Route Mobile Q1 Eyed: SEBI RA Flags Buy-On-Dip Opportunity Above ₹975

All eyes will be on Route Mobile as it gears up to declare first-quarter earnings on July 18. Its shares have declined 5% in the last one month.

SEBI-registered analyst Deepak Pal believes that the stock is currently trading within a zone defined by its 50-day Exponential Moving Average (EMA) and 50-day simple moving average (SMA), reflecting consolidation with underlying strength.  

In the short term, the stock is facing minor resistance near ₹1,025, which acts as a hurdle. However, Tuesday’s price action suggests that ₹975 (previous day’s low) could serve as a strong support zone.  

Pal noted that if Route Mobile holds above this level, it offers a good buy-on-dip opportunity. With sustained momentum, it has the potential to move toward ₹1,050–₹1,100 levels in the near term.

The company has a strong international presence across Asia, Africa, Europe, and the Americas. Route Mobile’s revenue in FY24 exceeded ₹3,200 crore, growth was fueled by increasing digital adoption and enterprise communication needs. Margins remained healthy (13–15%) despite global macro-economic challenges.

Additionally, the company’s balance sheet is debt-free, backed by strong cash flows and promoter holding of over 60%. 

With ongoing digital transformation, rising demand for omnichannel communication, and increasing global contracts, Route Mobile is well-positioned for scalable growth. The recent merger news with Proximus’ CPaaS business (TeleSign) also opens global opportunities.

Fundamentally, Pal considers Route Mobile to be a solid mid-cap digital play in the communications tech space. 

Route Mobile shares have fallen 28% year-to-date (YTD).

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