Why did Shakti Pumps share rally up to 40% in three trading sessions?

Synopsis: Shakti Pumps shares rallied nearly 40% in three sessions, supported by major PM-KUSUM order wins, record trading volumes, and a technical rebound above key moving averages.

This Solar Pump stock, engaged in manufacturing energy-efficient stainless steel submersible, solar, and centrifugal pumps for agriculture, industry, and water management worldwide, jumped by up to 19 percent in today’s intraday trade and rallied up to 40.43 percent in the last 3 trading sessions. In this article, we will explore the reasons for the stock’s rally.

With a market capitalization of Rs. 9,270.89 crores, the share of Shakti Pumps (India) Limited has reached an intraday high of Rs. 773.95 per equity share, rising nearly 19.12 percent from its previous day’s close price of Rs. 649.70. Since then, the stock has retreated and is currently trading at Rs. 751.30 per equity share. 

Reason Behind the Surge:

Shakti Pumps (India) Limited shares surged up to 40.43 percent sharply over the last three trading sessions, driven by strong order inflows, record trading volumes, improving revenue visibility, and a technical rebound from oversold levels. Here are the reasons for the stock’s rally.

Shakti Pumps (India) Limited witnessed heavy trading activity with volumes of 22.66 million shares on December 11, 24.73 million on December 12, and 34.2 million on December 15. This translates to over 2.5 crore shares traded for three consecutive sessions, far exceeding the 20-day average of about 5.37 lakh shares, indicating strong investor interest and accumulation.

On December 12, 2025, Shakti Pumps (India) Limited received a Rs. 71.25 crore work order from Madhya Pradesh Urja Vikas Nigam Limited to supply and install 2,033 off-grid DC solar water pumping systems under the PM-KUSUM scheme, to be executed within 120 days.

On the same day, the company also received a Rs. 23.98 crore order from the Jharkhand Renewable Energy Development Agency for supplying and installing 1,200 solar water pumping systems under the PM-KUSUM scheme, to be executed within 120 days, boosting revenue visibility.

On December 11, 2025, Shakti Pumps (India) Limited received a Letter of Empanelment from Maharashtra State Electricity Distribution Company Limited for supplying and installing 16,025 off-grid DC solar water pumping systems under the PM-KUSUM B scheme, valued at Rs. 443.78 crore, to be executed within 60 days from issuance of the work order.

Ahead of December 11, 2025, Shakti Pumps (India) Limited was trading with an RSI below 30, indicating oversold conditions, which likely triggered short covering and fresh buying.

On December 15, 2025, Shakti Pumps (India) Limited closed above its 50-day moving average of RS. 739.42, supported by strong volumes of 34.2 million shares, signalling a technical breakout and momentum-driven rally.

Shakti Pumps (India) Limited began in 1982 in Pithampur, Madhya Pradesh, as a manufacturer of energy-efficient stainless steel pumps and motors. The company emphasizes innovation and sustainability to address global water challenges, starting with a focus on reliable submersible pumps for agriculture and industry.​

The company produces a wide range of products, including submersible pumps, solar pumps, vertical multistage centrifugal pumps, and wastewater solutions. The company serve irrigation, domestic water supply, industrial use, and firefighting needs, with over 1,200 variants designed for high efficiency and durability across diverse applications.

As of November 7, 2025, Shakti Pumps reported a strong total order book of about Rs. 1,300 crore, providing clear revenue visibility. Major contributions include off-grid solar pumping orders worth Rs. 464 crore under the Magel Tyala Saur Urja Yojana, Rs. 367 crore from Uttar Pradesh’s Agriculture Department, Rs. 138 crore from Ajmer Vidyut Vitran Nigam, and Rs. 131 crore from Uganda and other export and domestic projects, supporting sustained growth.

Coming into financial highlights, Shakti Pumps (India) Limited’s revenue has increased from Rs. 635 crore in Q2 FY25 to Rs. 666 crore in Q2 FY26, which has grown by 4.88 percent. The net profit has decreased by 9.90 percent from Rs. 101 crore in Q2 FY25 to Rs. 91 crore in Q2 FY26.

Shakti Pumps (India) Limited’s revenue and net profit have grown at a CAGR of 28.75 percent and 84.47 percent, respectively, over the last three years.

In terms of return ratios, the company’s ROCE and ROE stand at 55.3 percent and 42.6 percent, respectively. Shakti Pumps (India) Limited has an earnings per share (EPS) of Rs. 33.2, and its debt-to-equity ratio is 0.38x.

Written By – Nikhil Naik

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