Ace investor Sunil Singhania-backed Route Mobile's shares zoomed on Tuesday amid investor optimism backed by the telecom services company's strong financial results and dividend announcement. The Route Mobile stock jumped by as much as Rs 153 or 13.4 per cent to Rs 1,295.1 apiece on BSE with huge volumes.

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At 2:20 pm, Route Mobile shares traded up by Rs 86.5 or 7.6 per cent at Rs 1,228.6 apiece on BSE. More than three lakh Route Mobile shares changed hands so far in the session, as against a daily average of 11,000 in the past two weeks, according to exchange data.

During market hours on Monday, the telecom services company reported a consolidated net profit of Rs 85.4 crore for the October-December period, up more than 84 per cent compared with the corresponding quarter a year ago. Its revenue expanded 75.2 per cent to Rs 985.7 crore.

The company's board will meet on Thursday, January 26 to consider an interim dividend.

Singhania holds 16.1 lakh equity shares of Route Mobile, representing 2.6 per cent of the company's equity, through asset management firm Abakkus Asset Manager, according to shareholding data available on BSE.

The celebrity investor trimmed his holding in Route Mobile by 0.1 per cent in the third quarter of the financial year 2022-23.

He publicly holds 27 stocks with a net worth of over Rs 2,110.7 crore as of January 24, 2023, according to stock analysis portal Tredlyne.

Shareholding pattern

In the December quarter, Route Mobile promoters reduced their holdings from 58.6 per cent to 58.4 per cent. Foreign institutional investors brought down holdings from 21.3 per cent to 21.1 per cent, though mutual funds raised theirs from 4.1 per cent to 4.2 per cent.

Route Mobile share price history

Shares of Route Mobile have declined around 22 per cent in the last one year, a period in which the Sensex benchmark rose six per cent.

Brokerage view

Route Mobile is equally focused on opportunities in India as well as around the globe, and is confident of outperforming the revenue outlook for 2022-23 and sees a long way of growth beyond 2022-23, according to JM Financial Analyst Swapnil Potdukhe.

The brokerage has maintained a 'buy' on the stock with a target price of Rs 1,730 per share — implying upside potential of more than 51 per cent from Monday’s closing price.