8,000 Per Cent Multibagger Returns: Defence Company Bags New Order Worth Rs 17.70 Crore From Bharat Electronics Ltd
The stock is up by 26 per cent from its 52-week low, giving multibagger returns of 420 per cent in 3 years and a whopping 8,000 per cent in 10 years.
Avantel Limited has secured a new domestic manufacturing order worth Rs 17.70 crore (including taxes) from Bharat Electronics Limited, as communicated via mail on April 29, 2025. The terms of the order include a 3 per cent performance bank guarantee and the contract is slated for execution by September 20, 2028. This development aligns with SEBI's circulars regarding the disclosure of such significant orders.
Established in 1990 by Vidyasagar Abburi, Avantel Limited is a prominent Indian technology company specialising in advanced communication and technology solutions for strategic sectors like defence and aerospace. Headquartered in Visakhapatnam with a corporate office in Hyderabad, Avantel is known for its high-quality and reliable products and services, including advanced communication systems, radar technology, and network management software. Holding AS 9100D and ISO 9001:2015 certifications, the company focuses on delivering innovative solutions in areas such as SATCOM, radar subsystems, SDRs and defence electronics, contributing significantly to India's technological self-reliance and national security.
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The company demonstrated robust financial performance, reporting a revenue of Rs 248.48 crore, which represents a significant growth of 17.81 per cent compared to the previous quarter and 10.97 per cent year-on-year in constant currency. This positive trend extended to the company's profitability, with Adjusted Profit After Tax (PAT) increasing by 8.05 per cent year-on-year to Rs 4.46 crore. Looking at the full fiscal year 2024-2025, the company achieved a revenue from operations of Rs 248.48 crore, up by 10.97 per cent from the Rs 223.92 crore recorded in the previous fiscal year, and its Profit after Tax for FY25 stood at Rs 59.92 crore, reflecting an 8.05 per cent increase from the Rs 55.45 crore in FY24, underscoring a consistent pattern of growth in both revenue and profitability.
The company is a Small-Cap company having a market cap of over Rs 2,800 crore with a 5-year stock price CAGR of 120 per cent. The company's shares have an ROE of 29 per cent and an ROCE of 37 per cent. The stock is up by 26 per cent from its 52-week low, giving multibagger returns of 420 per cent in 3 years and a whopping 8,000 per cent in 10 years. Investors should keep an eye on this small-cap defence stock.
Disclaimer: The article is for informational purposes only and not investment advice.