Welspun Corp shares rise 4% after US subsidiary bags $412.5 million HFIW pipe order

Welspun Corp experienced a significant surge in its share price following the announcement of a massive order secured by its US subsidiary, Welspun Tubular LLC. The order, valued at around $412.5 million, is the largest in the company's history, showcasing the company's expanding global footprint.

The High-Frequency Induction Welded (HFIW) pipes, which will be manufactured at Welspun's newly upgraded facility in Little Rock, USA, will be delivered during the fiscal years 2028 and 2029. This landmark order has propelled Welspun Corp's global order book to a historic high of $4.7 billion, signifying the company's strategic expansion and strengthened partnership with international clients.

The company's shares have witnessed impressive growth over the past three months, with a notable rise of 93%. The market capitalization stands at Rs 72,618 crore, while the 52-week high recorded is Rs 2,836. In terms of valuation metrics, Welspun Corp boasts a price-to-earnings ratio of 31.95 and a price-to-book ratio of 7.84.

Technical indicators further support the bullish outlook, as the stock is trading above all eight key simple moving averages. In the latest quarter, foreign institutional investors increased their stake in the company to 14.61%, from 11.23% in the previous quarter.

This monumental order sale is a testament to Welspun Corp's robust manufacturing capabilities and its commitment to delivering high-quality products to international clients.