ESDS shares recover 10% from day's low, turn positive; what investors should know
ESDS Software Solution is a data centre and artificial intelligence (AI) infrastructure-focused company. Its shares were listed on the stock exchanges on September 4 following an initial public offering (IPO) priced at Rs 429 per share.
- Oct 9, 2026,
- Updated Oct 9, 2026 11:06 AM IST
Shares of ESDS Software Solution Ltd recovered more than 10% from the day's low on Friday, rising to Rs 1,495.75 on the BSE and turning positive for the session. The stock's rebound came after a recent spell of weakness, with the shares recovering sharply from the day's low to hit the 5% upper price band.
ESDS Software Solution is a data centre and artificial intelligence (AI) infrastructure-focused company. Its shares were listed on the stock exchanges on September 4 following an initial public offering (IPO) priced at Rs 429 per share. At Friday's high of Rs 1,495.75, the stock was up around 249% from its IPO price.
ESDS Software Solution shares were trading at Rs 1,495.75, up Rs 71.20 or 5% from the previous close of Rs 1,424.55. The stock opened at Rs 1,417.95 and touched a high of Rs 1,495.75, while the day's low stood at Rs 1,353.35. This means the stock recovered Rs 142.40, or around 10.5%, from its intraday low to its high.
ESDS Software Solution shares have rebounded sharply after recent losses and are now up around 4.1% over the past month.
In an earlier assessment, Choice Institutional Equities assigned a Sell rating to ESDS, saying the near-term risk-reward had become less favourable despite its constructive view of the company's longer-term opportunity. The brokerage flagged execution risks after the planned deployment of Sharon AI was delayed, pushing the expected contribution from AI-led revenue from October to November.
Choice also highlighted pipeline conversion, deployment timelines and utilisation as key factors to watch as the company scales up its GPU capacity. At the same time, it remained positive on the longer-term opportunities arising from sovereign cloud, AI infrastructure and rising GPU demand. The brokerage had cited a domestic order book of around Rs 3,000 crore and an international pipeline exceeding 50,000 GPUs.
For the June quarter, ESDS reported revenue of Rs 133.6 crore, down 20.2% sequentially but up 7.2% year-on-year (YoY). Ebitda stood at Rs 55.9 crore, declining 45.5% sequentially while increasing 6.6% YoY.
Ebitda margin fell to 41.9% from 61.3% in the previous quarter, while profit after tax (PAT) came in at Rs 29.2 crore, down 56.8% sequentially but up 13.8% YoY.
Choice Institutional Equities had retained its target price of Rs 1,550, valuing the company at 18 times its estimated FY28 enterprise value to Ebitda.
Shares of ESDS Software Solution Ltd recovered more than 10% from the day's low on Friday, rising to Rs 1,495.75 on the BSE and turning positive for the session. The stock's rebound came after a recent spell of weakness, with the shares recovering sharply from the day's low to hit the 5% upper price band.
ESDS Software Solution is a data centre and artificial intelligence (AI) infrastructure-focused company. Its shares were listed on the stock exchanges on September 4 following an initial public offering (IPO) priced at Rs 429 per share. At Friday's high of Rs 1,495.75, the stock was up around 249% from its IPO price.
ESDS Software Solution shares were trading at Rs 1,495.75, up Rs 71.20 or 5% from the previous close of Rs 1,424.55. The stock opened at Rs 1,417.95 and touched a high of Rs 1,495.75, while the day's low stood at Rs 1,353.35. This means the stock recovered Rs 142.40, or around 10.5%, from its intraday low to its high.
ESDS Software Solution shares have rebounded sharply after recent losses and are now up around 4.1% over the past month.
In an earlier assessment, Choice Institutional Equities assigned a Sell rating to ESDS, saying the near-term risk-reward had become less favourable despite its constructive view of the company's longer-term opportunity. The brokerage flagged execution risks after the planned deployment of Sharon AI was delayed, pushing the expected contribution from AI-led revenue from October to November.
Choice also highlighted pipeline conversion, deployment timelines and utilisation as key factors to watch as the company scales up its GPU capacity. At the same time, it remained positive on the longer-term opportunities arising from sovereign cloud, AI infrastructure and rising GPU demand. The brokerage had cited a domestic order book of around Rs 3,000 crore and an international pipeline exceeding 50,000 GPUs.
For the June quarter, ESDS reported revenue of Rs 133.6 crore, down 20.2% sequentially but up 7.2% year-on-year (YoY). Ebitda stood at Rs 55.9 crore, declining 45.5% sequentially while increasing 6.6% YoY.
Ebitda margin fell to 41.9% from 61.3% in the previous quarter, while profit after tax (PAT) came in at Rs 29.2 crore, down 56.8% sequentially but up 13.8% YoY.
Choice Institutional Equities had retained its target price of Rs 1,550, valuing the company at 18 times its estimated FY28 enterprise value to Ebitda.