Cummins India Ltd. shares rose for a fourth consecutive session on Monday to hit their highest level in a year ahead of the company’s quarterly earnings this week.
The stock hit a new 52-week high of Rs 1,335 in intraday trade on Monday. Shares have risen 10 percent over the last four trading sessions.
Over the last 12 months, the stock has outperformed the benchmark Sensex index, which has remained flat. However, shares are up nearly 50 percent during the same period.
Cummins India announced last week that it will release its earnings number for the September quarter on November 4.
In the previous quarter, Cummins India’s revenue grew 42 percent year-on-year to Rs 1,680 crore, led by both volume growth and price hikes to accommodate commodity cost inflation.
Lower overheads supported the company’s June quarter EBITDA growth of 44 percent year-on-year to Rs 210 crore.
Gross margin during the quarter contracted by 300 bps to 31 percent due to commodity price increases and supply-chain constraints.
