This Multibagger IT Sector Stock Gets Buy Call For Target Price Of 1730: JM Financial

JM Financial has assigned buy rating to the stock of Route Mobile for a target price of Rs 1730 apiece with a potential gain of 20% in a target period of 1 year. The company has registered high TTM EPS growth and has a market capitalization of Rs 9, 105 crore.

Route Mobile Stock Outlook

The current market price of the stock is Rs 1,444 apiece with a decline of 0.74% intraday. According to JM Financial, if you buy the stock at its current market price, it can surge to a target price of Rs 1730 apiece. The stock will achieve its target price in a target period of 1 year.

Route Mobile 52-Week High/Low

The 52-week high of the stock is Rs 2388 apiece and 52-week low is Rs 1052 apiece, respectively.

Route Mobile Market Capitalization

The company has a market capitalization of Rs 9,105 crore.

Route Mobile Quarterly Results

The company for the quarter ended June 30, 2022 announced a consolidated total income of Rs 743.80 Crore, up 17.23 % from last quarter total income of Rs 634.48 crore. It has announced a net profit after tax of Rs 71.07 Crore in latest quarter.

Valuation

According to JM Financial, "We raise FY22-25E EPS by 5-8% led by increase in revenue growth assumptions (we raise FY23 growth to 60%+ YoY). Maintain BUY with a revised TP of INR 1,730(V/s INR 1,660 earlier) while rolling forward to Sep'23." Route sees the recent aggressive pricing at a large PSU bank by a Telco as a 'one- off' suggesting that subsequent RFP's have not seen any aggressive .

About The Company

Route Mobile came into existence in 2004, founded by Managing Director and Group CEO, Mr. Rajdip Gupta - to bring about digital disruption in communication with simplified solutions that could be adopted by businesses regardless of their size. Route Mobile is one of the World's Leading Cloud Communications Companies. Listed on the Bombay Stock Exchange in September 2020, Route Mobile is among the leading Cloud Communications Platform service provider offering Communication Platform as a Service (CPaaS) solutions.

Disclaimer

The stock has been picked from the brokerage report of JM Financial. Greynium Information Technologies, the Author, and the respective Brokerage House are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to check with certified experts before taking any investment decision.