Astra Microwave Products Ltd. has been on a tear at the bourses, delivering a stellar 980% return over the past five years and rising 38% so far in 2025. But after the recent rally, analysts see limited room for further upside in the near term.
Three out of the five analysts tracking Astra currently have a 'buy' rating on the stock, while one recommends hold and another suggests sell, according to Bloomberg data. The average of 12-month consensus price targets stands at Rs 1,169.6, implying a potential upside of 8.9% from current levels.
The company reported its highest-ever annual revenue, operating profit and net profit in financial year 2025, according to its investor presentation. Revenue crossed Rs 1,000 crore for the first time, growing 15.5% year-on-year to Rs 1,044 crore. Net profit surged 27% to Rs 143 crore, while Ebitda jumped nearly 38% to Rs 266 crore, driven by higher-margin domestic defence orders.
The company's standalone Ebitda margin expanded to 25.5% in financial year 2025, up from 21.4% a year earlier. It executed Rs 429 crore worth of orders in the March quarter and ended the year with a healthy order book of Rs 1,952 crore, nearly twice its annual revenue.
Key Wins And Sector Tailwinds
Astra, which designs and manufactures radar, electronic warfare, missile electronics and telemetry systems, has been a key supplier to India's defence and space sectors. It has delivered sub-systems for platforms like the light combat aircraft, Ashlesha and Arudhra radars, and ISRO's satellites.
The company is also involved in high-value projects such as AESA radar components and electronic warfare systems for the Indian Air Force's Su-30MKI and LCA Mk1A programmes.
With India's defence and aerospace spending on the rise and the government pushing for import substitution under the self-reliant India initiative, Astra is poised to benefit from strong structural tailwinds.
The company spent Rs 52.7 crore on research and development in financial year 2025 which is about 5% of its revenue. It continues to invest in next-generation systems through joint ventures and strategic alliances, including partnerships with Rafael Advanced Defense Systems and Manjeera Digital Systems.
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