Tejas Networks shares rise 18% in two days led by high volumes; BSE seeks clarification

Shares of Tejas Networks extended gains for the second consecutive session amid a rally in market today. Tejas Networks share gained 7.96% to  Rs 638 today amid high volumes traded on the BSE. At 2:15 pm, around 2.62 lakh shares of Tejas changed hands amounting to a turnover of Rs 16.30 crore on BSE. The stock closed 10.22% higher at Rs 590.95 in the previous session on BSE. It came out of a month-long consolidation and gave a breakout in the same session. Over 1.44 lakh shares changed hands leading to a turnover of Rs 8.46 crore on February 15. Yesterday’s was the highest volume after January 30 this year when 2.21 lakh shares changed hands on BSE. 

Aided by the spike in volumes, Tejas Networks shares have gained over 18% in the last two sessions.   

Responding to the heavy volumes, BSE had asked the firm for a clarification on February 16, 2023, with reference to Movement in Volume. 

"We would like to inform you that to the best of the information available with the Management, we do not have any information/announcements to share with the Stock Exchanges under Regulation 30 of the of the SEBI (LODR) Regulations, 2015 which have a bearing on the operation/performance of the company including all price sensitive information etc. of our scrip traded," the firm said in response to BSE's query. 

Meanwhile, market cap of the firm rose to Rs 9634.99 crore. In a year, the stock has gained 44.6% and risen 9.3% in 2023. The stock hit a 52-week high of Rs 773 on October 10, 2022, and a 52-week low of Rs 359.50 on March 8, 2022. 

At 2:32 pm, the stock was trading 7% higher at Rs 632 on BSE.  

In terms of technicals, the relative strength index (RSI) of Tejas Networks stands at60.4, signaling it's trading neither in the oversold or overbought territory. Tejas Networks has a one year beta of1.2, signaling high volatility during the period.  Tejas Networks stock was trading higher than the 5 day, 20 day, 50 day, 100 day and 200 day moving averages. 

The telecom and networking products manufacturer narrowed its consolidated loss to Rs 10.88 crore in Q3  against a loss of Rs 24.3 crore in the corresponding period last year, aided by a sharp jump in topline. 

Consolidated revenue zoomed 156 percent on-year to Rs 274.55 crore during the reporting quarter. The operating performance also was impressive with an EBITDA of Rs 8.01 crore in the last quarter against an EBITDA loss of Rs 28.3 crore in the corresponding period of the last fiscal. 

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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