Vijay Kedia Buys Fresh 1.45% Stake in This Engineering Stock; Do You Own It?

Synopsis: A well-known name in Dalit Street’s investor circles has picked up a fresh stake in a mining equipment manufacturer that just posted strong June quarter earnings, even as the company doubles down on new battery-powered technology and expands its underground mining product line.

Ace investor Vijay Kedia’s portfolio management firm, Kedia Securities Private Limited, has entered the shareholder register of a Gujarat-based mining and construction equipment maker with a 1.45% stake as of June 2026. The development comes soon after the company reported healthy Q1 FY27 earnings and unveiled new indigenous battery-operated mining vehicles, making it a stock that has caught investor attention in recent months.

Shares of Eimco Elecon (India) Limited closed at Rs.1,884, down 0.2% over the previous close of Rs.1,887.7. The company’s market capitalisation stood at Rs.1,086 crore and P/E ratio at 27.49.

Strong Start to FY27 With Double-Digit Growth

Eimco Elecon (India) Limited, headquartered in Vallabh Vidyanagar, Gujarat, has been manufacturing underground mining and construction equipment since 1974. Its product range includes load-haul-dumpers, continuous miners, roof bolters, piling rigs, and battery-operated mining vehicles. The company is listed on both the BSE and NSE.

Eimco Elecon (India) Limited reported revenue from operations of ₹77.52 crore for the quarter ended June 30, 2026, up nearly 15% from ₹67.57 crore in the same quarter last year. Total income for the quarter came in at ₹85.28 crore against ₹75.66 crore a year earlier.

Profit before tax rose to ₹19.62 crore from ₹18.41 crore, while net profit for the quarter increased to ₹15.38 crore from ₹14.48 crore in Q1 FY26, translating into an EPS of ₹26.66 against ₹25.11 a year ago. This comes after a full FY26 where the company’s standalone revenue from operations stood at ₹230.75 crore, EBITDA at ₹42.33 crore, and net profit at ₹38.71 crore.

Kedia Securities Enters With Fresh Stake

The company’s shareholding pattern shows Kedia Securities Private Limited holding a 1.45% stake as of the June 2026 quarter, a name that was absent from individual shareholder disclosures in the September 2025, December 2025, and March 2026 quarters, indicating a fresh entry. Vijay Kedia is among the most closely tracked value investors in Indian markets, and a new stake from his firm typically draws additional retail interest to a stock.

New Battery-Powered Products and R&D Push

The company’s FY26 annual report highlights a notable product expansion. Eimco Elecon has entered the battery-operated equipment segment with two new indigenous vehicles: the MCAR-E, a battery-powered man-riding vehicle with 15-person capacity designed for low-seam underground mines, and the UV-A-BE, a battery-operated multi-utility vehicle with a 10-tonne payload. Both are engineered with flameproof and intrinsically safe systems for use in gassy coal mines.

Alongside this, the company upgraded its Continuous Miner platform from the CM 3000 to the higher-powered CM 3500, aimed at medium to thick coal seams, and transitioned its Rocker Shovel Loader from pneumatic to battery operation. The company’s R&D spend for FY26 stood at ₹6.86 crore, or about 2.97% of total turnover, supported by a team of over 50 engineers.

Balance Sheet and Ratios Show Comfortable Position

As per the FY26 annual report, the company’s net worth stood at ₹458.97 crore, with a low debt-equity ratio of 0.01x and a current ratio of 4.33, pointing to a largely debt-free balance sheet. 

Return on capital employed for FY26 came in at 11.2%, while the company also disclosed capital commitments of ₹0.87 crore as of March 2026, alongside a capital advance of ₹48.25 crore reflected in the June 2026 quarterly results, suggesting ongoing capacity-related spending. The company’s board also recommended a dividend of ₹4 per share for FY26, translating into a payout of about 40% of face value.

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