Orient Technologies Stock Price :The first day in the market was very good for the stock of information technology (IT) solution provider Orient Technologies Limited. The company’s stock was listed on BSE today on 28 August 2024 at Rs 290, while the IPO price was Rs 206. At the same time, after listing, the stock strengthened to around Rs 305, which is 48 percent more than the IPO price. That is, the first day in the market has been bright for the stock.
Orient Technologies: Investors gave a bumper response
Orient Technologies’ IPO received a strong response from investors. This IPO was subscribed about 155 times overall. About 50 percent of this IPO was reserved for qualified institutional investors (QIB) and it was subscribed 188.79 times. At the same time, 15 percent was reserved for non-institutional investors (NII) and it was subscribed 310.03 times. The remaining 35 percent was reserved for retail investors and it was subscribed 68.93 times.
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What is the company’s outlook?
Shivani Nyati, Head of Wealth, Swastika Investmart says that Orient Technologies is a leading IT solutions provider with over three decades of experience and a large base of niche clients across industries. The company’s comprehensive IT solutions portfolio and consistent financial growth demonstrate its strong market position. However, dependence on key clients, technology partnerships and government tenders, along with intense competition, present potential challenges.
Strength of Orient Technologies
Large customer base across diverse customer industries
Comprehensive and diversified IT solutions and offerings
Strong promoters and a Board of Directors supported by an experienced senior management
Track record of strong financial performance
Expanding our product and services portfolio
Expanding your geographic footprint
Investing in employee growth
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Key Concerns of Orient Technologies
Being too dependent on your top 10 customers.
Delays or defaults in customer payments and receivables could harm its business.
The business is largely dependent on contracts entered into by various government bodies, which are on tender basis.
Too much competition in the industry
The company has a large workforce and its employee benefit expenses are also high.
Components of its fixed operating cost.
Its operations are largely dependent on its technology partnerships and the loss of any such partner could impact the company.
(Source: Swastika Investmart Report)
(Disclaimer: The views or advice on the stock are given by experts and brokerage houses. These are not the personal views of Financial Express. There are risks in the market, so take expert advice before investing.)
