Systematix Research Gives Buy Rating to Astra Microwave and Data Patterns

Systematix Research has started coverage on Astra Microwave Products and Data Patterns with buy ratings, pointing to strong growth potential driven by India's domestic defence manufacturing push.

Market Targets

The brokerage set a target price of ₹2,600 for Astra Microwave against its closing price of ₹1,569.75, which shows an upside potential of nearly 66 percent. For Data Patterns, the target price is set at ₹5,100 compared to its closing price of ₹4,127.90, indicating a 23.5 percent upside.

Company Details

Both companies are set to benefit from rising demand for radar, electronic warfare, communications and space systems. Astra Microwave tripled its order book over three years to about ₹43 billion and secured a ₹22 billion order in July 2026 for the Uttam radar AAAU unit on the Tejas Mk-1A aircraft. Data Patterns holds an order book of ₹26.4 billion and expects another ₹20 billion in orders during FY27, backed by the largest private-sector research and development team in the defence space.

Financial Projections

Systematix expects Astra Microwave's revenue to climb from ₹11.63 billion in FY26 to ₹23.92 billion in FY29, with EBITDA growing from ₹2.69 billion to ₹7.83 billion. For Data Patterns, the brokerage projects revenue, EBITDA and PAT to grow at compound annual growth rates of 29 percent, 32 percent and 32 percent respectively between FY26 and FY29.

Context

Brokerage firms regularly review and rate publicly traded stocks to give investors guidance on future share price movements and company performance. These target prices are based on expected financial growth, upcoming orders and broader industry trends in sectors like defence manufacturing.