is positive," said the brokerage.

Pitti Engineering Share Target Price

Axis Securities has maintained a 'buy rating' for the stock and given the target price of Rs 1,145. On May 18, 2024, the shares of the company closed at Rs 873.6 each, down 0.15 per cent from its previous close (May 17). In this way, the stock can rise upto 31 per cent from the current price.

This is a multibagger stock which has given 150 per cent returns in one year. While, the stock has jumped 221 per cent in two years and 1,180 per cent returns in three years.