By Malvika Gurung
Investing.com -- Shares of Ramkrishna Forgings (NS:RKFO) gained 3.77% on Thursday and hit an all-time high of Rs 617.95 apiece during the session, rising for the fifth day in a row.
The small-cap stock has rallied a whopping 133.4% so far this year and skyrocketed 218.85% over the past one year, making it multibagger in nature.
The stock rose to a new record high after Ramkrishna Forgings announced on August 17, 2023, that it has won a significant business contract worth 16 million euros or approximately Rs 1,450 million.
The contract has been awarded to the company under a long-term agreement that spans over a duration of four years, which bolsters Ramkrishna Forgings’ position in the European Original Equipment Manufacturer (OEM) sector.
One of the leading suppliers of rolled, forged, and machined products, Ramkrishna Forgings will now produce and deliver Differential components, after having served the same OEM for the past five years by supplying Front Axle Components.
Bagging this new business marks a key achievement for the forgings major, as it leverages the company’s proven track record and expertise to venture into a new realm of automotive components.
Through the said development, Ramkrishna Forgings expects to deepen its foothold in Europe by expanding its product range and contributing to the efficiency and performance of vehicles in the region.
“We are delighted to have been awarded this significant contract, which not only attests to the quality of our products but also demonstrates the trust that OEMs place in our capabilities,” said the Whole Time Director & CFO of the company, Lalit Kumar Khetan.