Zen Technologies Limited, a name synonymous with cutting-edge combat training solutions and security technology, has solidified its position as a key player in India’s defense sector. With the Ministry of Defence, Government of India, among its esteemed clients, the spotlight now turns to Zen Technologies’ share price.
In this exploration, we dissect Zen Technologies’ historical share price performance while weaving in the context of the defense sector’s burgeoning growth.
Join us on this insightful journey as we analyze Zen Technologies’ past performance, its pivotal role in the defense sector, and the pivotal question at hand: Can it achieve the ₹1,000 milestone by 2030, driven by defense?
In this article, we’re going to take a deep dive into Zen Technologies’ share price history, break down the trends that have been steering it, and peek into the crystal ball to see if it’s got what it takes to break that four-digit barrier in the next decade.
About Zen Technologies Ltd
Zen Technologies Limited, founded in 1996, is a company dedicated to developing advanced training solutions for defense and security forces. They’re all about making sure these forces are well-prepared. What sets them apart is their focus on using homegrown technology that benefits India’s armed forces, state police, and paramilitary forces.
Headquartered in Hyderabad, India, Zen Technologies is not limited by borders. They’ve got offices in both India and the USA. Their influence extends globally, and they’re known for being the top dogs in making tank simulators, boasting a whopping 95% market share.
As of March 2022, Zen Technologies has three sibling companies: Zen Medical Technologies Private Limited, Zen Technologies USA, Inc., and Unistring Tech Solutions Private Limited.
Zen Technologies’ client list is impressive, including heavyweights like the Ministry of Defence and the Government of India, along with their armed forces, security forces, and paramilitary forces. In FY22, a single customer chipped in nearly half of their total revenue.
Their Research and Development (R&D) game is strong, with a facility recognized by the Ministry of Science and Technology. By FY23, they’d filed over 110 patents, with 27 already granted. Their R&D investment in FY23 hit a record high of nearly ₹19 crores, well above the average of around ₹14 crores in the past five years.
They’re not stopping there. Zen Technologies is all about progress. They’ve developed Anti-Drone system technology and are putting money into Air Defence Gun Simulators. Plus, they’re unique because they write off R&D investments in the same year in their Profit and Loss statement (P&L).
Recent News Around Zen Technologies Ltd
- Zen Technologies Limited’s shares surged by 1.94 percent as the company bagged a Rs. 123.3 crore order from the Indian Ministry of Defence, increasing their total order book to Rs. 1,275 crore, with new orders of Rs. 733 crore in the current quarter. (5 Sep)
Q1 FY 2024 Key Points And Summary:
- Revenue from Operations (Yearly Comparison)
- Zen Technologies saw a significant increase in its revenue from operations, rising from ₹4 crore to ₹33.23 crore.
- EBITDA (Yearly Comparison): A measure of profitability, showed substantial growth, increasing from ₹13.38 crore to ₹68.79 crore.
- Profit After Tax (Yearly Comparison): The company’s profit after tax also made impressive progress, going from ₹8.21 crore to ₹47.13 crore.
- Revenue Segmentation (Sale of Equipment vs AMC): In terms of where their revenue comes from, sales of equipment increased modestly, going from ₹4.15 crore to ₹4.89 crore. However, revenue from Annual Maintenance Contracts (AMC) showed remarkable growth, surging from ₹24.24 crore to ₹124.77 crore.
- Revenue Segmentation (Domestic vs Exports): In the breakdown of revenue by source, domestic revenue decreased slightly, going from ₹8.99 crore to ₹7.67 crore. On the other hand, export revenue grew significantly, jumping from ₹4.23 crore to ₹19.95 crore.
Recommended by FinancesRule.
| When | Maximum Price | Minimum Price |
| September 2023 | ₹877.80 | ₹798.00 |
| October 2023 | ₹860.59 | ₹782.35 |
| November 2023 | ₹843.71 | ₹767.01 |
| December 2023 | ₹871.56 | ₹792.32 |
- The maximum share price for the year occurred in September 2023 at ₹877.80.
- The minimum share price for the year was recorded in November 2023 at ₹767.01.
This yearly overview indicates that the share price had its highest point in September and its lowest point in November. Throughout the year, the share price displayed fluctuations, and investors may find it valuable to consider these price trends when making investment decisions.
| When | Maximum Price | Minimum Price |
| January 2024 | ₹889.34 | ₹773.34 |
| February 2024 | ₹907.49 | ₹789.12 |
| March 2024 | ₹926.01 | ₹805.23 |
| April 2024 | ₹899.04 | ₹781.78 |
| May 2024 | ₹885.76 | ₹770.22 |
| June 2024 | ₹917.64 | ₹797.95 |
| July 2024 | ₹908.47 | ₹789.97 |
| August 2024 | ₹944.81 | ₹821.57 |
| September 2024 | ₹982.60 | ₹854.43 |
| October 2024 | ₹963.33 | ₹837.68 |
| November 2024 | ₹992.23 | ₹862.81 |
| December 2024 | ₹1,017.04 | ₹884.38 |
Reviewing the share price data for the entire year of 2024, we can identify the maximum and minimum prices for the year:
- The peak share price for the year was achieved in December 2024, reaching ₹1,017.04.
- On the other hand, the lowest share price for the year occurred in May 2024, bottoming out at ₹770.22.
This illustrates the fluctuations in the share price throughout the year, with the highest point in December and the lowest point in May. These price movements reflect potential volatility in the share’s performance over the annual timeframe, which could be of significance to investors and financial analysts.
| when | Maximum Price | Minimum Price |
| January 2025 | ₹1,037.38 | ₹797.98 |
| February 2025 | ₹1,063.98 | ₹818.44 |
| March 2025 | ₹1,105.47 | ₹850.36 |
| April 2025 | ₹1,083.80 | ₹833.69 |
| May 2025 | ₹1,052.23 | ₹809.41 |
| June 2025 | ₹1,099.58 | ₹845.83 |
| July 2025 | ₹1,078.02 | ₹829.25 |
| August 2025 | ₹1,111.36 | ₹854.89 |
| September 2025 | ₹1,150.26 | ₹884.81 |
| October 2025 | ₹1,180.16 | ₹907.82 |
| November 2025 | ₹1,209.67 | ₹930.51 |
| December 2025 | ₹1,239.91 | ₹953.78 |
Throughout the year 2025, the share price exhibited fluctuations, with the highest point occurring in December at ₹1,239.91, signifying the peak value reached. Conversely, the lowest point was recorded in January at ₹797.98, representing the year’s minimum share price.
These observations underscore the dynamic nature of the share’s performance, with a substantial increase from the lowest to the highest point over the course of the year. Such insights are valuable for investors and financial analysts, aiding in the assessment of the share’s overall trajectory and potential investment decisions.
| Year | Maximum Price (₹) | Minimum Price (₹) |
|---|---|---|
| 2026 | ₹1,301.91 | ₹911.33 |
| 2027 | ₹1,432.10 | ₹1,002.47 |
| 2028 | ₹2,004.93 | ₹1,002.47 |
| 2029 | ₹1,735.87 | ₹867.94 |
| 2030 | ₹2,256.64 | ₹1,579.65 |
Looking at the share price data from 2026 to 2030, it’s like taking a roller-coaster ride through the stock market.
- In 2026, the share price ranged from a high of ₹1,301.91 to a low of ₹911.33.
- Zooming into 2027, we saw prices climb even higher, hitting ₹1,432.10 at the peak and ₹1,002.47 at the lowest point.
- Now, 2028 was quite a year. The max price surged to ₹2,004.93, while the minimum price held steady at ₹1,002.47.
- In 2029, both max and min prices took a bit of a dip, landing at ₹1,735.87 and ₹867.94, respectively.
- But hold on to your hats for 2030! Both max and min prices skyrocketed, with the max hitting ₹2,256.64 and the min reaching ₹1,579.65.
This wild ride through the years demonstrates just how dynamic and unpredictable the stock market can be, influenced by a whole host of factors.
Zen Technologies Ltd Financial Condition (Last 5 Years)
| Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | |
| Sales + (Crore Rs) |
92 | 147 | 50 | 54 | 161 |
| Expenses + (Crore Rs) |
70 | 83 | 42 | 52 | 110 |
| Operating Profit (Crore Rs) |
23 | 64 | 8 | 2 | 51 |
| OPM % | 24% | 43% | 16% | 4% | 32% |
| Other Income + (Crore Rs) | 3 | 2 | 3 | 5 | 9 |
| Interest (Crore Rs) |
5 | 3 | 1 | 1 | 2 |
| Depreciation (Crore Rs) |
4 | 4 | 4 | 4 | 4 |
| Profit before tax (Crore Rs) |
17 | 59 | 6 | 2 | 54 |
| Tax % | -13% | -3% | 28% | -9% | 30% |
| Net Profit + (Crore Rs) |
19 | 61 | 4 | 2 | 38 |
| EPS in Rs | 2.49 | 7.84 | 0.52 | 0.25 | 4.73 |
| Dividend Payout % | 12% | 5% | 19% | 39% | 4% |
- Sales and Expenses: Sales fluctuated from 92 in March 2019 to a peak of 161 in March 2023, while expenses rose from 70 in March 2019 to 110 in March 2023.
- Operating Profit: The journey of operating profit has been marked by oscillations. It soared from 23 in March 2019 to a robust 64 in March 2020, before undergoing a considerable dip to just 2 in March 2022. However, it rebounded to 51 in March 2023.
- Operating Profit Margin (OPM) %: The OPM percentage witnessed significant variations, reaching its zenith at 43% in March 2020, only to plummet to a mere 4% in March 2022.
- Profit before Tax: The profit before tax experienced a rollercoaster ride, culminating at its highest point of 59 in March 2020 and subsequently plunging to a modest 2 in March 2022. However, it showed resilience, rebounding to 54 in March 2023.
- Net Profit: Net profit, reflecting the bottom line, saw a gradual increase from 19 in March 2019 to 38 in March 2023.
- Dividend Payout Percentage: In terms of dividend distribution, the dividend payout percentage fluctuated, reaching its lowest point at 4% in March 2023.
- Stock Price CAGR: Lastly, the Compound Annual Growth Rate (CAGR) for the stock price reflects an impressive growth trajectory: 64% over ten years, 59% over five years, 126% over three years, and an astonishing 302% over one year.
In summary, this thorough analysis highlights the dynamic financial performance of the company. It’s characterized by fluctuations in sales, expenses, profits, and stock prices. Over time, we observe periods of growth, followed by phases of recovery and stability. What’s especially noteworthy is the substantial increase in the stock price, indicating a high level of investor interest and significant potential.
FAQs
The share price target for the year 2030 is anticipated to range between ₹1,579.65 (minimum) and ₹2,256.64 (maximum).
What Is The Zen Technologies Price-to-Earnings ratio?
The Price-to-Earnings (P/E) ratio for this company is 93.5, which in comparison to its performance in 2022 is relatively less.
Is The Company Debt-Free?
Yes, the company is almost debt-free.
Should One Invest In Zen Technologies?
Considering whether to invest in this company, let’s break down the available information and assess the pros and cons.
First, looking at the company’s financial performance, we see a mix of positive and concerning signs. On the plus side, there’s been steady growth in sales and profitability, indicated by increasing net profits and a reasonably high Return on Capital Employed (ROCE) at 17.3%. The stock price has also surged significantly in the short term, with substantial growth over the past year.
However, there are some red flags we can’t ignore. The company’s Return on Equity (ROE) sits at a relatively modest 12.0% and has shown a declining trend over the last three years. Furthermore, the high Price-to-Earnings (P/E) ratio of 93.5 comparative to its peers is relatively higher.
Now, let’s consider the additional information we have. It’s encouraging to see that the company has been reducing its debt and is nearly debt-free. The expectation of strong upcoming quarters is also a positive indicator.
In summary, while there are positives like reduced debt and anticipated good quarters, there are also concerns such as a high P/E ratio, decreasing ROE, and promoter holding reduction. Proceeding cautiously, conducting thorough research, and seeking advice from financial experts is advisable for making a well-informed investment decision. The company’s financial performance alone doesn’t offer a definitive answer, so a comprehensive assessment is crucial.
What did we learn?
- 1 About Zen Technologies Ltd
- 2 Recent News Around Zen Technologies Ltd
- 3 Q1 FY 2024 Key Points And Summary:
- 4 How to purchase Zen Technologies Ltd shares?
- 5 Zen Technologies Ltd Share Price Target 2023 To 2030
- 6 Zen Technologies Ltd Financial Condition (Last 5 Years)
- 7 FAQs
- 8 Should One Invest In Zen Technologies?
