Astra Microwave spurts on US tie-up

Astra Microwave spurts on US tie-up

Astra Microwave Products soared 6.83% to Rs 90.70 at 14:26 IST on BSE on entering into a preliminary pact with Raytheon Company, USA to manufacture and supply medium multi-mole combat aircraft to the Indian defence ministry.

The company made this announcement during market hours today, 26 February 2008.

Meanwhile, BSE Sensex was up 117.25 points or 0.66% to 17,767.82, following overnight rally in US stocks. US stocks rose sharply on Monday, 25 February 2008, on signs the two largest bond insurers would stabilize, bringing a wave of relief to a market dogged by concerns of further bank write-downs.

On BSE, 1.92 lakh shares were traded in the counter. The scrip had an average daily volume of 89,604 shares in the past one quarter.

The stock hit a high of Rs 93.85 and a low of Rs 82.40 so far during the day. The stock had a 52-week high of Rs 187 on 18 July 2007 and a 52-week low of Rs 73.50 on 15 February 2008.

The small-cap scrip had underperformed the market over the past one month till 25 February 2008, declining 21.50% compared to the Sensex’s decline of 3.87%. It had also underperformed the market in the past one quarter, declining 32.67% compared to Sensex’s decline of 7.72%.

The company’s current equity is Rs 10.75 crore. Face value per share is Rs 2.

The current price of Rs 90.70 discounts its Q3 December 2007 annualized EPS of Rs 3.33, by a PE multiple of 27.24.

Astra Microwave Products’ net profit declined 45% to Rs 4.48 crore on 22.4% growth in net sales to Rs 26.47 crore in Q3 December 2007 Q3 December 2006.

The company is engaged in designing and manufacturing high value added RF and microwave super components and sub systems. The products are widely used in VSAT operations, radars, navigational equipment, public mobile trunk radio, WLL, cellular GSM/DCS or PCS networks.