C.E. Infosystems partners with Zoomcar; share price rises 3%
Source: Business Standard
C.E. Info Systems share price today added 3.2 per cent on BSE and touched an intraday high of Rs 2124.95 per share. The up move in the stock came after the company announced its partnership with Zoomcar.
At around 1:18 PM, shares of C.E. Infosystems were up 1.68 per cent to Rs 2,092 per share on BSE. By comparison, the BSE Sensex was up 164.43 points at 81,687.59.
“MapmyIndia has partnered with Zoomcar to enable users to seamlessly book a Zoomcar and plan their trips on the Mappls App, significantly enhancing the end-to-end travel planning and booking experience,” the company said in its statement.
As per the company, it is an all-in-one solution for tech savvy travelers, ensuring a smooth and hassle-free journey. The integration, MaymyIndia said, will allow Zoomcar customers to save time and effort.
Earlier in June, Goldman Sachs had initiated coverage on C.E Info Systems with a ‘Buy’ rating with a target of Rs 2,800.
As per the global brokerage, C.E. Info Systems is well-poised to benefit from an early leadership position in fast-growth end-markets including automotive navigation, mapping devices, connected vehicles, telematics, and govt digitisation.
“We forecast a 38 per cent FY24-FY27E revenue CAGR and steady Earnings before interest tax depreciation and amortisation (Ebitda) margin in the 38 per cent to 41 per cent range,” the report read.
Goldman Sachs expects the company to maintain high margins driven by a pickup in Internet of Things (IoT) led business growth (offers more revenue opportunity for high-margin mapping), supported by newer opportunities in people/goods mobility and the auto aftermarket, against the legacy auto OEM business.
The brokerage also mentioned that Hardware-related margin dilution, open-source maps, and M&A integration could be some risks.
In the past one year, the shares of C.E. Info Systems have gained 26.1 per cent against BSE Sensex’s rise of 21.2 per cent.
First Published: Sep 12 2024 | 2:05 PM IST
