It was the second straight day of stellar gains for MIC Electronics, with the stock rising another 19% to hit a 3-month high of ₹66.6 apiece after ending the previous session with a 9% rally, taking its two-day cumulative gain to 29.3%. The massive rally has caught investors’ attention, as shares that had remained sideways in recent months suddenly spiked, prompting the Street to search for reasons behind the upsurge.
Seema Srivastava, Senior Research Analyst at SMC Global Securities, said that the GST rate reduction from 28% to 18%, which is likely to boost festive season demand and benefit electronics companies, was the key reason behind the sharp rise in MIC Electronics shares.
The two-day rally has also led the stock to gain nearly 40% in September so far, despite the Indian stock market remaining under volatile conditions. The rally also marks the biggest monthly gain for the stock since June 2024.
Retail investors boost stake to 35%
Retail investors during the June quarter have boosted their stake in the company as their collective shareholding rose to 34.8% from 29.7% in the March 2025 quarter. FIIs also held 3.1% ownership in the company, while the promoters own the majority of the company by 62.1%, according to the latest Trendlyne shareholding data.
MIC Electronics is in the business of LED products, medical & other appliances, and automobiles. The LED display market in India is growing rapidly, supported by government initiatives like Smart Cities and Digital India. The market size for LED displays in India is estimated at ₹2,000 crore, growing at a CAGR of 20%.
Key applications include public transportation (railways, airports, and bus stations), advertising, and smart city projects. In late August, the company received Letters of Acceptance (LOAs) from South Central Railway (Secunderabad Division) and Northern Railway for railway-related works, worth ₹1.73 crore.
MIC Electronics stock turns ₹1 lakh into ₹1.11 crore in just 5 years
Though the company shares remained under pressure in the recent months, they are still trading with a massive gain of 11920% over the last five years. During this period, the shares have moved from ₹0.60 to the current level of ₹66.58 Impressively, the shares have delivered multibagger returns over the last two years, with a 150.44% rally in 2024 and 148% in 2023.
The massive rise in the share price over a short period has significantly boosted investor wealth.
An investor who had put ₹1 lakh into the stock five years ago and held onto it would have seen its value grow to nearly ₹1.11 crore, highlighting the wealth-creating potential of the stock market when the right counters are chosen.
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