Telecom Stock Hits 5% Upper Circuit After ₹37 Cr Order From Tata Group for Transmission Project
Telecom Stock: In a significant development that caught the attention of market participants, shares of Valiant Communications Ltd surged by 5% and hit the upper circuit after the company announced a major order win worth ₹37.46 crore from Tejas Networks, a Tata Group company. The order pertains to a critical power transmission project for Gujarat Energy Transmission Corporation (GETCO).
Valiant Communications Ltd: Order Details and Stock Surge
On June 27, 2025, Valiant Communications informed the stock exchanges that it had secured a confirmed purchase order from Tejas Networks. The ₹37.46 crore order (inclusive of taxes) involves the supply and commissioning of advanced Communication, Protection, and Synchronization equipment. This equipment will be utilized in GETCO’s power transmission project, with the execution timeline set till June 30, 2026.
Following the news, Valiant’s stock price surged 5% to reach its upper circuit limit of ₹750.25, up from the previous close of ₹714.55. The company’s market capitalization now stands at ₹572 crore.
What Does Valiant Communications Do?
Valiant Communications Ltd, founded in 1994, is a prominent manufacturer of telecom and cybersecurity equipment. The company offers an extensive portfolio of solutions including:
- Telecom and data networking
- Teleprotection systems
- Network synchronization
- Cybersecurity systems
- EMP-protected data storage
- Time servers
Valiant’s clientele includes critical sectors such as power, oil & gas, defence, and railways. With a global footprint in over 110 countries, the company operates through offices in India, USA, UK, and Canada. It is also ISO certified and recognized as a ‘Trusted Source’ by the National Security Council Secretariat, and a ‘Class 1 Local Supplier’ under the Make in India initiative.
Financial Performance of Valiant Communications
Valiant has been on a steady growth trajectory. For FY25, the company reported:
- Revenue: ₹50.85 crore (Up 9.8% YoY from ₹46.33 crore in FY24)
- Net Profit: ₹9.61 crore (Up 54.75% from ₹6.21 crore in FY24)
- ROE (Return on Equity): 17.0%
- ROCE (Return on Capital Employed): 22.1%
The company currently has an order book of around ₹102 crore, showing strong visibility for future growth.
Valiant Communications – Key Financial Ratios
Parameter | Value |
---|---|
Market Cap | ₹572 Cr |
Current Price | ₹750 |
52-Week High / Low | ₹750 / ₹322 |
Stock P/E | 59.6 |
Book Value | ₹80.7 |
Dividend Yield | 0.00% |
ROCE | 22.1% |
ROE | 17.0% |
Face Value | ₹10.0 |
Investor Sentiment & Growth Outlook
Valiant’s latest order from a reputed Tata Group company like Tejas Networks significantly strengthens its reputation in the telecom and power utility ecosystem. The successful execution of this order may lead to more such deals in the future, given its high credibility, global presence, and specialized solutions for mission-critical sectors.
Investors are also buoyed by the fact that the company has no debt, strong return ratios, and is catering to key strategic sectors — all of which align well with the government’s Digital India and Make in India missions.
With the stock already rallying over 130% from its 52-week low of ₹322, market analysts believe that if the company continues this order momentum, Valiant Communications could turn into a multibagger stock in the making.
Frequently Asked Questions (FAQs)
Q1: Why did Valiant Communications stock hit the 5% upper circuit?
A1: The stock hit the upper circuit after the company announced a ₹37.46 crore order from Tejas Networks for a GETCO power transmission project.
Q2: What does the new order involve?
A2: The order includes the supply and commissioning of Communication, Protection, and Synchronization equipment for Gujarat Energy Transmission Corporation (GETCO). Execution is scheduled till June 30, 2026.
Q3: Who is the customer behind this order?
A3: The order has been placed by Tejas Networks, a Tata Group company.
Q4: What sectors does Valiant Communications serve?
A4: The company serves critical sectors such as power, oil & gas, defence, and railways with telecom and cybersecurity solutions.
Q5: How did Valiant perform financially in FY25?
A5: Valiant reported a revenue of ₹50.85 crore and a net profit of ₹9.61 crore in FY25, growing by 9.8% and 54.75% respectively compared to FY24.
Q6: Is Valiant Communications a government-recognized company?
A6: Yes, it is ISO certified, a ‘Trusted Source’ by the National Security Council Secretariat, and a ‘Class 1 Local Supplier’ under the Make in India program.
Q7: What is the current price and 52-week performance of the stock?
A7: The stock is currently priced at ₹750 with a 52-week low of ₹322, indicating a gain of over 130% in a year.
Conclusion:
Valiant Communications Ltd has not only proven its strength in critical infrastructure solutions but is now attracting large-scale orders from prestigious clients like the Tata Group. This recent ₹37 crore win could be a sign of more strategic deals ahead, potentially positioning the company as a rising star in India’s telecom and power utility ecosystem. Investors may want to keep a close eye on this small-cap stock with big ambitions.
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