Synopsis: Small-cap transformer stock is in the spotlight after its promoter sold a stake in the company through a bulk deal.

An Indian company engaged in the business of manufacturing Electronics & Telecom and Power & Distribution transformers is in the spotlight today after its promoter sold a stake in the company through a bulk deal on October 23, 2025.

With a market capitalization of Rs. 5,036.61 crore, Shilchar Technologies Ltd is trading at Rs. 4,402.55, up by 0.57 percent from its previous close of Rs. 4,377.40 per equity share. The shares touched an intraday high of Rs. 4,422.80 in today’s trading session.

What’s the deal? 

In the latest BSE bulk deal, promoter Alay Jitendra Shah sold 1 lakh shares, representing a 0.87% stake, at an average price of Rs. 4,373.09 per share, totaling Rs 43.73 crore. In the prior trading session, he had sold a 1.02% stake (1.17 lakh shares) for Rs 50.89 crore. As of the latest shareholding pattern, the promoter Alay Jitendra Shah holds 23.68 percent stake (27,09,548 shares) in the company. 

About the company

Shilchar Technologies Limited, based in Vadodara and incorporated in 1986, manufactures and sells a wide range of transformers and related components, including power, distribution, furnace, telecom, R-core, high-frequency, toroidal, and control transformers, as well as inductors and chokes for solar and wind energy. The company serves private utilities, renewable energy, cement, sugar, steel, hydrocarbon industries, large EPC contractors, corporate clients, and power plant developers, and also exports its products. 

It is trading at a price-to-earnings (P/E) ratio of 28.4x, which is lower than the industry average of 38x. A return on equity (ROE) of 52.9 percent and a return on capital employed (ROCE) of about 71.3 percent demonstrate the company’s financial position. 

Shilchar Technologies Limited reported Rs. 171 crore in revenue for the second quarter of FY26, a 30.53 percent increase over the Rs. 131 crore for the same period in FY25. It increased by 7.55 percent as compared to Rs. 159 crore in Q1 FY26.

The consolidated net profit for the second quarter of FY26 was Rs. 46 crore, which was 12.19 percent higher than the Rs. 41 crore reported in the previous quarter and increased by 39.39 percent from Rs. 33 crore in Q2 FY25. 

Written by Akshay Sanghavi

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