Rakesh Jhujhunwala shares supported by Nazara Technologies continued to increase for another day on August 2 after the game company reported the June quarter. Stock has jumped 35 percent in only two sessions.

At 12:20 pm, the stock rose 12.58 percent at RS 716.15 after jumping 20 percent in the previous session.

In the announcement of its revenue in a week that passed, the company said its revenue increased 70 percent to RS 223 Crore compared to RS 131 Crore in the same quarter last year. In sequence, growing 27 percent. Margin despite suffering and down 940 basis points.

The company provides a net profit of 16.5 crore hospitals, registering 22 percent growth of years (yoy) and 237 percent quarter in the quarter (qoq).

We have made an investment in our business segment which will give us strong growth opportunities in the coming years, “said CEO of Nazara Technologies Manish Stirwal. “The company will continue to look for growth opportunities both organically and inorganically. In particular, we want to increase the presence in the Freemium segment, especially in the advanced market. “

Analyst is optimistic in stock. Rishi Jhunjhunwala from IIFL Securities said the eSports segment continued to lead growth for Nazara, with Nodwin growing at 68 percent yoy, while Sportskeeda grew 103 percent yoy, driven by growth of strong monthly users in the US.

He also underlined that the decline in margin can be explained by the soaring content, events and web server costs. This jumped up to 29 percent of the income in the June quarter from 16 percent last year and this investment will continue to drag the margin, added Jhunjhunwala.

Iifl Securities maintains a “add” ranking to the stock, saying the assessment makes sense but requires a catalyst to improve.

Prabhudas Lilladher has a “buy” call, saying that it gives a good entry point considering that the assessment is now more in harmony with global colleagues.

Jinesh Joshi, Research Analyst, Prabhudas Lilladher, said he increased the estimated sales by 2 percent and 6 percent for FY23 and FY24, respectively, the assumption of improvements for eSports and Datapawrkz.

Overall, we hope that the CAGR annual growth rate of revenue/pat compounds is 39 percent/58 percent more than Fy22-24, “he added.

Prabhudas Lilladher has a target of RS 911, while Iifl Securities has set a target in RS 760 for the next 12 months.