Multibagger Alert: This midcap IT stock has risen close to 323% in the past year!

On a YTD basis the stock has given investors a 285% return in 2021.

Bengaluru-based IT services firm, Happiest Minds Technologies Limited has given investors stellar returns of 323.97% over the last year. The share price stood at Rs 309.20 on October 27, 2020, and since then, the stock has more than quadrupled investors wealth who are betting on the strong growth prospects for digital IT services across the globe in the post-covid world.

Happiest Minds was listed on the exchanges in September 2020 at Rs 350 on NSE and Rs 351 on BSE, against its issue price of Rs 165 to Rs 166 per equity share. Today Happiest Minds share price has gone up to Rs 1300 (at 12:50 PM). When the Happiest Minds IPO was launched, the response was very positive as it had big-name Ashok Soota as Executive Chairman. Ashok Soota was one of the 10 founders of Mindtree and is widely recognized as one of the pioneering leaders of the Indian IT industry.

With regards to the business operations, Happiest Minds Technologies deals in the cloud and digital business, where huge corporate investment is expected post-Covid-19. With services such as cloud and security and analytics accounting for 97% of its revenues, and hence the company is being touted more as a digital services firm than legacy IT players. Hence, the business model of the company augurs strong revenue in future.

The IT firm reported its Q2FY22 numbers yesterday, October 27, 2021. Operating Revenues in US$ terms stood at US$ 35.8 million, registering a growth of 8.0% QoQ and 44.9% YoY. In Indian Rupees, revenue stood at Rs 264.53 crore, up by 8.1% QoQ and 44.7% YoY. EBITDA and PAT both grew impressively by 42% and 30.4% respectively. The IT company had 8 client additions in the quarter and the total client base stood at 186 as of September 30, 2021.

At 12.50 pm on Thursday, the stock is trading at Rs 1300, down by 0.83% or Rs 10.90 per share on BSE. The 52-week high of the scrip is recorded at Rs 1,580.80 and the 52-week low at Rs 285.55 on the BSE.