One-month multibagger: Apollo Micro Systems is FII’s new favourite; know more here

In Wednesday’s trading session, the market witnessed a positive close with Sensex and Nifty gaining 1.14% and 1.19%, respectively.

In this positive market sentiment, the shares of Apollo Micro Systems Limited zoomed by 9.99%. Furthermore, the stock reached the upper circuit, touching Rs 133.39 per share on BSE, marking a new all-time high. The company’s current market capitalisation is Rs 3,494.71 crore.

From a technical outlook, as of November 15, 2023, the stock’s 200-day moving average (DMA) stood at Rs 53.88, while the 50-DMA was observed at Rs 81.32. The current share price on BSE is Rs 133.39. In a recent development, the 50-DMA has crossed above the 200-DMA, signalling a robust and sustained upward trend over the long term.

About the company:

Apollo Micro Systems Ltd stands as a trailblazer in the design, development, assembly, and testing of electronic and electromechanical solutions.

Business Updates:

  • AMS is in the process of setting up a cutting-edge defence electronics and electromechanical manufacturing facility in Hyderabad, spanning 2,50,000 sq ft. This facility will feature dedicated clean rooms for inertial systems, RF systems, and space applications, complemented by a comprehensive testing facility. The plant is poised to receive certification from accredited NABL Laboratories, with a substantial investment of Rs 150 Crore earmarked for its development.

  • The establishment of a subsidiary, named “APOLLO DEFENCE INDUSTRIES PRIVATE LIMITED,” signifies potential diversification or expansion into the defense industry. Investors are advised to closely monitor this development for strategic implications and potential growth opportunities.

Zooming out to the company’s shareholding pattern, In the last quarter, promoters pledged 27.32% of shares, contributing to a total pledge of 28.22% of promoter holdings. Simultaneously, promoters reduced their holdings from 59.10% to 52.67% during the September 2023 quarter.

On the other hand, Foreign Institutional Investors (FIIs) have displayed noteworthy interest, with a substantial increase in their stake from 0.17% to 5.27%. This surge suggests that the stock has become a new favourite among FIIs.

Furthermore, the stock has witnessed significant buying activity as it has given multibagger returns of more than 103% in just a month.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.