Route Mobile - 19th October 2020 - Angel Broking

Mr. Keshav Lahoti - Associate Equity Analyst, Angel Broking Ltd

"Route Mobile listed at 105% premium over issue price on September 21, 2020 at Rs.717 and from listing price stock has further rallied 38% to touch all time high of Rs. 988. From the last few days stock have been witnessing profit booking. On Friday, during the day stock has hit a lower circuit of 10%, although it bounced back later to close down by 7.3%. We believe this correction could be due to profit booking by anchor investors as anchor investors lock in a period of 30 days from the date of share allotment is over. Investors can use such opportunities of correction to add position in the stock. We are bullish on the Company considering that it is a scalable business model, which can grow without capital infusion. Past track record of the Company is also quite promising. We expect the Company to continue to grow at similar rates like earlier years of ~25-30% for at least next 2 years."

Source : Equity Bulls

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