This small-cap Semiconductor stock, engaged in the design, development, manufacturing, and sale of LED video displays, electronic products, telecom equipment, oxygen concentrators, and LED lighting solutions, hit a 20 percent upper circuit today, and the stock rallied up to 52 percent in 3 trading sessions.
With a market capitalization of Rs. 1,895.56 crores, the shares of MIC Electronics Limited hit a 20 percent upper circuit of Rs. 78.91 per share on Monday, up from its previous closing price of Rs. 65.76 per share. Since then, the stock has retreated and is currently trading at Rs. 78.65 per equity share.
In the last 3 trading sessions, the stock has given a massive return of approximately 51.75 percent. Over the last month, the stock has provided impressive returns of more than 72.20 percent.
What are the reasons?
MIC Electronics shares rallied sharply after the government reduced GST on several electronic products, including TVs and air conditioners, from 28 percent to 18 percent. This move is expected to make products cheaper for customers, boosting demand during the festive season. As an electronics company, MIC Electronics stands to benefit from higher sales and better profitability, which created strong excitement among investors.
Adding to this, the stock witnessed unusually heavy trading activity. On September 8 alone, around 5.25 crore shares changed hands compared to its usual daily average of just 45 lakh. A day earlier, volumes were even higher at about 5.75 crore shares. Such a huge surge in trading clearly showed strong investor participation and helped push the share price up quickly within just a few sessions.
Investor optimism was further strengthened by positive commentary from analysts and brokerages. Firms like SMC Global noted that the GST cut would likely act as a festive-season demand booster for electronics, making the sector more attractive. This market-wide confidence, combined with strong volumes and the GST benefit, fueled MIC Electronics’ impressive 50 percent rally in just three trading days.
Company Overview
MIC Electronics Limited was established in 1988 and is headquartered in Hyderabad, India. The company is a global leader in the design, development, and manufacturing of LED video displays, digital signage, telecom electronics, and high-end electronic equipment.
MIC Electronics offers modular and scalable LED video display solutions widely used across industries, including manufacturing, sports stadiums, transportation hubs, and digital theaters. The company has also diversified into medical device manufacturing (like oxygen concentrators) and semiconductor packaging and testing solutions. It has a presence in various international markets, such as Australia, Korea, and the USA.
Additionally, MIC Electronics is gaining approval and collaboration with Indian Railways for emergency light units and railway-related LED display products, as well as entry into the semiconductor domain for packaging and testing.
Recent quarter results
Coming into financial highlights, MIC Electronics Limited’s revenue has increased from Rs. 10.71 crore in Q1 FY25 to Rs. 11.61 crore in Q1 FY26, which has grown by 8.40 percent. The net profit has decreased by 15.23 percent from Rs. 1.97 crore in Q1 FY25 to Rs. 1.67 crore in Q1 FY26. MIC Electronics Limited’s revenue and net profit have grown at a CAGR of 28.22 percent and 48.36 percent, respectively, over the last three years.
In terms of return ratios, the company’s ROCE and ROE stand at 8.84 percent and 5.71 percent, respectively. MIC Electronics Limited has an earnings per share (EPS) of Rs. 0.41, and its debt-to-equity ratio is 0.20x.
Written By – Nikhil Naik
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