Multibagger Stock: Hi-Tech Pipes climbed 250% in less than two years, over 500% in 3 years; should you buy?

livemint.com:

Hi-Tech Pipes, a leading player in Indian piping, were ecstatic with its stock performance in recent years. The stock began its upward rally in June 2022 and has maintained the same momentum to date, yielding a fabulous return of 250%, climbing from ₹40 apiece to the current level of ₹139.75 apiece.

The stock recorded gains in six of the previous nine months, with October posting the largest gain of 27%, followed by July's 26.7%. Zooming out, over the last three years, the stock has risen from ₹23 apiece to the current market price of ₹139.75, providing shareholders with a massive return of 507%.

Hi-Tech Pipes, incorporated in 1985, is a manufacturer of Electric Resistance Welded (ERW) steel tubes and pipes, square hollow sections, rectangular hollow sections, solar torque tubes, GI and GP pipes, cold-rolled coils and strips, galvanised plain and corrugated sheets, color-coated coils, and metal beam crash barriers, among others (currently, it has a total of 1,200+ SKUs). The end usage of these products varies across several sectors like agriculture, automotive, infrastructure, architecture and construction, and industrials, among others.

Also Read: ₹1.20 to ₹28.25: Reliance ADAG penny stock gives 2250% return in four years In a recent note, domestic brokerage firm Antique Stock Broking initiated coverage on the company shares with a 'buy' rating and set a target price of ₹200, citing growth opportunities in India's steel tube market. This target price indicates a potential upside of 43% from the stock's previous closing price.