Avantel share price target 2025 to 2030 | Sureshot Multibagger?

Avantel share price target 2025 to 2030: Hello friends, today we will discuss a stock that has tripled the investors money in just one year and also given 155% returns on average in the last 3 years. This is an amazing company with great profitability and sales as well. We will discuss everything in detail to reach a conclusion of what will be its share price target from 2025 to 2030. We are talking about Avantel Ltd.

Avantel Ltd is an Indian telecom company which manufactures telecom products and gives customer support as well.


About Avantel Ltd

About Avantel LtdParticulars
Company NameAvantel Ltd
BSE share code532406
NSE codeNot listed
HeadquartersVishakapatnam
Foundation1990
Key PersonAbburi Vidyasagar (Chairman)
Market Cap₹ 2,611 crores
52 Week HighRs 140
52 Week LowRs 24.20
Official WebsiteAvantel Website

Avantel Limited Company designs, engineers and maintains wireless and satellite communication products as well as defense electronics and radar systems for aerospace and defense sectors worldwide. Their customers include government organisations like Indian Railways, Indian Airforce, Navy, ISRO etc.

Avantel designs wide range of defence electronics products. These products are either substitutes for products that are imported in India or innovations by the company itself.

The companys products include Wireless & Satellite systems, RF System Design, Embedded Systems & Signal Processing, Network Management & Software Development and Engineering & IT Services.

Avantel has 30 years of experience in the field of electronics and telecom equipment business. 

Avantel has great connections in the industry and gets repeat orders from its clients. 

Due to the experience and repeat orders the company has a low risk profile and edge over its competition.


Range of products offered by Avantel Ltd

Here are some products offered by Avantel Ltd.

SATCOM

Avantel Satcom products

Avantel specializes in designing mobile satellite technology using INSAT for the Indian Military. They have also created GPS based tracking software, for Indian Railways to precisely monitor train locations.

Wireless systems

Avantel Wireless products

The company focuses on developing radar subsystems operating at 30MHz and 53 MHz to identify objects and determine their shapes aiding the Indian Military in effective responses.

Software

Avantel software products

Avantel tailors software solutions to meet client specifications. For instance if the Indian Navy requires software Avantel conducts research and testing before delivering the final product. Additionally they provide software support and updates, to their customers.


Avantel share price target table

Avantel share price target table 1st target2nd target
Avantel share price target 2024₹ 159.11₹ 180.28
Avantel share price target 2025₹ 246.22₹ 280.10
Avantel share price target 2026₹ 336.79₹ 362.79
Avantel share price target 2027₹ 431.41₹ 487.23
Avantel share price target 2028₹ 536.49₹ 582.19
Avantel share price target 2029₹ 672.10₹ 705.46
Avantel share price target 2030₹ 781.15₹ 806.49

Some financial ratios of Avantel Ltd

It is important to look at the financial numbers of a company to have a rough idea as to how well the company is operating. Is it worth your money or not ? Will it be a good buy for the long term or short term ? We will answer these questions through some financial ratios of Avantel Ltd. 

ParameterValue
Market Cap₹ 2611 Cr.
Current Price₹ 107.35
High / Low₹ 140 / 24.2
ROCE37.1 %
ROE30.7 %
Profit after tax₹ 52.9 Cr.
Price to Earning49.4
Debt₹ 19.8 Cr.
Sales growth57.9 %
Profit growth99.7 %
Industry PE53.3
Return over 1 year316 %

Market cap and stock price

First of all the market cap of Avantel is Rs 2450 crores which shows that the company is small cap. The stock is currently trading at Rs 101. The share hit its 52 week high of Rs 140 and low of Rs 24.2.

P/E ratio

The stock P/E ratio is 46.3 which is very close to the industry P/E ratio of 53.3. The P/E ratio shows that the stock is not overvalued right now but it is not undervalued either. The current stock price may not be the best price to buy the stock.

ROCE and ROE

The company is making excellent returns of 37% on its capital and 30.7% on the shareholders equity. Apart from that the company is profitable as well and in the trailing twelve months it has generated a profit of Rs 52.9 crores. 

Debt

Avantel does not have any significant debt to pay either. The total outstanding debt is Rs 19.8 crores only with a debt to equity ratio of 0.15 which is very good. The company is well equipped to pay off the debt.

Sales and profit

The sales of Avantel have grown by 57% in the last one year and the profits have almost doubled with a growth percentage of 99.7%.

Returns 

From the investors point of view the company has tripled the investors money in the last 1 year with 319% returns and 155% returns in the last 3 years. 

Avantel is a great prospect for the investors with excellent sales, profits and returns on its stock. Right now the stock is slightly high priced, so we would definitely recommend the stock for the long term but wait for the price to come around Rs 90.

Also Read: Hathway cable share price target


Avantel share price target for 2024

Avantel Limited achieved significant growth throughout FY23 and 9MFY24 due to their extensive expertise in SATCOM segment and timely execution of orders, reaching revenues of Rs 154.27 Crore.

FY23 saw revenue surge 47% year on year to Rs 154 Cr compared to Rs 102 crores in FY22 and in the trailing twelve months the revenue is Rs 235 crores. 

We are confident that Avantel Ltd operations will experience further enhancement due to an expanding order book and diversifying into radar and satellite manufacturing segment, both with promising industry outlook.

The initial price target for Avantel Ltd in 2024 is projected to be ₹ 159.11.  

With favorable market conditions, the mid-year price target for Avantel Ltd could reach ₹ 171.20. 

By the end of 2024, the price target for Avantel Ltd is expected to potentially reach ₹ 180.28, considering bullish market trends.

Avantel share price target 2024 is as follows

Target Year1st Target2nd Target
2024₹ 159.11₹ 180.28

Avantel share price target for 2025

In the last one year the Avantel has given its investors a whopping 319% returns and massive 150% returns in last 3 years. Even 5 year average returns of 94% show that the company is consistent with the returns and the last 1 year return is not by chance. 

The initial price target for Avantel Ltd in 2025 is projected to be ₹246.22.  

With favorable market conditions, the mid-year price target for Avantel Ltd could reach ₹266.24 . 

By the end of 2025, the price target for Avantel Ltd is expected to potentially reach ₹280.10, considering bullish market trends.

Avantel share price target 2025 is as follows

Target Year1st Target2nd Target
2025₹ 246.22₹ 280.10

Avantel share price target for 2026

As you all know sales is the pillar of any business and without sales in the long run it will shut down. Avantel is really focusing on sales and the sales are not only growing, the sales growth rate is also rising. 

The sales growth in last 3 years has been 44% and in the trailing twelve months it has been 58%. This growth in sales also translates into the profit growth which has been 100% in the last 1 year. 

All these numbers show that Avantel is on the right path of growth and the long term future of the company is secure. 

The initial price target for Avantel Ltd in 2026 is projected to be ₹336.79.  

With favorable market conditions, the mid-year price target for Avantel Ltd could reach ₹345.46. 

By the end of 2026, the price target for Avantel Ltd is expected to potentially reach ₹362.79, considering bullish market trends.

Avantel share price target 2026 is as follows

Target Year1st Target2nd Target
2026₹ 336.79₹ 362.79

Also Read: Empower India share price target


Avantel share price target for 2027

The biggest advantage of Avantel is having government entities as its clientele. It has strategic tie ups with Bharat Electronics for supplying various subsystems. The company has also received orders from ISRO for ventilators. 

Bharat Electronics and Lockheed Martin Corp. have recently given orders of Rs 8.8 and 15 crores respectively for the supply of SATCOM systems. 

The company will also manufacture GPS systems for 6300 locomotives used in Indian Railways worth Rs 125 crores.

In short the customers of Avantel need its products every year and the company is also trying to add new clients to its portfolio.

The initial price target for Avantel Ltd in 2027 is projected to be ₹431.41.  

With favorable market conditions, the mid-year price target for Avantel Ltd could reach ₹462.25. 

By the end of 2027, the price target for Avantel Ltd is expected to potentially reach ₹487.23, considering bullish market trends.

Avantel share price target 2027 is as follows

Target Year1st Target2nd Target
2027₹ 431.41₹ 487.23

Avantel share price target for 2028

Avantel stock is trading at 19 times it’s book value so this stock may not be the best buy at the current price, but in the long term this stock will definitely give you good returns.

In the last one year the company has made 37% returns on the capital employed and 30.7% returns on equity with means that the company is making returns on its capital as well as shareholders equity.

We would suggest you to not enter the stock right now and wait for the price to go down to somewhere around Rs 90. Once you make the entry we want you to hold the stock for the long term to get the best returns for your investment.

The initial price target for Avantel Ltd in 2028 is projected to be ₹536.49.  

With favorable market conditions, the mid-year price target for Avantel Ltd could reach ₹555.21. 

By the end of 2028, the price target for Avantel Ltd is expected to potentially reach ₹582.19, considering bullish market trends.

Avantel share price target 2028 is as follows

Target Year1st Target2nd Target
2028₹ 536.49₹ 582.19

Avantel share price target for 2029

The government of India is pushing the “Make in India” initiative and is promoting the Indian manufacturers. This is the reason Avantel is getting orders from the Indian Government. 

If you look at the stock price a year ago it was Rs 32.89 per piece and now it is at Rs 107. That means if you had invested Rs 1 lakh in the company at that time, it would be worth Rs 334000 right now. 

We are not saying that the company will give such returns consistently but 5 year trends suggest that it will double your money in at least 2 years period. 

The initial price target for Avantel Ltd in 2029 is projected to be ₹672.10.  

With favorable market conditions, the mid-year price target for Avantel Ltd could reach ₹698.23. 

By the end of 2029, the price target for Avantel Ltd is expected to potentially reach ₹705.46, considering bullish market trends.

Avantel share price target 2029 is as follows

Target Year1st Target2nd Target
2029₹ 672.10₹ 705.46

Avantel share price target for 2030

The year 2030 is 6 years away and Avantel is investing hard on its research and development to stay ahead of its competition. The company builds all its products in house like MSS for Helicopters, 5 KW HF Systems, HF SDR etc. For example normally all VHF sets come with short length communication, Avantel has developed a 5 KW HF System with communication range of 2000 Kms. 

The company has literally no competition in its field and is set to dominate this segment for long term. 

The initial price target for Avantel Ltd in 2030 is projected to be ₹781.15.  

With favorable market conditions, the mid-year price target for Avantel Ltd could reach ₹792.46. 

By the end of 2030, the price target for Avantel Ltd is expected to potentially reach ₹806.49, considering bullish market trends.

Avantel share price target 2030 is as follows

Target Year1st Target2nd Target
2030₹ 781.15₹ 806.49

Profit and loss analysis of Avantel Ltd

Standalone Figures in Rs. Crores

Profit & LossMar 2020Mar 2021Mar 2022Mar 2023TTM
Sales 5278105154235
Expenses 375677105150
Operating Profit1522284984
OPM %30%29%26%32%36%
Other Income 11101
Interest12255
Depreciation33456
Profit before tax1318244074
Tax %17%17%19%25%
Net Profit 1115193053
EPS in Rs0.440.630.791.232.18
Dividend Payout %15%11%8%5%

It is important to assess a company’s profit and loss before you invest in a company because then you will know the current trend of progress. Lets see if Avantel is making any profit or not.

Sales

When we look at the sales department since march 2020 the sales have grown at a rapid pace. In 2020 the sales was Rs 52 crores only and it has increased to Rs 235 crores in the trailing twelve months.

Expenses and operating profit

Thankfully, the expenses have increased but not very much. Against a sales of Rs 235 crores, Avantel incurred expenses of only Rs 151 crores leaving the company with an operating profit of Rs 84 crores.

Net profit

In terms of interest payable and depreciation, the company is not spending much and the net profit in the trailing twelve months is Rs 53 crores after tax. This is a great net profit for a company of this size. 

Overall, Avantel Ltd is growing well and making good sales and profits. The company needs to just keep this growth going.


Shareholding patterns

Numbers in percentages

ShareholderMar 2020Mar 2021Mar 2022Mar 2023Dec 2023
Promoters 40.87%40.36%40.14%40.14%40.10%
FIIs 0.00%0.00%0.00%0.00%0.00%
DIIs 0.00%0.00%0.00%0.00%0.01%
Public 59.13%59.64%59.86%59.86%59.89%
No. of Shareholders4,5556,4108,00416,42882,759

Shareholding patterns tell us who owns the majority of the company and who are the decision makers. It also tells us if the current investors trust the company or not.

Promoters

Promoters have kept their shareholding consistent at 40.10% since 2020. While consistent shareholding of promoters suggest that they believe in the company’s operations, we would have loved to see promoters holding more than 50%.

Foreign Institutional Investors

FIIs currently have no interest or shareholding in the company. There is a category of investors who specifically look for FIIs involvement before investing.

Domestic Institutional Investors

DIIs share is also negligible at 0.01% which shows that either the domestic investors do not see major returns in the future or this company has not come onto their radar yet.

Public

Public shareholding is 59.89% which is good but this also gives power to some large public investors to manipulate the share price through bulk deals.

All in all the shareholding of Avantel is decently distributed but we would have loved to see more stake with the promoters and less stake with the public.


Conclusion

In this post we gave you the Avantel share price target 2025 to 2030. Avantel Ltd is performing really well in terms of sales, profits and returns to investors. The company is getting orders from government entities and is again expected to give another good quarter. The only con is that the company’s shares are trading at a high price and this might not be the right time to make an entry.

The company does not have any major competition with the kind of products it is manufacturing. We would have liked some FIIs or DIIs investment but if that is not a major concern for you, you can definitely buy this stock. Please do your own research before investing.

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