InvestorQ : Why are the shares of Power Mech Projects at yearly high levels and what has been the trigger for the stock spike?
Sam Eswaran made post

Why are the shares of Power Mech Projects at yearly high levels and what has been the trigger for the stock spike?

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Moii Chavate answered.
1 month ago
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Hyderabad based Power Mech Projects (PMPL) hit a new high of Rs1,299 on Friday and has gained over 12% just in the last 2 days. The trigger was the massive Rs6,163 crore order for a total of five flue gas desulphurization [FGD] projects from Adani Group. The stock is up nearly 52% in the last one month. These EPC projects will be implemented over the course of next 30 months. Power Mech will also undertake the operation & maintenance (O&M) of the units. PMPL has tie-ups with proven technology partners in installing these FGDs.

For Power Mech, these orders will not only enhance their national profile but also strengthen their already robust order book. The projected revenues flowing in from FGD system projects will enable the company to enjoy sustainable margins In the future. The order could be a game changer and the talks have been doing the rounds for some time, which had led to a sharp rally in the stock in the last few weeks.

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