Where Google, Amazon, and Apple have long been competing for the top spot, imagine a new player NVIDIA rising from the 100th+ position and surpassing them in just 2-3 years.

NVIDIA’s extraordinary performance in recent times has captured the attention of the investing community, propelling the tech giant to become the third-most valuable company in the US stock market. This remarkable achievement places NVIDIA ahead of industry titans Amazon and Alphabet.

The Next Nvidia-Like? India's Promising AI Multibaggers to Watch

What explains the hype surrounding NVIDIA, making it a favorite among the investor community?

In this AI gold rush, where companies like Google and Microsoft are competing to develop the next revolutionary AI chatbots, achieving this breakthrough would be nearly impossible without NVIDIA’s hardware technology.

How big can NVIDIA be?

If you think AI will eat the world then Nvidia will get a world-sized fortune. 

What exactly does NVIDIA do? (In a nutshell) 

Nvidia Corporation is a leading American technology company known for its cutting-edge graphics processing units (GPUs) and system-on-a-chip units (SoCs). Their business model revolves around developing and selling high-performance graphics processing units (GPUs) for a wide range of industries, including gaming, professional visualization, Autonomous vehicles, and data centers.

As new technologies emerge, such as virtual reality, augmented reality, and artificial intelligence, Nvidia’s GPUs serve as the backbone for enabling immersive experiences and powering AI applications.

Just to put things in perspective!

When developers are creating advanced technologies, such as OpenAI, the process demands substantial hardware resources. The development of such complex software requires high-performance hardware to handle intensive computational tasks. Even after the technology is developed, utilizing it effectively requires robust hardware capabilities.

From the initial development phase to deployment, high-performance hardware is essential for managing the demanding computational algorithms. That’s where NVIDIA’s data center GPUs come into the picture, making it possible for these algorithms to run efficiently. These data center GPUs is just one part of the entire NVIDIA ecosystem.


The first company we believe is leading the AI boom in India is Tata Elxsi, widely recognized among analysts. A second noteworthy company that has emerged recently is NETWEB TECHNOLOGIES, which has not received as much attention but is an up-and-coming player.

Netweb Technologies

Earlier this year in July 2023, Netweb Technologies made a stellar debut listing at Rs 947 apiece, a massive premium of 89%. Its IPO offer price was Rs 500.

At present, the stock trades at Rs 2590 per share.

Price chart of Netweb Technologies


Market Cap (25-06-2024) ₹ 14,543 Cr.
CMP 2580
Stock P/E 192
ROCE 38.5 %
ROE 29.4 %
EPS Growth @3 Yr {E} 28%
Median PE 93
FORWARD PE {E} 92.14


Given the widespread adoption of Generative AI models and substantial contributions from the global AI developer community across diverse and innovative use cases, India is poised to become the AI factory of the world. This presents promising opportunities for expanding diverse product offerings. The company is the largest manufacturer of Supercomputers in India. It has India’s fastest and largest AI supercomputing system.

Netweb manufactures and provides customized high-capacity AI-based workstations to marquee education systems in India like IITs which are used for scientific activities, 3D designs and animations, engineering designs, etc. The company also manufactures customized solutions for numerous sectors like Higher Education and Research, Space and Defence, IT and ITES, etc. The company also designs and innovates products and provides services tailored to specific customer requirements in collaboration with Intel Americas, Inc. (Intel), Advanced Micro Devices, Inc. (AMD), Samsung India Electronics Private Limited, and Nvidia

The business pipeline and order book remains robust. Ongoing enhancements in capabilities, coupled with the expansion of  operations and product portfolio, position Netweb favorably for sustained growth while retaining its technological leadership.


(in Rupees Crores)

Sales 130 156 143 247 445 724 941 1224 1590
Expenses 123 148 128 212 375 622 800 1040 1352
Operating Profit 7 8 14 35 70 103 141 184 239
Other Income 0 1 2 1 1 12 12 12 12
Interest 2 3 3 4 4 6 6 6 6
Depreciation 1 1 1 2 4 6 6 6 6
Profit before tax 4 5 11 30 63 102 117 160 215
Tax % 31% 27% 26% 26% 25% 26% 26% 26% 26%
Net Profit  3 4 8 22 47 76 87 118 159
EPS in Rs 4.74 6.91 14.55 39.68 9.22 13.47 15 21 28
  • Revenue increased by 62.7% YoY for the entire fiscal year, reaching ₹724 cr in FY24 growing at a 5-year CAGR of 40% which is exceptionally great and way above the industry average.
  • Operating EBITDA increased by 46.4% on a YoY basis for the entire fiscal year to ₹ 103 cr in FY24. Profit after tax (PAT) increased by  61.7% YoY for the fiscal year, reaching ₹76 crores in FY24.
  • The company has maintained an operating margin of 15% over the past two years. Looking ahead, the management expresses strong confidence in the stability of this margin. Despite the operating margin being relatively high, the management’s optimism reflects the premium pricing the company commands from its customers.


Netweb Technologies is one of India’s leading high-end computing solutions-provider, with fully integrated design and manufacturing capabilities. The company offers:

1. High-performance (Supercomputing/HPC) systems:

  • Over 20 years of experience with more than 500 supercomputers installed.
  • End-to-end solutions: in-house design, manufacturing, and software stack (Tyrone Cluster Manager).
  • Represents 35% of the business.
  • Growth driven by the National Supercomputing Mission and adoption in oil, gas, and energy sectors.

2. Private cloud and hyperconverged infrastructure (HCI): 

  • Focus on Private Cloud and Hyper-Converged Infrastructure (HCI) due to declining use of bare metal servers.
  • Complete in-house hardware and software stack (Skylus).
  • Competes with major multinational companies.
  • Data center growth drives private cloud deployments.
  • Represents 35% of the business.
3 .AI systems and enterprise workstations:
  • Extensive experience with GPUs since 2010, integrated with supercomputing solutions.
  • Systems designed to optimize GPU capabilities.
  • In-house container platform and software stack for end-to-end AI workflow integration.
  • AI segment grew from 7% to 11% of the business, with a 2.6 times increase in the past year.
  • Expected to become a major growth pillar.

4. High performance storage (HPS/Enterprise Storage System) solutions: 

  • High-end storage solutions designed in-house to meet high-performance computing needs.
  • Data center servers are not a primary focus.
  • Emphasis on selling servers as part of Private Cloud solutions rather than bare metal.
  • Strategy aims to grow the Private Cloud business, not just server sales.
5. Software and services for HCS offerings:
  • Focus on deploying 5G clouds for telecommunications companies globally.
  • A highly specialized and strategic area of the business.


Revenue bifurcation of Netweb Technologies

Marquee Clients

Clients list of Netweb Technologies

Netweb Technologies India Limited caters to marquee Customers across various end-user industries such as information technology, information technology-enabled services, entertainment and media, banking, financial services and insurance (BFSI), national data centers and government entities in the defense sector, and education and research development institutions (Application Industries).


Netweb Technologies has collaborated with NVIDIA  as a manufacturing partner for the Nvidia Grace CPU Superchip and GH200 Grace Hopper Superchip MGX server designs- These are used in a wide range of AI and high-performance computing and supercomputing applications.system. 


NetWeb Technology’s current P/E ratio stands at 192, indicating a seemingly high valuation. However, considering the company’s future growth prospects, the stock is available at a forward P/E ratio of 92, which is close to its median P/E of 93. Despite the impressive recent performance, we believe the stock still holds significant potential for further growth.

Going forward, the company is optimistic of getting more orders in the generative AI and 5G space. Management has guided for a strong 30-40% CAGR in revenue for the next two to three years.

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