Netweb Technologies zoomed 13% on strong Q4 push; is more steam left?

Shares of Netweb Technologies India Ltd soared 14.31 per cent on Monday to settle at Rs 1,623.75 after the company posted a 45 per cent year-on-year (YoY) jump in its net profit, at Rs 43 crore, for the quarter ended March 31, 2025. Operating income for the fourth quarter (Q4 FY25) ascended by 55.9 per cent to Rs 415 crore.

The growth was mainly driven by strong performance in its AI systems segment and robust demand from government and enterprise clients.

Despite the mentioned rise in today's share price, Netweb Tech's stock has crashed 43.72 per cent on a year-to-date (YTD) basis. A few market experts believed that the counter could see a further uptick in the near term.

The stock has potential to hit an upside target of Rs 1,750 due to strong Q4 numbers, said Ravi Singh, SVP - Retail Research at Religare Broking, adding that investors should maintain a stop loss of Rs 1,550.

"Support will be at Rs 1,500 and resistance at Rs 1,700. A decisive move above Rs 1,700 level may trigger a further upside towards Rs 1,810. The expected trading range will be between Rs 1,500 and Rs 1,810 for the short term," said Jigar S Patel, Senior Manager - Technical Research Analyst at Anand Rathi.

The counter traded higher than the 5-day, 10-, 20-, 30-day and 50-day simple moving averages (SMAs) but lower than the 100-day, 150-day and 200-day SMAs. Its 14-day relative strength index (RSI) came at 60.47. A level below 30 is defined as oversold while a value above 70 is considered overbought.

The stock has a price-to-earnings (P/E) ratio of 89.83 against a price-to-book (P/B) value of 19.92. Earnings per share (EPS) stood at 17.85 with a return on equity (RoE) of 22.18. According to Trendlyne data, Netweb has a one-year beta of 1.2, indicating high volatility.

As of March 2025, promoters held a 71.03 per cent stake in the company.