MapMyIndia shares rise 20%, hit record high today; here’s why
C.E. Info Systems stock was stuck in the upper circuit of 20% at Rs 2401.90 on Thursday against the previous close of Rs 2001.60 on BSE. It closed at the same level today. Market cap of the software products firm rose to Rs 12,987 crore on BSE.
- Jun 20, 2024,
- Updated Jun 20, 2024 4:00 PM IST
Shares of C.E. Info Systems, the owner of MapMyIndia surged 20% to their record high in the afternoon session today after international brokerage Goldman Sachs initiated coverage on the stock with a buy call. The brokerage sees an upside of 40% in the scrip with a price target of Rs 2,800. C.E. Info Systems stock was stuck in the upper circuit of 20% at Rs 2401.90 on Thursday against the previous close of Rs 2001.60 on BSE. It closed at the same level today. Market cap of the software products firm rose to Rs 12,987 crore on BSE.
The brokerage believes the firm is well-poised to benefit from an early leadership position in fast-growth end markets. The homegrown navigation company has over 80 percent market share in automotive OEM navigation software.
The emerging mobility business is a bigger opportunity set than the core auto business, the research firm said.
The corporate and government markets signal a meaningful growth opportunity for the company. The auto and mobility (A&M) segments are also well exposed to premiumisation and electrification, Goldman Sachs added.
Goldman Sachs sees a 38 percent revenue CAGR for CE Info Systems over FY24-FY27, with a steady EBITDA margin ranging between 38 percent and 41 percent.
On the other hand, the stock is likely to face headwinds such as margin dilution from hardware, competition from open-source maps, and challenges related to M&A integration.
CE Info Systems clocked a 36 percent on-year rise in net profit to Rs 37.94 crore in Q4 against Rs 28 crore profit in the March 2023 quarter. Revenue rose 46 percent YoY to Rs 106.90 crore.
EBITDA margin climbed 37 percent YoY to Rs 39.5 crore. Order book of the firm rose nearly 50 percent to Rs 1,364 crore, powered by Rs 825 crore of Annual New Order Bookings in FY24.
C.E. Info Systems provides digital map data, GPS navigation and location-based services, software and customizing its products to customers (combined) through royalty, annuity, subscription.
Shares of C.E. Info Systems, the owner of MapMyIndia surged 20% to their record high in the afternoon session today after international brokerage Goldman Sachs initiated coverage on the stock with a buy call. The brokerage sees an upside of 40% in the scrip with a price target of Rs 2,800. C.E. Info Systems stock was stuck in the upper circuit of 20% at Rs 2401.90 on Thursday against the previous close of Rs 2001.60 on BSE. It closed at the same level today. Market cap of the software products firm rose to Rs 12,987 crore on BSE.
The brokerage believes the firm is well-poised to benefit from an early leadership position in fast-growth end markets. The homegrown navigation company has over 80 percent market share in automotive OEM navigation software.
The emerging mobility business is a bigger opportunity set than the core auto business, the research firm said.
The corporate and government markets signal a meaningful growth opportunity for the company. The auto and mobility (A&M) segments are also well exposed to premiumisation and electrification, Goldman Sachs added.
Goldman Sachs sees a 38 percent revenue CAGR for CE Info Systems over FY24-FY27, with a steady EBITDA margin ranging between 38 percent and 41 percent.
On the other hand, the stock is likely to face headwinds such as margin dilution from hardware, competition from open-source maps, and challenges related to M&A integration.
CE Info Systems clocked a 36 percent on-year rise in net profit to Rs 37.94 crore in Q4 against Rs 28 crore profit in the March 2023 quarter. Revenue rose 46 percent YoY to Rs 106.90 crore.
EBITDA margin climbed 37 percent YoY to Rs 39.5 crore. Order book of the firm rose nearly 50 percent to Rs 1,364 crore, powered by Rs 825 crore of Annual New Order Bookings in FY24.
C.E. Info Systems provides digital map data, GPS navigation and location-based services, software and customizing its products to customers (combined) through royalty, annuity, subscription.