Shares of Tejas Network rallied almost 30% in five trading sessions, with around 20% gains on Thursday, May 7 on NSE.
Tejas Networks shares advanced 19.8% intraday to Rs 554.95 apiece today. The scrip was trading 15.9% higher by 1:04 p.m. The benchmark NSE Nifty 50 was up 0.3%.
Why Is Tejas Networks Rallying?
The recent rally in Tejas Networks shares is catalysed by a confluence of technological milestones and a robust forward-looking business pipeline, despite the firm navigating a financially transitional FY26.
Investor optimism is largely anchored in the company's expanding global footprint and strategic partnerships. A major highlight is the firm's entry into international wireless markets, underscored by a key manufacturing agreement.
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As Executive Director and newly appointed CEO Arnob Roy noted in the company's earnings conference call, "During the quarter some of the significant things that happened in our wireless business was signing an agreement with NEC to manufacture and supply our 5G massive MIMO radios for a global customer".
Furthermore, the company is positioning itself to capitalise on massive sectoral tailwinds driven by artificial intelligence. Roy emphasised this structural shift, stating that AI is "going to drive network infrastructure build super cycle" and that current communication networks "will not be sufficient to handle the traffic growth in the coming years".
Coupled with a closing order book of Rs 1,514 crores, the receipt of Rs 69 crores in PLI incentives, and ongoing trials for 4G and 5G networks across the Americas and South Asia, the management expects their recent tech investments to translate into significantly better financial results in FY27.
Check Target Price
Chandan Taparia, Head- Technical & Derivatives Research Motilal Oswal Financial Services has set a target price of Rs 600-635 on the stock, an upside of 18% from the current price of Rs 535.8.
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