Share Price of Tanla Platforms: Cloud Communications Company, Tanla Platforms Hit the 5% Upper Circuit Before Settling on Friday 872.50 each. Investors love the company’s share buyback offer 170 crores. In this week’s trading session, Tanla Platforms has gained over 18%. The company still has potential to grow as it has a reliable play on the growing demand for CPaaS solutions across industries.
on BSE, tonal platformshare roses to end at 38.15 or 4.57% 872.50 each. Shares saw an upper circuit of 5% 876.05 each during trading hours.
of the company Market hat is around 11,843.80 crore.
The stock has climbed 18.07% in the 5 trading sessions of this week since September 2.
Tanla Platforms Share Buyback
On Thursday, the board of directors of Tanla Platforms approved the proposal for aggregating share buybacks. 170 crores. The company will buyback 14,16,666 equity shares at the offer price 1,200 per equity share.
The buyback is only subject to the approval of the shareholders through a special resolution through postal ballot by remote electronic voting and all other applicable statutory approvals.
Should you buy shares of Tanla Platforms?
In a September 5 research note, Piyush Pandey, Lead Analyst at YES Securities at Tanla Platforms said, “A credible play on the growing demand for CPAs solutions across industries to drive customer engagement. Also, the growth in smartphone penetration and More regulatory push. Will drive the CPaaS market towards mandatory SMS alerts. As per industry reports, the global CPaaS market is expected to grow at a CAGR of 29% from CY20 to CY25E, led by rapid adoption of multichannel communications.”
“The adoption of CPaaS-based A2P messaging across industries continues to drive volume growth for both Tanla’s enterprise and platform segments. An increasing share of the high-margin platform segment will drive the company’s EBITDA margin,” Pandey said.
On the Enterprise segment, Pandey highlighted that the growing demand for OTP for A2P (Application to Person) messaging, real-time alerts, transaction alerts from e-commerce companies, banks has led to the FY 2012-Finance It is expected to grow by more than 20% in the year 24E. , and other enterprises. The growth will be primarily volume-based on SMS-based A2P, at a CAGR of 18‐20%, with an almost marginal contribution from the price increase.
Meanwhile, the analyst expects the platform segment to continue to witness a higher growth rate than the enterprise segment during FY12-FY24E, led by TRAI’s mandate that all commercial messages be filtered through a blockchain-based platform. should go. It also provides SMSC services to VIL, enabling it to send messages to the customers. An end-to-end encrypted platform, The Wisely Platform (recently developed in partnership with Microsoft) offers better data encryption and has been seen early
traction from potential customers and this will help drive global expansion for Tanla.
Pandey expects the company’s EBITDA margins to rise further due to the shift in revenue mix in favor of the platform business (a fast-growing segment), which has a higher gross margin than the enterprise segment.
Specifically, the enterprise business has a gross margin of about 20%; The platform segment accounts for around 90% gross margin for Tanla.
On valuation, Pandey said, “Revenue/EBITDA/PAT is expected to grow at a CAGR of 21.8%/24.9%/21.2% as compared to FY22-FY24E. We maintain Buy rating with target price. 1,218, it is valued at a PE of 22x on FY24EPS.”
Disclaimer: The views and recommendations given above are those of individual analysts or broking companies and not of Mint.
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