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ESDS Software Solution stock hits 10% upper circuit at ₹1,418.50
The shares are up around 230% since the IPO, after already reaching the 20% upper circuit in the prior two sessions, and a brokerage has started coverage with a ₹1,550 target price.
ESDS Software Solution shares surged after listing in early September, and on 9 September the stock hit the BSE 10% upper circuit to ₹1,418.50 per share, after two consecutive sessions where it also reached the 20% upper circuit, according to LiveMint Markets. From the IPO level, the stock’s gains have taken it to around 230% over its IPO issue price, with the article noting that the company listed at ₹757 on the NSE on 4 September, a 76.46% premium to the IPO price of ₹429 per share. On the BSE, it opened at ₹746.30, 73.96% above the issue price, the outlet said, following a surge of about 112% on listing day. Choice Equity Broking initiated coverage on ESDS Software Solution with a buy recommendation and set a target price of ₹1,550, citing an estimated upside of about 20% from the previous close of ₹1,289.55. The brokerage also described ESDS as a compelling way to access India’s structural expansion in cloud computing, data centres and AI infrastructure, highlighting its full stack capabilities across cloud, managed infrastructure and data centre services. Choice pointed to growth drivers including capacity expansion, deeper customer monetisation and operating leverage, and said a $1.25 billion AI contract adds to the earnings trajectory. It estimates FY26 to FY29 revenue, EBITDA and PAT compound annual growth rates of 120.9%, 72.6% and 81.3% respectively, and linked valuation to an 18 times FY28E EV/EBITDA and nearly 31 times FY28E forward P/E, according to the report.