Tejas Networks shares rise 7% on winning Rs 7,492-crore order from a Tata Group firm

Shares of Tejas Networks gained nearly 7% in early deals today after the Tata Group firm said it has received a purchase order worth Rs 7,492 crore for equipment from Tata Consultancy Services, also part of the Tata Group. Tejas Networks designs and manufactures wireless networking products. Tejas Networks share gained 6.61% to Rs 869 today. At 11:08 am, around 0.82 lakh shares of Tejas changed hands amounting to a turnover of Rs 7 crore on BSE.

Market cap of the firm rose to Rs 14,396 crore. In a year, the stock has gained 75.82% and risen 40.06% in 2023. The stock hit a record high of Rs 893 on July 20, 2023 and a 52-week low of Rs 468 on August 16, 2022.

At 11:12 am, the stock was trading 4.35% higher at Rs 850.50 on BSE.

In terms of technicals, the relative strength index (RSI) of Tejas Networks stands at 54.1, signaling it's trading neither in the oversold or overbought territory. Tejas Networks has a one year beta of 1.1, signaling high volatility during the period. Tejas Networks shares are trading higher than the 5 day, 20 day, 50 day, 100 day and 200 day moving averages.

Tejas said that it has executed a master contract for the supply, support and annual maintenance services of its Radio Access Network (RAN) equipment for BSNL’s pan-India 4G/5G network with TCS.

As part of the purchase order from TCS amounting to Rs 7,492 crore (approx. $900 million), excluding GST, Tejas would supply the equipment for 100,000 sites, to be executed during the calendar years 2023 and 2024.

Tejas Networks produces optical and data networking products. It designs, develops and sells high-performance and cost-competitive networking products to telecommunications service providers, internet service providers, utilities, defence and government entities in over 75 countries.

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