Shares of Zen Technologies Limited rose 10 per cent to hit a new 52-week high of Rs 153.75 on BSE after the company secured an order of Rs 155 crore from Indian Air Force (IAF) for the supply of Counter Unmanned Aircraft Systems (CUAS).
The order will be carried out in a 12-month time frame. "This is Zen Technologies' first significant order in the anti-drone space, and the company remains confident of securing additional orders in the future," the company said.
The stock opened 10 per cent higher at Rs 153.75 against the previous close of Rs 139.80. It has been gaining for the last 5 trading sessions and has delivered 52.73% return during the same period.
With a market capitalisation of Rs 1,222.47 crore, the share stands higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages. The stock has risen 71 per cent since the beginning of this year and has surged 106 per cent in the last 12 months.
Commenting on the order win, Mr. Ashok Atluri, Chairman, Managing Director & CFO said, “This is a significant step toward making India a drone and counter-drone technology export hub. These orders placed on Indian companies can have a multiplier effect on the Indian equipment manufacturers eco-system because products like anti-drone systems have a high export potential to friendly foreign countries. Anti-drone systems and training solutions are in high demand in many countries.”
Order Book of the company stood at Rs 402.6 crores as on September 01, 2021 as against an order book of Rs 191.6 crores on June 30, 2021.
According to MarketsMojo, the company has a low Debt to Equity ratio (avg) at -0.09 times. However, the company has declared Negative results for the last 5 consecutive quarters.
The technical trend has improved from Mildly Bullish on August 27, 2021, and the stock is technically in a Bullish range now. Multiple factors for the stock are bullish like MACD, Bollinger Band, KST and OBV.
The stock is trading at a premium compared to its average historical valuations and with an ROE of 1.5, it has a Very Expensive valuation with a 5.4 Price to Book Value.
The company reported a net profit of Rs 1.14 crore for the quarter ended June 2021. Loss in the year-ago period stood at Rs 1.34 crore. Net sales during the quarter increased by 139 per cent YoY to Rs 9.96 crore.
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