Exicom Tele-Systems Share Price Target 2024, 2025, 2026, 2027, and 2030 Prediction: Buy or Sell?

Exicom Tele-Systems is a power management solutions provider, operating under two business verticals: electric vehicle supply equipment solutions (EV chargers) and critical power solutions. The company has a strong presence in the Indian and Southeast Asian markets, with over 70,000 chargers deployed and a diversified customer base. In this article, we will look at Exicom Tele-Systems Share Price Targets for 2024, 2025, 2026, 2027, and 2030.

In this article, we will also analyze the company’s business model, financial performance, growth prospects, competitive strengths, and key risks. We will also provide a SWOT analysis and a conclusion on the investment potential of the stock.

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Exicom Tele-Systems Share Price Target 2024, 2025, 2026, 2027, and 2030

Exicom Tele-Systems Company Overview

Founded in 1994 and based in Bengaluru, Karnataka, Exicom Tele-Systems has emerged as a leader in the field of energy solutions, specializing in EV chargers and critical power solutions. With its roots deeply embedded in innovative technology, Exicom has been at the forefront of addressing the evolving needs of residential, commercial, and public sectors across India.

EV Charging Innovations:

Exicom is a trailblazer in the EV charging infrastructure, offering a range of smart charging solutions that cater to various needs. As of March 2023, the company boasts a commanding 60% market share in the residential sector and 25% in public charging, highlighting its dominant position.

Adhering to the highest standards, Exicom’s products meet both global (CE) and Indian certifications (ARAI), ensuring safety and compatibility. The EV charging division is a significant contributor to the company’s revenue, accounting for 29% in the first half of the fiscal year.

Critical Power Solutions:

The company also excels in providing DC power systems and Li-ion based energy storage solutions, crucial for telecommunication sites and enterprise environments. With a market presence in India and abroad, Exicom holds a 16% market share in DC power systems and 10% in Li-ion batteries for telecommunications. This segment is the major revenue driver, contributing 67.1% in the same period.

Exicom’s strength lies in its vertically integrated model, boasting in-house capabilities in design, development, manufacturing, and servicing. The company’s manufacturing excellence is showcased in its state-of-the-art facility in Solan, Himachal Pradesh, and plans for expansion in Telangana underline its ambitious growth trajectory. A testament to its innovation is the dedicated R&D team, responsible for 18 patents and 12 design registrations internationally.

The company’s growth and innovation have attracted a diverse customer base, including industry giants like Reliance Jio, Tata Power, and Hyundai, among others. Strategic partnerships with global tech leaders such as Delta Electronics and LG Chem further reinforce Exicom’s position in the market.

Financially, Exicom has seen impressive growth, with revenue jumping to Rs 7,008 crore in FY23 from Rs 5,129 crore in FY21, marking a 16.7% CAGR. Profits and returns have similarly shown robust increases, reflecting the company’s solid financial health and market confidence.

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Exicom Tele-Systems Competitors

Exicom operates in a competitive landscape, contending with major players like Delta Electronics India, Vertiv Energy Private Limited, and battery giants Exide Industries Limited and Amara Raja Batteries Limited. These competitors span Exicom’s operational spectrum, from EV chargers to critical power solutions, emphasizing the competitive yet innovative nature of the industry.

In summary, Exicom Tele-Systems stands as a beacon of innovation and reliability in the energy solutions sector. Through its pioneering products and services, robust financial performance, and strategic partnerships, Exicom is well-positioned to continue leading the way in sustainable and efficient energy management solutions.

Growth Opportunities for Exicom Tele-Systems Stock

Exicom Tele-Systems stands on the cusp of unparalleled growth opportunities within the dynamic power management solutions industry. This potential is propelled by several key factors that are reshaping the energy landscape:

Exploding EV Market and Charging Infrastructure: India’s electric vehicle (EV) industry is on an accelerated trajectory, setting the stage for Exicom to deepen its footprint. With the EV passenger vehicle and bus market expected to multiply ninefold from FY23 to FY28 (CAGR of 50-60%) and EV penetration projected to reach 8-10%, the demand for robust charging infrastructure is undeniable.

Similarly, the EV two-wheeler and three-wheeler segments are anticipated to expand by 15 and 10 times, respectively, aiming for 25-30% and 65-70% EV penetration by FY28. This boom translates into a lucrative market opportunity estimated at Rs 8,600 crore by FY28 for EV charging solutions. Positioned as a pioneering leader in this domain, Exicom is primed to harness this growth, further bolstering its market share and revenue streams.

Surging Demand in Telecom and Data Centers: The telecom and data center arenas are experiencing exponential growth, fueled by soaring data usage and digital transformation trends such as increased smartphone adoption, higher internet penetration, and the surge in cloud computing and online services.

This uptick necessitates dependable and efficient power solutions to guarantee seamless operations. Exicom’s proven proficiency in delivering critical power solutions to these sectors positions it as a vital player poised for expansion, ready to cater to a broader clientele and enhance its revenue base.

Renewable Energy and Energy Storage Solutions: India’s renewable energy sector is advancing rapidly, aiming for ambitious targets of 175 GW by 2022 and 450 GW by 2030. This progression demands advanced energy storage solutions to mitigate the variability of renewable sources and ensure grid stability.

Exicom, with its cutting-edge Li-ion based energy storage solutions, stands at the forefront of this wave, offering a substantial opportunity to tap into the burgeoning market for renewable energy storage, thus opening new avenues for growth and innovation.

In essence, Exicom Tele-Systems is strategically aligned to seize these emerging opportunities. The confluence of a booming EV market, the digital revolution in telecom and data centers, and the pivot to renewable energy underscores a promising horizon for Exicom, poised to elevate its market dominance and innovate for a sustainable future.

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SWOT Analysis of Exicom Tele-Systems Stock

A SWOT analysis is a framework that helps to evaluate the strengths, weaknesses, opportunities, and threats of a company or a product. Here is a SWOT analysis of Exicom Tele-Systems stock:

Strengths

• Market leadership and early mover advantage in the EV charger segment
• Diversified and loyal customer base across sectors and geographies
• Vertically integrated business model with in-house capabilities for design, development, manufacturing, testing, installation, and servicing
• Strong research and development team with a focus on innovation and quality
• Robust financial performance with consistent revenue growth and profitability

Weaknesses

• High dependence on the critical power segment for revenue generation
• High working capital requirements and debt levels
• Exposure to fluctuations in raw material prices and foreign exchange rates
• Regulatory and policy uncertainties in the EV and renewable energy sectors

Opportunities

• Rising demand for EVs and EV charging infrastructure in India and Southeast Asia
• Increasing demand for critical power solutions from telecom and data center sectors
• Growing adoption of renewable energy and energy storage solutions
• Expansion of product portfolio and market presence through strategic partnerships and acquisitions

Threats

• Intense competition from existing and new players in the power management solutions industry
• Technological disruptions and innovations by competitors
• Environmental and social risks associated with the use and disposal of batteries
• Legal and contractual disputes with customers, suppliers, or regulators

Key Things to Watch Out for Exicom Tele-Systems Shares

Before investing in Exicom Tele-Systems shares, investors should consider the following factors:

• Listing price and valuation: The company has fixed a price band of Rs 135 to Rs 142 per share for its IPO, which implies a market capitalization of Rs 2,700 crore to Rs 2,840 crore at the upper end of the price band. The company is seeking a price-to-earnings (P/E) multiple of 42.1x based on its annualized EPS of Rs 3.38 for the first half of FY24. This is higher than the average P/E multiple of 32.8x of its listed peers such as Delta Electronics India, Exide Industries, and Amara Raja Batteries. Investors should assess whether the company’s valuation is justified by its growth prospects and competitive strengths.
• Growth potential and scalability: The company has a strong growth potential in the power management solutions industry, especially in the EV charger and energy storage segments. The company has also demonstrated its ability to scale up its operations and expand its market presence through organic and inorganic growth strategies. Investors should evaluate the company’s growth drivers and scalability factors, such as its product portfolio, customer base, manufacturing capacity, research and development capabilities, and strategic partnerships.
• Risks and challenges: The company faces various risks and challenges in its business operations, such as competition, regulation, technology, environment, and litigation. Investors should assess the company’s risk management strategies and contingency plans, as well as the potential impact of these risks and challenges on the company’s performance and reputation.

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Final Thoughts on Exicom Tele-Systems Share Price Target 2024, 2025, 2026, 2027, and 2030

Exicom Tele-Systems is a leading power management solutions provider, with a strong presence in the EV charger and critical power segments. The company has a diversified and loyal customer base, a vertically integrated business model, a strong research and development team, and a robust financial performance.

The company has several growth opportunities in the power management solutions industry, driven by the rising demand for EVs and EV charging infrastructure, increasing demand for critical power solutions from telecom and data center sectors, and growing adoption of renewable energy and energy storage solutions. The company also faces some risks and challenges, such as competition, regulation, technology, environment, and litigation.

FAQs on Exicom Tele-Systems Share Price Target 2024, 2025, 2026, 2027, and 2030

What is Exicom Tele-Systems Share Price Target 2024?

The Exicom Tele-Systems Share Price Target 2024 is ₹271.22.

What is Exicom Tele-Systems Share Price Target 2025?

The Exicom Tele-Systems Share Price Target 2025 is ₹339.03.

What is Exicom Tele-Systems Share Price Target 2026?

The Exicom Tele-Systems Share Price Target 2026 is ₹423.78.

What is Exicom Tele-Systems Share Price Target 2030?

The Exicom Tele-Systems Share Price Target 2030 is ₹1,034.62.