Intellect Design Arena shares zoom 20%, market cap crosses Rs 9k cr; here’s why

Shares of Intellect Design Arena Ltd gained 20% to their 52-week high after the firm’s net profit rose 36% for the June 2023 quarter. The stock zoomed 20% to a fresh high of Rs 691.60 against the previous close of Rs 576.40 on BSE. Market cap of the firm rose to Rs 9,117 crore. A total of 3.30 lakh shares changed hands amounting to a turnover of Rs 21.86 crore on BSE. Intellect Design stock opened higher at Rs 601.55 on BSE.  

Net profit rose 36% to Rs 93 crore in Q1FY24 as against Rs 69 crore in Q1FY23. Total revenue climbed 19% to Rs 644 crore in Q1 as against Rs 540 crore in Q1FY23. EBITDA, or earnings before interest, tax, depreciation, and amortisation, rose 33% year over year to Rs 155 crore in Q1 FY24 from Rs 116 crore in Q1 FY23. 

Intellect Design Arena closed 11 deals in Q1FY24. Some of the key agreements were Aspen opting to use IntellectAI's Magic Submission, OTP Bank selecting Intellect's prestigious IDC Banking platform, and others. A leading bank in the Kingdom of Saudi Arabia has adopted iGTB's DTB solution, and a fintech startup located and operating in the UK has chosen IntellectAI's Magic Invoice. 

In terms of technicals, the relative strength index (RSI) of Intellect Design stock stands at 37.1, signaling it's trading neither in the overbought nor in the oversold zone. Intellect Design stock has a one-year beta of 1.2, indicating very high volatility during the period. The stock is trading higher than the 10 day, 20 day, 50 day, 100 day, 150 day and 200 day moving averages.    

Arun Jain, Chairman and Managing Director, Intellect Design Arena Limited, said, "I wish to celebrate the power of the Research and Development teams at Intellect this quarter. 2 million person-hours of sustained investments annually and 16 million person-hours during the last 8 years in R&D have catapulted the company from Product to Technology company. eMACH.ai, with its 5 built-in technologies, drives holistic and agile transformation at double the speed and half the costs.” 

Intellect Design Arena has the world’s largest cloud-native, API-led microservices-based multi-product platform for global leaders in banking, insurance, and capital Markets. It offers a full spectrum of banking and insurance technology products through its three lines of businesses – Intellect Global Consumer Banking (iGCB), Intellect Global Transaction Banking (iGTB), and Intellect AI. 

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