Anand Rathi recommends buying MapmIndia with a target price of Rs. 1700

Anand Rathi is bullish on the MapMyIndia stock and has given a buy call for a target price of Rs.1700 in the latest report dated September 6, 2022. The brokerage firm is highly bullish on the stock and, as the report says, the stock could see potential upside of more than 24%.

Outlook of the MapmyIndia

MapmyIndia is a leading provider of technology and data platforms and products, including telematics services, location-based SaaS, digital maps data, and GSI AI technologies. The company offers Software as a Service ("Saas"), Maps as a Service ("Maas"), and Platform as a Service ("Paas"). The market capitalization of MapmyIndia is Rs.7370 crore with the current market price of Rs.1,369.65. The stock has shown a reversal from its all-time-low price of Rs. 1129.

Company and Valuation Outlook

"We all know Google Maps because of its reach through Android phones. MapMyIndia (MMI) is just as big but, unfortunately, still unknown. MapmyIndia is a B2B and B2B2C market leader in India. MapmyIndia was an early mover (1995) in India's digital mapping. It pioneered digital-mapping technologies such as an AIpowered 4D high-definition digital map of the real world, and an N-CASE mobility suite for digital vehicles, etc. We initiate coverage on MMI with a Buy rating and a target price of Rs.1,700" says Anand Rathi latest report.

Key catalysts for stock growth in the near future

In the Anand Rathi report, there are two key triggers that make the company stand out towards growth. The report says

• "Strong in B2B and B2B2C in India : With mounting digitisation, the amount of data being captured has grown considerably. More than 80% of this data has location information, which is still unutilised. MMI provides advanced digital mapping, spatial, and image analytic capabilities to companies to better use market and demographic data, and make informed decisions. It provides proprietary digital MaaS, SaaS, and PaaS to companies in the automotive, telecommunications, banking, food and beverage, and payments industries, among others.

• Products have ever-expanding uses: The company's platform provides extensive and comprehensive functionalities and ever-expanding uses, including mapping, location, and navigation, geospatial data analytics, GIS, and AI, GPS tracking and IoT-based fleet-management, logistics optimisation, and workforce management, drone-based solutions, developer APIs, an N-CASE solutions suite for automotive and mobility tech (A&M), and consumer tech and enterprise digital transformation (C&E)."

Anand Rathi's MapmyIndia Call: Key Risks

According to the report, " Competition from large global operators such as Google; high client concentration (80% of its revenue arises from 35 clients)" can be the key reason for the stock to not reach its target.