In the world of investing, Vijay Kedia multibagger stocks have garnered significant attention, particularly with the recent developments surrounding Tejas Networks Ltd. This Tata Group telecom stock has made headlines after securing a substantial contract with Vodafone Idea to enhance its backhaul capacity for 4G and 5G rollouts. With an impressive order book of ₹4,845 crore, Tejas Networks is poised for significant growth, making it a noteworthy consideration for investors looking for multibagger opportunities.
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Vijay Kedia Multibagger Stocks : Tejas Networks’ Major Contract
Tejas Networks has been awarded a critical contract to supply its advanced GPON OLT (Gigabit Passive Optical Network Optical Line Terminal), ONT (Optical Network Terminal), and Management System for the BharatNet Last Mile Connectivity (LMC) project in Tamil Nadu. This initiative, led by TANFINET, aims to bridge the digital divide by providing high-speed internet access to over 50,000 government institutions, healthcare centers, and schools. The robust infrastructure developed through this project will also enable Fiber to the Home (FTTH) services for rural households, significantly enhancing digital connectivity in the region.
Vodafone Idea’s Strategic Move
Mr. Jagbir Singh, CTO of Vodafone Idea Limited, emphasized the importance of upgrading their backhaul network to support the anticipated growth in data traffic and bandwidth demands. He stated, “As VIL accelerates its pan-India 4G and 5G rollouts, it is critical to upgrade our backhaul network to be scalable, robust, and future-ready.” The partnership with Tejas Networks is expected to play a pivotal role in delivering superior service experiences to customers, aligning with Vodafone Idea’s vision for VIL 2.0.
Tejas Networks’ Growth Trajectory
Tejas Networks has demonstrated remarkable growth, with its recent quarterly results showcasing a 610% increase in net sales, reaching ₹2,811.26 crore in Q2 FY25 compared to the same quarter last year. The company also reported a turnaround net profit of ₹275.18 crore, a significant improvement from a net loss of ₹12.64 crore in Q2 FY24. This turnaround reflects the company’s strong operational performance and strategic positioning in the telecom sector.
In the first half of FY25, Tejas Networks reported a 649% increase in net sales, totaling ₹4,374.03 crore, and a net profit of ₹352.66 crore, compared to a loss of ₹38.93 crore in the same period last year. These impressive figures highlight the company’s ability to capitalize on the growing demand for digital connectivity and advanced telecom solutions.
Market Position and Shareholding
Tejas Networks, with a market capitalization exceeding ₹22,000 crore, is a key player in the telecom industry. As of September 2024, Vijay Kedia, a renowned investor known for identifying multibagger stocks, holds a 1.87% stake in Tejas Networks through Kedia Securities Private Limited, owning 32,00,000 shares. The company’s promoters hold a 55.42% stake, while Foreign Institutional Investors (FIIs) and Domestic Institutional Investors (DIIs) own 9.58% and 4.76%, respectively.
Impressive Stock Performance
Tejas Networks has delivered remarkable returns to its investors, with the stock gaining over 100% from its 52-week low of ₹652.05 per share. Over the past five years, the stock has skyrocketed by an astonishing 1,380%, making it a standout performer in the telecom sector. This impressive growth trajectory positions Tejas Networks as a potential multibagger stock, attracting the attention of investors looking for high-return opportunities.
Conclusion
With its robust order book, strategic partnerships, and impressive financial performance, Tejas Networks is a compelling option for those interested in Vijay Kedia multibagger stocks. The company’s commitment to enhancing digital connectivity through significant projects like the BharatNet initiative and its collaboration with Vodafone Idea underscores its potential for future growth. Investors should keep a close watch on this telecom stock as it continues to evolve in a rapidly changing digital landscape.
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FAQs
1. What makes Tejas Networks a potential multibagger stock?
Tejas Networks is considered a potential multibagger stock due to its strong order book of ₹4,845 crore, impressive revenue growth, and strategic partnerships with major telecom players like Vodafone Idea. The company’s focus on innovative telecom solutions and its backing by the Tata Group further enhance its growth prospects.
2. How has Vijay Kedia influenced the perception of Tejas Networks as a multibagger stock?
Vijay Kedia, a respected investor known for his ability to identify high-potential stocks, holds a significant stake in Tejas Networks. His endorsement of the company adds credibility and attracts attention from other investors, reinforcing the stock’s reputation as a promising multibagger opportunity in the telecom sector.
In summary, Tejas Networks stands out as a key player in the telecom industry, and its recent developments make it a stock worth considering for investors seeking multibagger potential.
