Shares of Apollo Micro Systems Ltd have delivered stellar multibagger returns in 2025, more than doubling investor wealth on the back of robust earnings and multiple defence order wins. The stock has outperformed broader indices, gaining 147% year-to-date even as the BSE Small Cap Index slipped 2.42% during the same period.
The Hyderabad-based defence electronics manufacturer has surged 239% from its 52-week low of ₹88.10 recorded on October 23, 2024, to trade at around ₹298.05 during the Diwali Muhurat trading session.
At current levels, the company commands a market capitalisation of ₹9,940 crore, marking a remarkable rise from its previous year’s valuation.
A Multibagger in the Making
Apollo Micro Systems has been on an impressive growth trajectory, posting 209% gains in one year, 295% in two years, and a staggering 1,256% in three years, cementing its position as one of the top-performing defence stocks in the Indian market.
The stock’s 2025 rally has been fuelled primarily by record financial performance and order inflows from the Ministry of Defence and public sector undertakings.
Earnings Momentum Boosts Investor Confidence
The company reported an 83% rise in consolidated profit after tax to ₹18.24 crore in the December 2024 quarter, compared to ₹9.96 crore in the same period the previous fiscal.
For FY25, Apollo Micro Systems posted its highest-ever annual results, with:
- Revenue rising 51% YoY to ₹562 crore (from ₹372 crore in FY24)
- Net profit surging 81% YoY to ₹56 crore (from ₹31 crore in FY24)
In the latest Q1 FY26 results, the company continued its strong performance:
- Net profit jumped 119% to ₹18.5 crore (from ₹8.43 crore in Q1 FY25)
- Revenue rose 46.46% to ₹133.58 crore
This consistent growth has positioned the company as a key beneficiary of India’s defence modernization drive.
Analysts’ Outlook: Can the Rally Continue?
Market experts believe the stock’s long-term trend remains positive but caution that the next phase of the rally will depend on near-term technical breakouts.
- Shitij Gandhi, Senior Research Analyst (Technical) at SMC Global Securities, said: “₹315 is a crucial resistance zone. A strong push above this could open the door for the next rally phase.”
- Jigar S Patel of Anand Rathi added: “A decisive move above ₹300 may trigger a further upside toward ₹310. The short-term trading range remains between ₹260 and ₹310.”
- Kunal Kamble, Senior Technical Analyst at Bonanza Portfolio, was more bullish: “The broader trend is positive. The stock could move toward ₹360–₹400 levels in the coming sessions.”
About Apollo Micro Systems
Founded in 1997, Apollo Micro Systems Ltd designs and manufactures high-performance electronic, electro-mechanical, and engineering systems catering to the defence, space, and homeland security sectors.
The company supplies mission-critical solutions to the Ministry of Defence, public sector undertakings, and private enterprises, aligning closely with India’s ‘Make in India’ and Atmanirbhar Bharat initiatives.
Bottom Line
Apollo Micro Systems’ impressive earnings growth and increasing defence orders continue to attract investor attention. Analysts expect the uptrend to sustain if the stock breaks the ₹315 resistance level, potentially setting the stage for another strong rally phase.
Originally published on newsworldstime.com.
Originally published on 24×7-news.com.