scorecardresearchApollo Micro Systems locked in upper circuit for 8th straight day, gains

Apollo Micro Systems locked in upper circuit for 8th straight day, gains 47%; here's why

Updated: 28 Jun 2023, 03:33 PM IST
TL;DR.

Apollo Micro Systems is a Hyderabad-based company that specializes in the design, develops and sells high-performance, mission- and time-critical solutions to defence space, and Home Land Security for the Ministry of Defence, government-controlled public sector undertakings, and the private sector.

The company's shares got listed on the exchanges on January 22, 2018, at a price of  <span class='webrupee'>₹</span>454.1 apiece, a premium of 65.1% over the issue price of  <span class='webrupee'>₹</span>275.

The company's shares got listed on the exchanges on January 22, 2018, at a price of 454.1 apiece, a premium of 65.1% over the issue price of 275.

Shares of Apollo Micro Systems have been on a winning streak, locking in the upper circuit for the eighth consecutive trading day on Wednesday, propelled by a sudden surge in trading volumes. During this period, the stock has zoomed from 39.45 apiece to an all-time high of 58.05, resulting in a spectacular gain of 47.14%.

The remarkable rally caught the attention of the National Stock Exchange (NSE), prompting it to seek clarification from the company on June 26. The company on the following day replied that it has no positive information or any other material information to disclose that could impact the trading activity or volume behaviour.

The recent surge in the company's stock has propelled it to achieve substantial gains of 128% over the past six months, an impressive 378% within a year, and a whopping 428.69% over the last three years.

Apollo Micro Systems is a Hyderabad-based company that specializes in the design, develops and sells high-performance, mission- and time-critical solutions to defence space, and Home Land Security for the Ministry of Defence, government-controlled public sector undertakings, and the private sector.

The company's shares got listed on the exchanges on January 22, 2018, at a price of 454.1 apiece, a premium of 65.1% over the issue price of 275. 

On May 04, the stock turned ex-split as the company divided its equity shares in a ratio of 1:10.

During the fiscal year 2022-2023, Apollo Micro Systems achieved a revenue of Rs. 297.53 crore, marking a YoY growth of 22.34% driven by increased order execution. The company's EBITDA margins improved to 21.63% from 18.77% in FY22 due to lower material costs and effective cost management practices.

Net profit for the year stood at Rs. 18.74 crore, indicating a 28% growth compared to the previous year's net profit of Rs. 14.65 crore.

The company has been actively pursuing strategic initiatives to drive growth and enhance its competitive advantage. It has been investing in technology upgrades, innovation, and diversification to expand its product portfolio and address emerging defence needs, according to the company's exchange filing.

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Stock Price chart of Apollo Micro Systems.

The promoters own 53.2% of the shares in the company, while foreign portfolio investors and domestic institutional investors each own 5.2% and 3.2%, respectively. Regular shareholders own 38.4%, Trendlyne data showed.

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First Published: 28 Jun 2023, 03:12 PM IST