Apollo Micro Systems Ltd. shares rose nearly 6% on Wednesday, following a 9.1% gain on the day before. The one analyst tracking it currently has a ‘buy’ rating and Bloomberg noted that the stock was the best performer amongst peers and that it is priced at 6.3 times its book value.
The aerospace and defence company is trading at a high volume of 7.6 times of its 30-day moving average and its relative strength index stands at 79, indicating the it may be overbought.
Its peers include Bharat Electronics Ltd., which awarded the company an order worth Rs 21.42 crore on Dec. 3 after it emerged as the lowest bidder.
The company aims to double its revenues in fiscal 2026 amid anticipation of some “very big ticket” projects in the pipeline, its whole time director Krishna Sai Kumar told NDTV Profit on Monday.
Each of the expected projects can be more than the company’s revenues of the last three years put together, he added.
The fourth quarter is traditionally the one where the order awarding activity increases substantially, especially for defence companies. Apollo Micro Systems is poised to benefit from it, Sai Kumar noted.
He further added that his company’s current order book stands at about Rs 550-570 crore, and there are many others in the pipeline.
