Happiest Minds Stocks: Happiest Minds has proved to be a multibagger for investors.
Happiest Minds Stocks: Happiest Minds has proved to be a multibagger for investors. The stock has been listed in the market for just 5 months and it has given up to 232% of its issue price. The stock has gained more than 50 percent in the last 9 days. On February 19, the stock had reached its all-time high of around Rs 551. The company’s IPO came in September last year and it was listed in the market on September 17. Brokerage house Nomura has hoped for even better growth in the company.
Shares up 232% from issue price
Happiest Minds set an upper price band of Rs 166 for its IPO. On September 17, the company’s stock was listed on BSE at a price of Rs 351 and on NSE at a price of Rs 350, that is, with a premium of 111 per cent. The stock has also seen good growth since listing. The stock has reached Rs 551 in trading on 19 February. Which means 232 percent growth from the issue price. Talking about this year, since January 1, the stock has been strengthened by Rs 338 to Rs 213. It has gained Rs 146 in the last 5 days.
Investors will fill their pockets
Brokerage house Nomura says Happiest Minds’ profit in the last 2 quarters has been better than expected. There is good growth ahead too. According to Nomura, the revenue growth of the IT company is expected to be 25 per cent annually during the financial years 2021 to 2024. Nomura says that Happiest Minds can prove to be a consensual compounder for shareholders even after premium valuation. According to the report, the growth of the company has doubled compared to the large-cap pace and 1.5 times the midcap pace.
What is the business of the company
According to Happiest Mind, 97 percent of its revenue comes from the digital business, which is much higher than many companies like Infosys, Mindtree and Cognizant. The average digital revenue by these companies is 40-50 percent. It offers Digital Business Services, Product Engineering Services and Infrastructure Management and Security Services.
How is Happiest Minds business
Happiest Minds has grown at an annual rate of 21 per cent in the last three years, while the average growth of the IT industry is only around per cent. The company’s sales were Rs 714 crore in FY 2020, which was Rs 601 crore in FY 2019. The company had a profit of Rs 71 crore in FY 2020, which was Rs 14.2 crore in FY 2019.