One Point One Solutions Ltd, Anand Rathi Predicts 32% Upside; Buy?

On the National Stock Exchange (NSE), One Point One Solutions Ltd shares debuted at Rs 51.75 on Friday, exceeding the previous day's close of Rs 50.81. Over a five-year period, One Point One Solutions Ltd's stock has given its shareholders exceptional value appreciation with multibag returns of 1520.38 percent. The company currently has a market cap of Rs 1,324 Crore.

One Point One Solutions Ltd is under a lot of coverage by Investor daily. Anand Rathi Investment Services has picked the stock for May with a forecast of greater than 32 percent upside. The brokerage has predicted a target price of Rs 65 with the stock of the company and a rest period of a month. Investors are recommended to purchase the shares and place a stop-loss order at Rs 44.

Anand Rathi's analysts said that the stock completed a corrective leg of 1:1 near a critical support zone after falling around 40% from its peak of Rs 77.5. This support zone is in sync with the Monthly, Quarterly and Yearly S3 Camarilla pivot supports. In addition, the price is also closer to the 0.382% retracement of the bullish move from the period August 2022 to August 2024, which suggests that there might be a reversal. Anand Rathi suggests initiating fresh longs in the range of Rs 50-52 with a target of Rs 65 on the move and maintaining a stop loss of Rs 44 on a closing basis.

These factors also strengthen the company's innovative business model. During Q3 FY25, revenue from operations grew 57% YoY to Rs 65.68 crores as compared to 41.80 crores in Q3 FY24. Earnings before interest, taxes, depreciation, and amortization (EBITDA) for the period also grew by 36% YoY to Rs 20.51 crores as against Rs 15.08 crores in the previous year's quarter. Net profit for the Company has also increased by 41% over the last fiscal years making it 8.43 crores for Q3 FY25 as against 5.97 crores for Q3 FY24.

One Point One Solutions Ltd.'s focus includes customer lifecycle management, business process management, and technology services. The company has a foothold in all major cities through five offices and eight centers and has a workforce of over 5,500 IT professionals. Its service offerings span the spectrum of B2B, B2C, digital business, and marketplace, providing service for Banking & Finance, Telecom, Insurance, Consumer Durables, FMCG, E-commerce, and Retail Verticals. The company has six centers with more than 500 seat capacity which provide services in 12 plus Indian languages and have a wide area network.

The company's financial health combined with market presence gives it a considerable advantage in the highly competitive IT and business process management markets. One Point One Solutions Ltd is an attractive investment along with the stock of the company's smaller competitors in the IT sector, given its positive fallacy with Anand Rathi's favorable forecast and the firm's stock being historically profitable.