Multibagger stock: Cummins India records over 270% surge in 2 years, gains 1270% from 2020 low

livemint.com:

Cummins India, one of the leading power solution providers, have consistently exhibited a robust upward trajectory. Out of the last 24 months, the stock has only recorded losses in five, and those losses were minor.Also Read: NBCC shares rise 5%, surge over 233% in last one year; what’s behind the rally?During this period, the shares have grown from ₹1,030 apiece to the current market price of ₹3,834 apiece, resulting in massive gains of 272%.

In the current year so far, the stock jumped 95.25%, the largest yearly gain since 2009.Additionally, the stock is trading 1270% higher compared to its 2020 low of ₹280 per share. On May 18, it reached a new all-time high of ₹3,895 per share.Cummins India is a leading manufacturer of diesel and natural gas engines.

The company is engaged in the business of manufacturing, trading, and selling engines and allied activities. It presently operates in three business segments: engines, power systems, and distribution.The demand across all segments continues to show strength.

Specifically, the power generation segment is receiving support from data centers, commercial real estate, residential real estate, infrastructure, and manufacturing sectors. Also Read: Schneider Electric stock hits 5% lower circuit for 4th day in a row, down 22% from recent high – here's whyAnalysts anticipate that these demand drivers will persist as there has been an increase in data center capacity, as well as in the launch of residential and commercial projects over the past three years.In the industrial segment, demand is bolstered by the government's ongoing focus on infrastructure development.