ideaForge IPO - Drone leader in India

Ideaforge is the leading drone manufacturer in India with 50% Market Share. Company was founded by the IIT graduates. They provide drones to the Defence forces and Civil sector as well. They have filed 41 patents. Drones are used in Mapping and Security applications.

Sahil Bhadviya's View

Indian goverment has banned import of Drones so this is a big positive for IdeaForge company. Some big funds have invested in this stock. But Company has negative cashflow from operations and heavily dependant on government orders. Company is highly regulated by government.

Basant Maheshwari's view

Basant Maheshwari thinks that valuations are very high. So it is better to not apply for this IPO. You may get listing gains of upto 10-15% but considering valuation that's not a good investment.

Anil Singhavi's view

Anil Singhvi from Zee Business said PE ratio of 80 is not high because if we exclude ESOPs, valuations are at 50 PE.

My view

Even though it is a market leader, financials are not improving year on year. Negative cashflows and losses in previous years do not look good. One can invest for listing gains but long term investors should stay away from this stock until you get clarity on order books.