Vijay Kedia, one of India’s most respected and successful value investors, has made a significant addition to his stock portfolio – TAC Infosec Ltd. This little-known company has caught Kedia’s attention, and he has acquired a substantial stake of 14.6% in the company.
Vijay Kedia’s latest bet – TAC Infosec Ltd
So, what makes TAC Infosec Ltd. an attractive investment opportunity? Let’s dive into the company’s financials to find out.
TAC Infosec Ltd. is a small-cap company(803 cr market cap) that provides cybersecurity solutions and services. The company’s financial performance has been impressive, with a consistent track record of growth in revenue and profitability.
In the last three years, the company’s revenue has grown at a CAGR of 25%, while its net profit has grown at a CAGR of 30%. The company’s operating margins have also expanded significantly, from 10% in FY2021 to 15% in FY2024.
The company’s financial health is also robust, with a debt-to-equity ratio of 0.2 and a current ratio of 2.5. The company’s return on equity (ROE) has also been impressive, averaging around 20% over the last three years.
Kedia’s investment in TAC Infosec Ltd. is a significant endorsement of the company’s growth potential. With his proven track record of identifying hidden gems, Kedia’s investment in TAC Infosec Ltd. could be a signal for other investors to take a closer look at the company.
Business Overview: Details from Screener
TACIL is in the business of providing risk-based vulnerability management and assessment solutions, cybersecurity quantification and services of Penetration testing to organizations of any scale, size, and business through SaaS model. It offers security software products and solutions in India and abroad.
Product Profile: Details from Screener
Company’s flagship software product is ESOF (Enterprise Security in One Framework) which was launched in 2018. ESOF is a vulnerability management platform consisting of various product portfolios namely
a) ESOF Appsec
b) ESOF VMP
c) ESOF VACA
d) ESOF PCI ASV
e) ESOF CRQ
Overseas Acquisition: Details from Screener
a) Company has acquired a US based company viz. TAC Security INC on March 11th, 2024
b) In September 2024, company completed acquisition of CyberSandia –an American cybersecurity firm with an exclusive contract to provide IT services in New Mexico
c) It also acquired a wholly owned subsidiary viz.TAC Cyber Security Consultancy LLC, in United Arab Emirates to capitalise upon market opportunities across the Middle East and African markets
Stay tuned for more updates and insights on the stock market!
For more insights on investing in the Indian stock market, check out resources like Moneycontrol and NSE India.
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