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MapmyIndia rallies after foreign broker's buy call

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Last Updated : Jun 20 2024 | 3:51 PM IST

Shares of C E Info Systems (MapmyIndia) surged 20% to Rs 2401.90 after a foreign broker initiated coverage on the stock with a "Buy" rating and a target price of Rs 2,800 per share.

Following the upgrade, shares of MapmyIndia hit a record high of Rs 2,401.90 today.

The broker report highlighted MapmyIndia is well-poised to benefit from an early leadership position in fast-growth end-markets. The company enjoys a dominant market share, exceeding 80%, in auto OEM navigation software.

The report forecast a robust 38% CAGR in revenue for MapmyIndia from FY24 to FY27, with a steady EBITDA margin ranging between 38% and 41%.

However, the report also acknowledged potential risks to MapmyIndia's future performance. These include potential margin dilution due to hardware-related costs, competition from open-source mapping solutions, and challenges related to M&A integration.

MapmyIndia provides digital map data, GPS navigation and location-based services, software and customizing its products to customers (combined) through royalty, annuity, subscription.

MapmyIndia's consolidated net profit jumped 35.40% to Rs 37.94 crore in Q4 FY24 as against Rs 28.02 crore in Q4 FY23. Revenue from operations increased 47.51% year on year (YoY) to Rs 106.90 crore in Q4 FY24.

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First Published: Jun 20 2024 | 3:38 PM IST

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