289% return in 2 years: Multibagger defence stock gains - Here's why

Shares of Apollo Micro Systems (AMS) gained over 6 per cent on Monday after securing an order worth Rs 4.65 crore. The counter opened gap up at Rs 94.55 - a gain of 3.11 per cent from the previous close of Rs 91.20 on the BSE. It surged further to touch the high of Rs 97.70 - this is a gain of around 6.54 per cent from the last trading price. 

The company has also emerged as the lowest bidder for a Rs 16.96 crore contract. With this surge, the stock of the Hyderabad-based aerospace and defence company has snapped its four-day losing streak.

“The company has been declared the Lowest Bidder for orders worth ₹16.96 crore from DRDO, Public Sector Units, Indian Navy, and Indian Army,” it said in an exchange filing. 

The counter has given a positive return of 289 per cent in two years but a negative return of 27 per cent in one year. The 52-week high of the counter is Rs 147.50 and the 52-week low is Rs 88.10.

Meanwhile, benchmark equity indices Sensex and Nifty surged in early trade on Monday, helped by across-the-board rally and the BJP pulling off a stunning performance in Maharashtra winning a record number of seats to propel the party-led ruling Mahayuti alliance to a landslide victory.

Extending its previous day's sharp rally, the BSE benchmark Sensex jumped 1,289.89 points to 80,407 in early trade. The NSE Nifty surged 405.25 points to 24,312.50.

From the 30-share Sensex pack, Mahindra & Mahindra, Larsen & Toubro, State Bank of India, Reliance Industries, ICICI Bank and Bajaj Finance were the biggest gainers.

JSW Steel and Infosys were the laggards.

The BJP on Saturday pulled off a stunning performance in Maharashtra winning a record number of seats to propel the party-led ruling Mahayuti alliance to a landslide victory while the INDIA bloc stormed back to power in Jharkhand on the back of a spectacular showing by the JMM.
 
With PTI inputs