Back-to-Back Upper Circuits In This IT Infrastructure Stock: Company Bags Domestic Order Worth Rs 449.9 Million

The stock gave multibagger returns of 130 per cent from its 52-week low of Rs 133.5 per share

Olatech Solutions Ltd has secured a significant turnkey project valued at Rs 449.9 Million from a well-regarded client in the Telecommunications sector. This domestic order encompasses the Supply, Installation, Testing, and Commissioning of IT Infrastructure, along with a comprehensive Annual Maintenance Contract (AMC) and Operations & Maintenance (O&M) services for a decade. The project's financial realisation will be staggered, with approximately 50% of the total value anticipated to be billed in the fiscal year 2025-26, and the remaining 50 per cent to be recognised over the subsequent 10 years, with the initial infrastructure work expected to take around 6 months.

Olatech Solutions Limited is engaged in the business of data centre, enterprise, telecom and IT software solutions in the operations support system and business support system (OSS and BSS) segment. The company's software solutions are offered under the registered trademark "Epiphany". The company has a market cap of Rs 137 crore.

On Tuesday, shares of Olatech Solutions hit a 2 per cent upper circuit to Rs 307.20 per share from its previous closing of Rs 301.20 per share. The stock’s 52-week high is Rs 546 per share and its 52-week low is Rs 133.50 per share. In the recent trading sessions, the stock has been hitting back-to-back upper circuits.

The shares of the company have an ROE of 51 per cent and an ROCE of 68 per cent. The stock gave multibagger returns of 130 per cent from its 52-week low of Rs 133.5 per share. Investors should keep an eye on this micro-cap stock.

Disclaimer: The article is for informational purposes only and not investment advice.