Route Mobile's stock dropped 5% post-Q4. Considering buying, selling, or holding your shares?
Route Mobile faced a 5% drop in its share price after reporting a 9% decline in Q4 profits, although its revenue remained stable. However, the fiscal year 2024 saw a notable 17% increase in net profit. Despite challenges in its ILD business, Q4 performance met expectations. Analysts recommend buying Route Mobile shares with a target price of ₹2,020.
During Tuesday’s trading session, Route Mobile's share price fell around 5%, triggered by a 9% decrease in Q4 profits to ₹95 crore. This contrasts with the ₹104.05 crore profit reported during the same period last year, according to a BSE filing. Today, Route Mobile's shares started trading at ₹1,486.55 each on the BSE. Throughout the day, the stock fluctuated between a low of ₹1,460.55 and a high of ₹1,500.40.
According to Ruchit Jain from 5paisa, Route Mobile's stock has been consolidating within a range for months but recently broke below the lower boundary, suggesting potential short-term underperformance. The next support level for the stock is estimated around ₹1,400.
Company Performance and Financial Highlights:
Comparing March 2023 quarter revenue of ₹1,017.03 crore to the previous quarter showed minimal variation.
Net profit increased by approximately 17% from ₹333.11 crore in FY23 to ₹388.84 crore in FY24. Annual revenue rose from ₹3,569.23 crore to ₹4,023.29 crore.
Route Mobile achieved its highest quarterly sales in the second and third quarters, driven by strong growth in the first half, as highlighted by Group CEO and Managing Director Rajdip Gupta. The company continues to attract significant clients and innovate across various sectors.
