Apollo Micro Systems shares rally 22% in 3 days after strong Q4 results. Should you buy?

The shares of the company jumped nearly 6% to hit a fresh 52-week high of Rs 377.7 apiece on NSE in the morning trading hours of Thursday. The multibagger stock has rallied 28% in one month and 153% in one year, delivering 1,022% returns over three years and 3,026% returns over five years.

The defence player on Monday reported a 163% year-on-year (YoY) surge in its consolidated net profit to Rs 36.8 crore for Q4 FY26, from Rs 14 crore in the corresponding quarter of the previous financial year. The firm’s revenue from operations meanwhile rallied 81% YoY to Rs 293.3 crore during the quarter under review, as against Rs 161.8 crore in the year-ago period.

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For the entire financial year which ended on March 31, 2026, Apollo Micro Systems reported a 90% YoY surge in net profit to Rs 107.4 crore, while revenue from operations jumped 61% You to Rs 940.3 crore. Apollo Micro Systems Managing Director Baddam Karunakar Reddy described FY26 as a “breakthrough year” for the company, driven by record revenue and profitability, the successful acquisition of IDL Explosives through ADIPL, the receipt of a DPIIT licence for UAV manufacturing, and the company securing its first export order.

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Reddy also said another acquisition through ADIPL is likely to be completed before the end of the next financial year, which could further enhance the company’s capabilities and future growth prospects.
During the year, the company posted its highest-ever quarterly and annual EBITDA. It also delivered record profit after tax on both a quarterly and yearly basis, while achieving an all-time high order book. In addition, the company surpassed its annual PAT margin guidance.

Should buy, sell or hold Apollo Micro Systems shares?

Apollo Micro Systems has witnessed a strong breakout above the crucial Rs 355 resistance zone backed by sharp volume expansion, indicating fresh momentum buying and continuation of the ongoing uptrend, said Virat Jagad, Senior Technical Research Analyst, at Bonanza Portfolio.

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“The stock is trading above all major EMAs, reflecting strong bullish structure across short- and long-term time frames, while RSI is sustaining above 60, supporting positive momentum despite minor volatility,” he said.

Investors can consider fresh buying with a stop loss of Rs 340, while upside target should be placed at Rs 385 and Rs 400, the analyst added. “Sustained trade above Rs 355 can further accelerate bullish momentum in coming sessions,” he further said.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)