Shares of this small-cap IT company traded in the upper circuit for the 3rd consecutive session

Vishwesh Sanas
/ Categories: Trending, Mindshare
Shares of this small-cap IT company traded in the upper circuit for the 3rd consecutive session

The company has recently entered into a partnership with Jio platform.

Indian market closed in the green on August 5. At market close, S&P BSE Sensex ended at 58387. Subex Ltd. is one of the Top Gainers for the day. 

 

Shares of Subex are closed at Rs 43.9 today, up 9.89 per cent from their previous close. The stock is in a strong uptrend, having risen dramatically from its opening price of Rs 26.95 on August 2 to today's level of Rs 43.9. 

 

The stock reached its upper circuit three times in a row this week on August 3, 4, and 5. As a result, the stock was able to deliver 62.89 per cent in just 4 trading days. 

 

Subex Ltd is a software company founded in 1996 that specialises in digital trust, developing products for communications service providers (CSPs) all over the world with an emphasis on privacy, security, risk management, predictability, and data trust. 

 

The company is a component of the S&P BSE Small-Cap index and belongs to BSE group ‘A’. 

 

The company's 10-year increase in net profit and revenue both stood at a -4 per cent CAGR. The company's ROE and ROCE as of the end of the March period are 3.74 per cent and 6.12 per cent, respectively. 

 

Regarding the Q4 FY22 performance, the Q1 revenue number showed a fall of -18.05 per cent YOY. Additionally, the net profit severely decreased from Rs 15.6 crore in Q4 FY21 to Rs 0.61 in Q4 FY22, a decline of 96.09 per cent. Geography-wise breakdown- EMEA generated 53 per cent of the revenue, APAC contributed 29 per cent, America contributed 16 per cent, and the remaining 3 per cent came from the domestic market. 

 

Jio Platforms has partnered with Subex HyperSense AI, Subex Ltd's end-to-end augmented analytics platform, to expand its 5G product line. 

 

The company's market capitalization is Rs 2475 crore, and its PE multiple is 118x. 

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