9 months ago

Netweb Technologies Rises on Nvidia Tie-Up

Netweb Technologies Rises on Nvidia Tie-Up
Nvidia tie-up gives Netweb a unique advantage, but it isn't immune to risks · livemint.com

Netweb Technologies, a company that makes high-end computing solutions, has seen its stock price go up a lot in the last six months.

This is because they got two big orders worth ₹2,184 crore and have a special partnership with Nvidia.

Because of this partnership, Netweb gets new products from Nvidia before others, which helps them grow faster.

They also work with other big tech companies like AMD and Intel.

The Indian government is also helping them with money for projects like IndiaAI and the National Supercomputing Mission.

However, there are some risks.

Other companies are starting to compete with them, and they rely a lot on the government for their business.

Also, a few big customers make up most of their sales, which could be a problem if those customers change their minds.

The stock price is quite high compared to how much money the company makes, so some investors are worried.

Key facts

Stock Performance
80% increase in 6 months
Recent Orders
₹2,184 crore for servers and AI systems
Revenue Growth
60% CAGR between FY23 and FY25
Margins
Ebitda: 13-14%, Profit-after-tax: 9-10%
Government Support
IndiaAI and National Supercomputing Mission
Risks
Competition, government dependency, client concentration
Valuation
47.5 times FY27 earnings

Sources

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