Nvidia Effect: This smallcap multibagger stock soars 6% after strong earnings from tech giant

Shares of Netweb Technologies India rallied as much as 6% to their day’s high of Rs 3,499 on Thursday, November 20, after Nvidia, the world’s most valued company, reported a robust set of numbers for the fourth quarter in the US.

But why is Netweb Tech in India surging? This is because the company has a partnership with Nvidia. Netweb has partnered with Nvidia to develop high-end computing systems, including Blackwell-powered AI servers. The company also reiterated during its latest earnings call that it is the only company in Asia with such an advanced engagement. Management said the firm is well placed to design and manufacture NVIDIA-based solutions and continues to enjoy priority allocations due to its OEM status and significant R&D investments.

Q2 Performance

Netweb Technologies posted a strong September quarter, with net profit rising 19.8% year-on-year to Rs 31.4 crore, compared with Rs 26.2 crore a year earlier. Revenue from operations grew 20.9% to Rs 303.7 crore in Q2 FY26 versus Rs 251 crore in the same period last year. Sequentially, profit inched up 3.2% while revenue rose 1%.

Chairman and MD Sanjay Lodha said the company secured two major strategic orders worth about Rs 2,184 crore, to be executed by FY27. He added that these wins reinforce Netweb’s position as India’s largest OEM in high-end computing and will play a key role in strengthening the country’s AI computer infrastructure and advancing its Sovereign AI ambitions.

At about 12:40 pm, shares of the company were trading at Rs 3,427, higher by 4.2% from the last close on the NSE. Netweb Tech shares have been on a roll, rallying 91% in the last 6 months.

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