ideaForge Technology Share: Stormy bullishness returned after losses, know what is the upside target now?

Business Desk – ideaForge Technology Share: ideaForge Technology A huge jump was seen in the shares of a small-cap company in the defense sector on Monday. On Monday, the stock rose 17 percent to an intraday high of Rs 715.

This rise in the company’s stock has come after the release of its quarterly results. In these results, the company has registered profit in the current quarter, which is a big change compared to the loss incurred last year. Apart from this, the company’s revenue has also increased seven times.

ideaForge Technology quarterly results

Drone manufacturing company ideaForge Technology has registered a net profit of Rs 60 crore for the current quarter. This is in sharp contrast to the net loss of Rs 26 crore recorded in the same quarter last year. During this quarter, the company’s revenue increased seven times to Rs 141 crore, which was Rs 20 crore a year ago. The company also recorded a positive EBITDA of Rs 62 crore, whereas it had incurred an EBITDA loss of Rs 22 crore in the same quarter last year.

Increase in company expenses

During the March quarter, the company saw a significant increase in its total expenses. On a year-on-year basis, expenses increased by nearly 84% to Rs 92.74 crore, compared to Rs 50.43 crore in the same quarter last year. This increase in expenses was mainly due to higher prices of raw materials used by the company.

More revenue from defense sector

ideaForge Technology said that by the end of the March quarter, most of its revenue came from the defense sector. Specifically, 86% of its total revenue came from the defense sector, while the remaining 14% was generated from the civil sector. The company also said that it has completed 40% of its existing order book. Additionally, the company is planning to enter the combat drone segment to participate in the procurement opportunities coming from the Indian Armed Forces.

Target of brokerage firm

Brokerage firm IIFL has upgraded its rating on the stock, changing its previous “Reduce” recommendation to “Buy” recommendation. The brokerage firm has also increased its target price for this stock from Rs 271 to Rs 1,187. This target price indicates a potential upside of 95 percent from the stock’s previous closing price.