Multibagger alert: This IT company has almost tripled its investors’ wealth in the last two years!

During the last 2 years, the company’s share price has steadily appreciated by over 290% on the bourses.

Cyient Ltd, an S&P BSE 500 company, has turned into a multibagger after its stock delivered brilliant returns to its shareholders in the last two years. During this period, the company’s share price has steadily ascended by 293%, going from Rs 221.40 on 5 May 2020 to Rs 870.30 on 5 May 2022. An investment of Rs 1 lakh in this stock last year would have turned to Rs 2.9 lakh today.

Cyient Ltd is a global engineering and technology solutions company. It helps customers across their value chain helping to design, build, operate, and maintain the products and services that make them leaders and respected brands in their industries and markets.

The company delivers its services and solutions to a diversified base of over 300 customers, including 29 Fortune 500 companies, across multiple industries. It provides its services to 14 countries across the globe and its associates count stands at 13,000.

Yesterday, the company completed the acquisition of Grit Consulting, a Singapore-based firm. This move was undertaken to strengthen its global technology consulting practice. Further, the company has also signed an MoU with IIT Hyderabad (IITH) and WiSig Networks, a startup incubated at IITH, to enable volume production of India's first architected and designed chip - the Koala NB-loT SoC {Narrowband-loT System-on-Chip).

In the recent quarter Q4FY22, on a consolidated basis, the company’s net revenue has increased by 8.06% YoY to Rs 1181.20 crore. Similarly, the company clocked a PAT of Rs 154.20, displaying a surge of 49.5% YoY.

On the valuation front, the company is currently trading at a TTM PE of 18.38x, as against the industry PE of 29.31x. In FY22, the company delivered an ROE & ROCE of 16.76% and 23.65% respectively.

At 12.23 pm, the shares of Cyient Ltd were trading at Rs 851.80, a decrease of 2.13% from the previous day’s closing price of Rs 870.30 on BSE. The stock has a 52-week high & low of Rs 1292 and Rs 747 respectively on BSE.