Aditya Birla Money is bullish on stocks from geospatial sector.
The brokerage firm in its report dated January 8, said, “The National Geospatial Policy, 2022, coupled with the government’s focus on infrastructure growth, positions the Indian geospatial sector for decadal growth.
The policy has redefined the industry’s trajectory by setting accuracy standards for foreign entities, creating a regulated environment that protects domestic players, limits foreign competition, and expands opportunities for Indian companies. , Aditya Birla Money noted. “Backed by increasing government support, recognition of geospatial technology’s importance across sectors, and emerging applications, the sector is poised for sustained growth.”
The market is expected to grow from Rs 30,000cr in FY24 to Rs 1 lakh crore by FY30, achieving a CAGR of nearly 22%, with domestic opportunities worth Rs 63,000 crore and an export market of Rs 37,000 crore.
1. Ceinsys Tech
Robust Order Book: 4.5x order-to-sales ratio with an order book of Rs 1,210cr and a strong pipeline of Rs500cr, with a 90% success rate due to selective bidding
Engineering Expertise: Decades of value-adding consultancy create a competitive moat for government contracts.
Strategic Acquisitions: The acquisition of Allygrow and US assets expands capabilities into automobile, industrial automation,and telecom sector Additional inorganic growth opportunities are in the pipeline.
Aditya Birla Money has set the target price of Ceinsys Tech at Rs 2,510/s per hare (33% upside), valued at 35x P/E.
2. Genesys International
– Leader in 3D Mapping: Proven expertise in marquee international projects, positioning it as a pioneer in space.
– Strategic Partnerships: Collaborations with Survey of India (SOI), GEOSA, and NNG Automotive, along with marquee clients like Google, Micrsosoft, and BMC, underscore the company’s product reliability and cutting-edge solutions.
– Enterprise & Automobile Penetration: Leveraging underlying technology and data to drive growth, alongside increasing adoption of 3D mapping by the government and industries.
Aditya Birla Money has set the target price of Genesys at Rs 1,470 per share (46% upside), valued at 35x P/E.